Watchdog calls on energy supply companies to simplify their tariffs

TERMS and conditions of energy tariffs need to be more transparent to prevent people from getting a nasty surprise when their bills arrive, Consumer Focus said.

The watchdog has written to the Office of the Gas and Electricity Markets (Ofgem), requesting an investigation into the way energy suppliers market and sell energy tariffs.

"We believe that energy tariffs are often structured in ways that are overly complex and can seem designed to confuse the average consumer," Audrey Gallacher, head of energy at Consumer Focus said in the letter.

"There are problems with dubious discounts that are hard to achieve. There are issues with the transparency of price rise notifications, termination charges and rollover contracts."

An investigation would need to examine whether the average consumer was capable of understanding key terms and conditions. Research by Consumer Focus in March found more than a third of consumers were baffled by their energy bills.