Powergen fine confirmed

Ofgem this week confirmed the £700,000 fine for Powergen, after the supplier prevented over 20,000 consumers from switching to another electricity or gas company.

The penalty was first announced in July (see Electrical Review, July 2004), following an investigation by the regulator that covered the period between October 2002 and July 2003. Ofgem’s enforcement team found that direct debit, regular cash payment and prepayment meter customers were stopped from changing supplier.

Powergen accepted the fine and has revised its procedures for customers in debt.