Good Energy wants apology from Ofgem over ‘tarnished reputation’

Good Energy chief Juliet Davenport has written to Ofgem asking for an apology over the way the regulator calculates scores for its supplier performance report (SPR).

The renewable energy supplier was last week revealed by the regulator to have topped the list of the 20 worst performing suppliers for non-compliance with environmental and social obligations in 2019.

The Wiltshire-based challenger brand was found by Ofgem to have a non-compliance score of 48 for 45 separate incidents.

In her letter, seen by Utility Week, Davenport criticises the SPR as not fit for purpose as a measure of performance, and says that it risks leading to false conclusions about the performance of suppliers.

Specifically, she takes aim at how suppliers of different sizes are scored, an issue taken up with Ofgem as part of a consultation response last year.

“Our most significant concern was that the report does not consider the relative sizes of market participants. The absolute nature of the way suppliers are ranked will mean that 15 instances of non-compliance over a portfolio of 150,000 generators, would yield the same score as 15 instances of non-compliance over a portfolio of 15,” she said.

Davenport also criticised the current method of scoring incidents on a scale of 0-4, which she says does not reflect relative magnitudes of severity, and often infers a “false equivalence between minor errors and major transgressions”.

Further issues were highlighted in that suppliers like Good Energy can be penalised for pointing out and correcting mistakes when they are found, while those who pursue a “deliberate policy of not reporting mistakes will fare far better”.

She closed by calling on Ofgem to apologise for the latest SPR, which she says has “tarnished” Good Energy’s reputation.

“We are renowned in the industry for the high standards of service we offer our Feed In Tariff (FIT) customers, who choose to join us in accelerating the decarbonisation and decentralisation of electricity generation in the UK. However the latest SPR, which was covered in industry and national press, has tarnished this reputation for excellence, with no legitimate basis for doing so.

“In the circumstances, I feel it would be appropriate for Ofgem to publish a statement of apology, recognising that this metric does not reflect the standards Good Energy consistently offers its FIT customers. Furthermore, I would welcome the opportunity to discuss with you how supplier performance might be better captured and communicated in future, so we might work together to foster better practice across the industry.”

An Ofgem spokesperson told Utility Week that the regulator was currently in the process of responding to the letter and was unable to comment at this stage.