Latest Energy Matters report reveals most UK retailers are unaware of imminent P272 legislation
The third Energy Matters briefing of 2015, npower’s bi-monthly policy update for Business Solutions customers, that a vast majority of British retailers are unaware of the upcoming P272 legislation, which will change how energy is measured and charged for many people in the UK.
Energy Matters aims to demystify new and proposed pieces of legislation to explain their impact on the bottom line of UK businesses. The latest issue focuses on P272 is coming into force, explain more about who will be impacted and outline how we might be able to help.
P272 is an industry change, which aims to give businesses more accurate bills based on more precise data, benefitting both customers and the energy industry alike. This will be achieved by collecting data from advanced meters, through Automated Meter Readings (AMR), rather than through industry standard projections of their energy use. This more accurate data will allow customers who consume less energy at peak times to negotiate a reduced unit rate when their contract next comes up for renewal.
There was very little awareness from business leaders that they could face changes to their energy charges. Nearly seven in ten (67%) surveyed were unaware of any cost implications; whereas a further two in ten (20%) said that they were not sure whether their bills would change. On the plus side, a majority of our respondents (54%) thought that half-hourly metering would allow them to have better control over their energy consumption, one of the key objectives of the P272 programme.
Wayne Mitchell, Director of Markets & Innovation for npower Business Solutions, said:
“We want to be a champion for our customers, making sure that they’re always getting the best deal for their energy. Part of this commitment means making sure customers get the clearest, most accurate data about their consumption. If customers are confident in the invoices they get from their supplier, they can more effectively plan to reduce their energy use – saving them money and helping protect our planet.
We fully support the move to half-hourly metering, which is a critical part of ensuring British businesses are more engaged in their energy management. However, the changes required are highly complex and will involve suppliers making major changes to their ‘back office’ systems, at a time of great flux in the energy industry. Suppliers need to be given time to adapt their infrastructure to ensure that the reclassification process can run smoothly and according to schedule.”
Download the latest Energy Matters brief here for more information on how to navigate the complex energy market and make sure you’re prepared for upcoming changes like P272.