29 November 2011 10:02
E.ON launches a set of principles for business energy sales and calls for a code of practice for entire industry

Following the ‘Reset Review' of its business announced last week, E.ON has today launched a set of principles for business energy brokers and called on other energy firms to follow its lead.

Over 50% of all micro businesses¹ use a broker to switch energy supplier however there is currently no minimum standard in place to protect micro businesses² throughout the sales process. 

Following Ofgem's recent guidance, that it would introduce an accreditation scheme for codes of practice governing energy brokers, E.ON has welcomed this move to help protect micro businesses and has produced a set of principles highlighting the promises it demands energy brokers to meet when selling to customers.

Iain Walker, Head of SME Sales at E.ON, said: "It's time to change the way we do business, as a company and as an industry.  We're committed to driving sales standards upwards and making life easier for our business customers.  We believe that customers would be best served by a single independent code of practice, and we would like to work with Ofgem, businesses and the industry to develop this."

The core purpose of E.ON's set of principles is to ensure that all parties are fair, honest and transparent when dealing with business customers.  The E.ON principles will ensure the entire sales process is transparent, the product which is offered is appropriate to the needs and circumstances of the customer and the product structure is clear.

The company will be urging all business energy brokers/consultants to implement its set of principles as part of their sales processes and intends to work with leading figures in industry to finalise a code and to look at other issues which need to be tackled to improve the customer experience for small and medium sized businesses.

Iain Vause, CEO at Billscutter, said:  "We welcome and fully support E.ON's set of principles.  We'd like to see a single code of practice which will increase sales standards across the entire industry, and we look forward to working with like minded organisations to develop an effective, accredited code as soon as possible."

Last week E.ON announced its ‘Reset Review' which will examine every aspect of its relationship with customers.  E.ON will be working with its customers over the coming six months to look at how it can improve its tariffs, its bills, how it sells and how it supports its customers.  The company will set up an independent Customer Council, involving business leaders, politicians, consumer experts and customer representatives to pressure-test and challenge its ideas.

Ends

Notes to editors:

1 Dec Tech research carried out on behalf of E.ON in 2010;

2 Applies to micro businesses of up to 10 employees and 2 million Euro turnover, or with an energy consumption of up to 55,000kwh electricity per year or 200,000kwh gas per year;

E.ON is one of the UK's leading power and gas companies - generating electricity, and retailing power and gas - and is part of the E.ON group, one of the world's largest investor-owned power and gas companies;

E.ON supplies power and gas to over 5 million domestic, small and medium-sized enterprise and industrial customers across the country. E.ON also offers innovative energy services and technologies tailored to meet its customers' needs and is helping customers become energy fit by encouraging them to insulate their homes, moderate their energy usage and even to generate their own power through microgeneration systems such as ground source heat pumps and solar panels for both homes and businesses.

For more information please contact:

Cara Ponton on 02476 181 303 or cara.ponton@eonenergy.com