ENERGY SUPPLY CRISIS AND POWER OUTAGE ISSUES

If you are a Park Home Resident without a direct supply contract with an energy supply company, or recently you have had a claim for compensation for a power outage rejected by an energy supply company.

ISSUES ARISING FROM THE SUPPLY OF ENERGY TO PARK HOMEOWNERS

In 2021, the Government announced that in April 2022, the current price capping of energy supplies to domestic consumers is to be reviewed. Shortly thereafter, certain parts of the country were subject to severe storms resulting in flooding and power outages for many park homeowners. Within days, IPHAS began to receive complaints from members, that they had suffered a total loss of energy supplies for several days, and their applications for compensation from the supply companies were being rejected. IPHAS learned that although occupiers are legally entitled to choose their own source of energy supplies, many residents have agreements in place which require them to purchase their energy supplies from the park owner, leaving them at a significant disadvantage.

This is because the park owner has a business contract with his energy supplier, and the tariffs do not qualify for UK Government price capping. This also means that energy supply companies with a single contract with the owner to supply the site are not, therefore liable to pay compensation for power outages, as they have no direct contract with individual occupiers. Furthermore, as the resident does not have a direct supply contract with the Energy Company, they do not qualify for the government protection scheme, nor can they benefit from the £200 Energy Bills Rebate.

IPHAS has made strong representations to the Business Secretary, Kwasi Kwarteng MP, but have yet to receive a satisfactory response to address these anomalies. Meanwhile, they continue to stress the point that occupiers are legally entitled to choose their own source of energy supplies.

For further information, please refer to the following Citizens Advice Links in relation to contacting their consumer helpline if a person is not satisfied with the energy supplier’s decision, or making a complaint to the energy Ombudsman, who are responsible for settling disputes with network operators.

https://www.citizensadvice.org.uk/consumer/energy/energy-supply/problems-with-your-energy-supply/get-compensation-if-you-have-a-power-cut/

https://www.citizensadvice.org.uk/consumer/energy/energy-supply/complain-about-an-energy-company/complain-to-the-energy-ombudsman/

Information is also available from Ofgem with the following link: https://www.ofgem.gov.uk/sites/default/files/docs/2016/12/ofg581_guarantee_standards_booklet_updated_dec16.pdf

FURTHER INFORMATION WILL BE PROVIDED AS AND WHEN IT BECOMES AVAILABLE.

Will you be affected by the forthcoming changes to the Energy Price Cap?

https://www.ofgem.gov.uk/information-consumers/energy-advice-households/check-if-energy-price-cap-affects-you