EDF Energy to give Citizens Advice £3m over complaints breach

26 Aug 2014 News

Citizens Advice Bureau is to receive £3m from EDF Energy after Ofgem found that the energy giant breached complaints procedures.

Citizens Advice is to receive £3m from EDF Energy after Ofgem found that the energy giant breached complaints procedures.

The payment is part of an agreement between Ofgem, the energy regulator, and EDF, which will make redress for  failings during the introduction of a new IT system at EDF in 2011.

Most of the money will be used by Citizens Advice to help run its 'Energy Best Deal' scheme. The rest will go to the Plymouth Citizen Advice Bureau’s Debt Helpline.

Ofgem said the payment was a “step in the right direction to rebuilding consumer trust”.

EDF received over 30 per cent more complaints than normal during the “mass migration” stages of introducing a new IT system in 2011. Ofgem ruled that between May 2011 and January 2012, EDF did not have “appropriate procedures in place to properly receive, record and process all customers’ complaints in accordance with complaints handling rules”.

Gillian Guy, chief executive of Citizens Advice, said: “Following the regulator's investigation, it is only right that EDF Energy acknowledged their customer service failures and have taken steps to support vulnerable customers."

Beatrice Bigois, EDF Energy's managing director of customers, said: "We have cooperated fully with Ofgem and have taken this matter very seriously. The £3m package we are offering will ensure that thousands of vulnerable customers are provided with free, independent advice on debt, as well as information to help them manage their energy consumption and bills."