Power Failures: Compensation

Department for Business, Energy and Industrial Strategy written question – answered on 13th July 2022.

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Photo of Andrew Bowie Andrew Bowie Conservative, West Aberdeenshire and Kincardine

To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will make an assessment of the potential impact on the adequacy of compensation received by affected consumers of the Ofgem Quality of Service Guaranteed Standards Regulation 9, 2.24, which defines a restoration of power as a period over three minutes; and if he will hold discussions with Ofgem on the potential merits of reviewing that provision.

Photo of Greg Hands Greg Hands The Minister of State, Department for Business, Energy and Industrial Strategy

The Government expects energy companies to deliver the best support to customers after a disruption to energy supply. Ofgem monitors and enforces the guaranteed standards relating to quality of supply. When a distribution company fails to meet the level of service required, it must make a payment to the customer, subject to certain exemptions.

As part of the Storm Arwen Review, Ofgem has commissioned a review of the guaranteed standards to assess the current compensation provision and payment structure.

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