The energy regulator Ofgem has taken a step towards delivering its plans for one-day electricity and gas switching on Tuesday 17 November.
The regulator launched a so-called “Significant Code Review” (SCR) of the current switching arrangements. The SCR mechanism is designed to facilitate complex and significant changes to the codes by which energy companies are required to abide. It enables Ofgem to undertake a review of a code-based issue and play a leading role in facilitating changes through a review process.
The regulator is looking to improve customers’ experience of switching by designing and implementing a new switching process that is reliable, fast and cost-effective, with the intention of increasing consumer engagement in the retail energy market. In October 2013, the UK government challenged industry to deliver faster switching, with a long-term ambition of moving to 24-hour switching. This objective was reiterated in the Conservative Party manifesto at the 2015 General Election.
The main objective of the SCR is to facilitate next day switching of suppliers for the household and business market and to create a regulatory framework to facilitate a new centralised registration service. The new arrangements are currently scheduled to go live in 2019.