CRU beefs up consumer-protection measures
The State’s energy regulator, the Commission for Regulation of Utilities (CRU), has said that additional measures to protect customers are still needed over the coming months.
It cited rising levels of arrears and increases in the levels of customers contacting non-governmental organisations (NGOs) for assistance.
The CRU added that a spike in arrears levels could be expected this winter, as it was likely to be the first in recent years without any Government credits for customers.
In 2022, the CRU introduced several measures to support customers in response to rising electricity and gas bills caused by a surge in global energy prices.
PAYG meters
In a decision published yesterday (1 September), it said that many of these would be maintained, with the addition of two new measures.
Firstly, the debt-recovery rate on pay-as-you-go (PAYG) meters will be increased from 10% of a customer’s top-up to 15%.
The CRU said that the PAYG change was due to feedback from suppliers, which showed that the current debt-recovery rate of 10% could lead to customers remaining in arrears for longer, as less of their spending was contributing to paying off arrears.
Repayment plans
Secondly, there will be additional requirements for suppliers when engaging with indebted customers who may benefit from entering a repayment plan.
This, the CRU said, was due to increased levels of customers not being able to complete repayment plans in the past year.
“In assessing the customer’s ability to pay, suppliers must take into account as much information as provided by the customer as possible,” the regulator stated, citing factors that included household income and disposable income, past energy spending, number of dependents in the household, recent changes in household circumstances, and other priority debts the customer might hold.