Eon downgraded over switching failures

Eon Energy has been downgraded in the Citizens Advice rankings after repeatedly failing to hit targets related to switching customers.

In particular, Eon has been punished for the speed at which it switches customers, despite a drastically improved performance.

The supplier is one of three highlighted by Energy UK in the latest Energy Switch Guarantee (ESG) figures, covering Q1 2023. Both Octopus Energy and Outfox the Market have also been pulled up on their performances.

The ESG is a series of commitments by retailers to hit certain standards and targets around the switching process, such as ensuring switches are completed within five working days or less.

Source: Energy UK/ESG

Energy UK’s latest figures show that Eon just missed out on hitting the KPI related to switching speed, with a score of 97.8%, against a target of 98%. This compares to Eon’s score of 75.6% in Q4 2022.

Furthermore the retailer showed improvement across KPIs for final bills and credit refunds, and retained its 100% record for internal switches. It should be noted however that whereas in Q4 2022 the KPI for credit refunds was less than five days, this has increased to less than 10 days.

Source: Energy UK/ESG. Reporting from Bulb has now been integrated into quarterly submissions by Octopus Energy.

Despite this improved performance overall, the supplier has been moved to stage 3 of the internal ESG compliance process after displaying non-compliance with KPI 2a (speed) for this quarter.

According to Energy UK stage 3 applies if, for a third successive quarter, an ESG signatory’s quarterly KPI submission identifies them to be non-compliant for one or more KPI(s).

Senior representatives from Energy UK, Citizen’s Advice and Consumer Scotland, which make up the ESG’s Compliance Panel, have undertaken a “review of the compliance situation, wider ESG performance and of any mitigating factors”.

“The sanction resulting has been the removal of one out of the two stars awarded for membership of a second voluntary commitment membership within the Citizen’s Advice supplier ratings,” the ESG report said.

Eon declined to comment on the latest ESG ratings.

Earlier this year the supplier apologised for its slow performance on switching customers and issuing credit refunds in Q4 2022.

A spokesperson for the company told Utility Week at the time: “We are aware that our most recently reported performance with regards to the Energy Switch Guarantee (ESG) is below our usual standards.

“We are continuing to work with the ESG to identify and rectify the underlying causes of this and apologise to any customer who has been impacted by our shortcomings at the end of last year.”

Elsewhere Octopus has been moved to stage 1 of the compliance process for performance relating to the same KPI relating to speed. In stage 1, a signatory would submit a summary of the reason for not meeting the target, when they expect the issue to be resolved, and where relevant the actions to be taken to resolve it.

The supplier expects to be fully compliant in the next quarter.

Outfox the Market has also been moved to stage 1 after failing to submit data for the quarter in a timely manner. Despite this, it has been scored 100% across the board. Upon receipt of data for the upcoming quarter, the report said, Outfox will be moved out of the compliance process.