The Association of Convenience Stores (ACS) has welcomed proposals from energy regulator Ofgem to stop the mis-selling of energy products by third party intermediaries to small businesses.
In its submission to Ofgem’s consultation on the regulation of third party intermediaries (TPIs), ACS has welcomed plans to introduce a robust code of practice for TPIs and brokers which is supported by a licence condition on suppliers to only work with TPIs who are accredited to the code.
ACS chief executive James Lowman said: “Many of our members use brokers and intermediaries when dealing with their energy contracts, which is a valuable service that can save them time and often money. However, there are a number of TPIs who engage in pressure selling tactics and lie about the cost of their services. The planned intervention by Ofgem is a welcome step toward removing these operators from the marketplace.”
In the consultation, Ofgem has also set out a number of governance options for the code if introduced.
Lowman added: “ACS supports the creation of an independent board responsible for code of practice governance, and we will work closely with the regulator to ensure that the interests of local shops are represented on the board.”