The introduction of banded standing charges by Manx Gas has sparked increasing discontent among customers. They held a protest outside the House of Keys last week with another one planned for today (Tuesday).
Mr Cannan met senior executives at Manx Gas yesterday to discuss a range of issues, including its standing charges, the cost of gas and consumer choice.
Mr Cannan said: ’I took the opportunity to reflect some of the concerns that have been raised with me by members of the public. Manx Gas has assured me that it is continuing to take on board customer feedback.
’The company has also agreed to conduct a review of its charging regime and come back to me with any proposals before the end of next month.’
Barry Murphy, who has organised the protest group on Facebook which now has 995 members, explained he started the group following the introduction by Manx Gas of banded standing charges.
He said he soon realised that there were significant inconsistencies in his bills and those of his immediate neighbours living in similar properties: ’I was on Band E, my neighbour on the left was Band D and my neighbour on the right was Band F.’
According to Manx Gas’ tariff sheet, this would have meant a difference of a whopping £121.62 per year between the neighbour on band D and the one on band F.
Mr Murphy says he has not been able to find any supplier in the UK who uses banded charges. Manx Gas’ profits have, since 2015, been regulated via an agreement with the Office of Fair Trading, Treasury and Department of Economic Development. The banded standing charges were not mentioned in the agreement and were introduced after it was put in place.
Mr Murphy believes these charges are not only unfair but ’possibly illegal’. He is concerned an inaccuracy in a consumer’s gas meter could potentially affect their banding: ’Manx Gas has to charge legally and truthfully. They cannot guarantee 100% that anybody is on the right tariff because they can’t say that their gas meters are 100% correct. One unit over can bring you onto a different standing charge band.’
He went on: ’These charges have got to stop and if we’re stuck with one supplier we should have a choice of tariffs.
’I think we have got and will have the support of government on this.’
OFT chairman Martyn Perkins MHK has confirmed that the Attorney General’s office is looking at the agreement again. He added: ’What I would say to customers is go into Manx Gas and make sure you are on the right band.’
â?¢ A standing charge is usually the cost of having a gas and electricity supply - then you pay usage charges on top. Manx Gas’ banded standing charges vary according to a customer’s usage.
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