Watchdog tells customers to quit Powergen over price hike

Energy watchdog Energywatch has criticised Powergen for hiking its gas prices by 6.2 per cent and is urging customers to ditch the utility company and shop around for a better deal.

The price hike will be effective from May and will affect 2.2 million people, including TXU Energi customers. TXU Energi was acquired by Eon-owned Powergen last October.

A spokesman for Energywatch says: “The 6.2 per cent rise is well above inflation. It may make the shareholders happy but it offers cold comfort for Powergen customers. It moves the company up the league table from its position as one of the more reasonably priced suppliers to one of the most expensive. We urge consumers to shop around and find themselves a better deal.”

According to a Powergen spokeswoman, the company has increased its gas prices because of the “consistently high wholesale price of gas”. Other gas and electricity companies are expected to follow Powergen’s lead, though none has announced any price increases yet.

Powergen is meanwhile restructuring its business after buying TXU. It is culling 1,000 jobs at TXU and will axe the brand once the restructure has finished (MW October 24, 2002).

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here