Ovo Energy boss accuses big six firms of impeding a competitive market
Published on : 05/09/2012
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The UK's big six energy suppliers have been accused of "squeezing competition" by Ovo Energy founder Stephen Fitzgerald.
Fitzgerald made the claim when speaking to the Energy and Climate Change Committee. He stated: "In a competitive market, prices could be lower."
"We've been in business three years now and the competitive environment has never been so poor.
"Confusion around the energy prices and bills has made it difficult for customers to find value," he added.
He went onto add that the big suppliers were selling gas and electricity at a loss to their newest customers in a bid to limit the competition.
Having given his evidence to the Committee, Fitzgerald told the Independent: "In a competitive market you shouldn't have huge price differentials. But if you look at Scottish Power there's a gap of £300 between its cheapest deal and the average tariff.
Representatives from each of the big six energy firms were summoned by MPs to provide their explanations as to why the energy market wasn't operating successfully for consumers in the United Kingdom. As well as Fitzgerald, a representative from Good Energy - one of the UK's green energy suppliers - was also asked to provide evidence on how the current market was failing.
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