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ScottishPower Guarantees No Winter Price Increases


ScottishPower has given a Winter Price Guarantee that it will not increase its standard prices for gas and electricity over the winter months, extending until at least 1st April 2012. At a time of rising commodity costs, ScottishPower will absorb any potential increases in the wholesale markets during this period.
Beyond its Winter Price Guarantee, ScottishPower has also outlined a range of extra customer service initiatives to help customers over the winter period.

Tariff check
ScottishPower will be writing to all customers who pay by cheque or cash to provide them with personalised quotes on how much they can save by switching to cheaper tariffs.

ScottishPower is undertaking a significant programme to extend insulation amongst its customers, especially those most vulnerable. This is being completed through identifying and targeting those in need and will be supported by developing close partnerships with Local Authorities.

Vulnerable customers
During the winter ScottishPower, will proactively contact vulnerable customers to ensure they have all the help they require to keep their homes heated.  These efforts will be boosted by the company’s network of Community Liaison Officers who will be on hand to visit customer homes to offer direct assistance.

Flexible Payment Options
ScottishPower will be introducing new flexible payment options including  delaying debt repayment for  vulnerable prepayment customers until after the winter – so all of the money they spend over the winter will be on energy and not on any existing debt.

Neil Clitheroe, CEO of ScottishPower Energy Retail, said:

“As winter approaches, we understand that these are difficult economic times and many people have concerns about their energy bills.  Wholesale markets remain volatile, as events in Japan and in North Africa have shown this year. However, regardless of movements over the winter months, we are offering extra measures to protect our customers over this period, and we hope that our guarantee will offer peace of mind.
“We also want to ensure that our most vulnerable customers have a service that they can rely on, and we will be increasing the activity of our community teams and customer service teams to offer as much help and support as we possibly can.
“We are writing to customers providing individual quotes demonstrating how much they can save by switching to cheaper tariffs. We also urge any  customers worried about their energy bills  to contact us to ensure that they are on the best available tariff for their circumstances.

“We are looking forward to meeting the Government today and agreeing to the proposals set out by the summit. Our hope is also that we- the government, regulator, consumer groups and the industry can take a considered approach to energy policy that addresses issues on pricing in the context of regulatory uncertainty and volatile markets, and the need to address the significant investment challenge ahead”.

Media information: Simon McMillan 0141 566 4875 / 07753 622 257

Note to editors:

Last Friday ScottishPower confirmed that the company’s 2010 segmental accounts showed that ScottishPower made no margin on supplying gas and electricity to domestic customers, resulting in a loss of £4 million for that segment. Since segmental accounting began in 2009 ScottishPower has made an average annual profit from domestic supply of gas and electricity of approximately £10 per dual fuel customer, far lower than other retail sectors.

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