- Latest available (Revised)
- Original (As made)
This is the original version (as it was originally made). This item of legislation is currently only available in its original format.
Statutory Instruments
CONSUMER PROTECTION
ELECTRICITY
GAS
Made
at 3.00 p.m. on 12th September 2024
Laid before Parliament
at 4.15 p.m. on 12th September 2024
Coming into force
19th December 2024
The Secretary of State makes this Order in exercise of the powers conferred by section 47(1) to (3) of the Consumers, Estate Agents and Redress Act 2007(1).
In accordance with section 47(4) of that Act, the Secretary of State has consulted the Gas and Electricity Markets Authority(2) and other persons appearing to the Secretary of State to be representative of persons who have an interest in the Order.
In accordance with section 47(7) of that Act, the Secretary of State is satisfied, in relation to each regulated provider to which this Order will apply, that when this Order comes into force there will be at least one qualifying redress scheme which the provider is eligible to join and membership of which will satisfy the requirements imposed by the Order.
1.—(1) This Order may be cited as the Gas and Electricity Regulated Providers (Redress Scheme) (Amendment) Order 2024 and comes into force on 19th December 2024.
(2) This Order extends to England and Wales and Scotland.
2. In the Gas and Electricity Regulated Providers (Redress Scheme) Order 2008, in article 2 (interpretation)(3)—
(a)in paragraph (1)—
(i)in the definition of “consumer complaint”, after “relevant consumer”, in each place it occurs, insert “or a small business consumer”;
(ii)in the definition of “regulated provider”, after “relevant consumer”, insert “or a small business consumer”;
(iii)in the definition of “relevant consumer”, in paragraph (b), in sub-paragraph (ii), in paragraph (bb), for “Euros 2 million” substitute “£2 million”;
(iv)in the appropriate place, insert—
““small business consumer” means a consumer who is not a relevant consumer and who is a person supplied or requiring to be supplied with gas or electricity at a premises other than domestic premises—
with an annual consumption of—
electricity of not more than 200,000 kWh, or
gas of not more than 500,000 kWh, or
with—
fewer than 50 employees (or their full time equivalent), and
an annual turnover not exceeding £6.5 million or a balance sheet total not exceeding £5 million.”;
(b)for paragraph (2), substitute—
“(2) For the purposes of this order, where a person who is—
(a)a relevant consumer under paragraph (b)(i) of the definition of “relevant consumer”, or
(b)a small business consumer under paragraph (a) of the definition of “small business consumer”,
receives gas and electricity supplied by the same regulated provider, the annual consumption of gas and electricity for the consumer shall be treated separately for the purpose of determining their capacity as a relevant consumer or small business consumer to make a consumer complaint in respect of gas or electricity supply as the case may be.”.
Miatta Fahnbulleh
Parliamentary Under-Secretary of State for Energy Consumers
Department for Energy Security and Net Zero
at 3.00 p.m. on 12th September 2024
(This note is not part of the Order)
This Order amends the Gas and Electricity Regulated Providers (Redress Scheme) Order 2008 (S.I. 2008/2268) (“the 2008 Order”). It inserts a new definition of “small business consumer”. It also extends the definition of “consumer complaint” to include relevant complaints brought by such consumers.
The effect of these amendments is that “small business consumers” are eligible in the same way as domestic consumers and micro businesses to utilise a redress scheme, that regulated electricity and gas providers are obliged by the 2008 Order to join, in respect of certain kinds of consumer complaints. Larger business consumers are not so eligible and are expected to resolve disputes about electricity and gas supply themselves or through the courts.
The new small business consumer definition applies to non-domestic consumers who consume more electricity or gas annually than micro business consumers, up to thresholds of 200,000 kWh for electricity 500,000 kWh for gas. It also applies to non-domestic consumers with both more employees than micro business consumers (but fewer than 50 or their equivalent) and either greater annual turnover or balance sheet total, up to thresholds of £6.5 million and £5 million respectively.
A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sector is foreseen.
The Gas and Electricity Markets Authority was established under section 1(1) of, and Schedule 1 to, the Utilities Act 2000 (c. 27).
S.I. 2008/2268, amended by S.I. 2014/2378.
Latest Available (revised):The latest available updated version of the legislation incorporating changes made by subsequent legislation and applied by our editorial team. Changes we have not yet applied to the text, can be found in the ‘Changes to Legislation’ area.
Original (As Enacted or Made): The original version of the legislation as it stood when it was enacted or made. No changes have been applied to the text.
Explanatory Memorandum sets out a brief statement of the purpose of a Statutory Instrument and provides information about its policy objective and policy implications. They aim to make the Statutory Instrument accessible to readers who are not legally qualified and accompany any Statutory Instrument or Draft Statutory Instrument laid before Parliament from June 2004 onwards.
Access essential accompanying documents and information for this legislation item from this tab. Dependent on the legislation item being viewed this may include:
Use this menu to access essential accompanying documents and information for this legislation item. Dependent on the legislation item being viewed this may include:
Click 'View More' or select 'More Resources' tab for additional information including:
The data on this page is available in the alternative data formats listed: