Peoples Energy: any experiences and/or knowledge of this supplier please?

[felstedrider]

I wonder how the apparent concern by the big players taking on new customers (from bust companies) at loss making capped tariffs is going to play out...

Govt wording is the cap will stay but I wonder if they will increase it.

The cap is reviewed again in April and I wonder if the big guys can find the losses for 6 months before improving returns next Summer.   It’s a gamble, though.

[andyoxon]

Ofgem website has details about which companies are taking on the new customers from bust companies. 

If energy prices don't fall, the potential for knock on effects across the economy and supply chains would seem to be massive.

[robgul]

Having followed various threads I was somewhat taken aback to see that AVRO was granted a licence in 2015 with a 22 year-old managing director with no track record in the energy industry.   I would have expected whoever grants the licences to want a bit more experience?

[Mr Larrington]

The Standard Conditions for a Gas Supplier Licence on OFGEM's webby SCIENCE run to about four hundred pages, so they probably figured anyone who even made a stab at reading them was worth a punt.

[felstedrider]

Having followed various threads I was somewhat taken aback to see that AVRO was granted a licence in 2015 with a 22 year-old managing director with no track record in the energy industry.   I would have expected whoever grants the licences to want a bit more experience?

The supply licence review which looked at this very issue commenced Nov-18 and took over a year.   All of the current failures set up shop before the review started.

[ian]

Indeed. I'm not sure what they were thinking in the first instance when it seems even the average pet cat could have put up the good to become a supplier. It's not like energy supply is an important part of the national infrastructure. Probably the same people who downgraded our gas storage to the point we're mostly dependant on spot pricing and strategic flatulence.

Our local gasholders were recently turned into the usual rash of expensive crapflats.

[felstedrider]

When your KPI is the number of available suppliers in the market.....

[Polar Bear]

Having followed various threads I was somewhat taken aback to see that AVRO was granted a licence in 2015 with a 22 year-old managing director with no track record in the energy industry.   I would have expected whoever grants the licences to want a bit more experience?

Smacks of Seaborne or whatever it was called.  You remember?  That ferry company with no ferries and no experience of freight.

[Mr Larrington]

Having followed various threads I was somewhat taken aback to see that AVRO was granted a licence in 2015 with a 22 year-old managing director with no track record in the energy industry.   I would have expected whoever grants the licences to want a bit more experience?

Smacks of Seaborne or whatever it was called.  You remember?  That ferry company with no ferries and no experience of freight.

Which begs the question: did they accidentally put Fayling Grayling in charge of energy policy?

[FifeingEejit]

When your KPI is the number of available suppliers in the market.....

They're not really suppliers either are they?
Resellers, collators of data, gamblers, yes.

[robgul]

Having followed various threads I was somewhat taken aback to see that AVRO was granted a licence in 2015 with a 22 year-old managing director with no track record in the energy industry.   I would have expected whoever grants the licences to want a bit more experience?

... another item that popped up was about another company that the MD owns that received £2.5million from AVRO for "management services" ... and that company has some interesting Directors' Loans figures in its most recent accounts.  Looks like the auditors will be interested?

What is remarkable with AVRO is that between the start-up in 2017 and now they had (at the failure) almost 600,000 customers . . that's big when compared with the other longer-established failures.   

[felstedrider]

Having followed various threads I was somewhat taken aback to see that AVRO was granted a licence in 2015 with a 22 year-old managing director with no track record in the energy industry.   I would have expected whoever grants the licences to want a bit more experience?

... another item that popped up was about another company that the MD owns that received £2.5million from AVRO for "management services" ... and that company has some interesting Directors' Loans figures in its most recent accounts.  Looks like the auditors will be interested?

What is remarkable with AVRO is that between the start-up in 2017 and now they had (at the failure) almost 600,000 customers . . that's big when compared with the other longer-established failures.

Taking money out of businesses using loans is not uncommon.  If you dig into Ecotricity’s accounts you will find similar.  Annoyingly auditors don’t usually care about this sort of stuff.  The regulator should maybe take an interest but they probably have their hands full.

[ian]

Indeed, SOP for many businesses these days. Also obliging those businesses to use the services of your other businesses, and if they need it (which they probably will), you can also lend them the money at a non-competitive interest rate to do so.

[felstedrider]

There’s another knock on.  Avro had bought a stake in a service provider - Dyball - that also provided services to other suppliers.  The collapse of one supplier could take out another even if that organisation is sensibly run.

There are several software companies and a large gas operation provider that could also be tipped over.  We’re talking thousands of jobs in the sector.

[robgul]

There’s another knock on.  Avro had bought a stake in a service provider - Dyball - that also provided services to other suppliers.  The collapse of one supplier could take out another even if that organisation is sensibly run.

There are several software companies and a large gas operation provider that could also be tipped over.  We’re talking thousands of jobs in the sector.

. . .  and Sentido Marketing Limited (that's the outfit that got the £2.5m from AVRO) - from the directors in the interwoven web of companies it looks like two brothers and their father control quite a few businesses that could well be going to collapse like the proverbial house of cards.

[Polar Bear]

Clearly the nation's energy security requires far tougher legislation and significantly more control.  I doubt that this bunch of chancers will countenance such measures.

[andyoxon]

AVRO customers are being moved to Octopus; have had an email. 

[Edd]

Well that's igloo moving under, only moved to them 3-4 months ago. I'll have to see who I get moved to and then move again to a green supplier, probably bulb (who I was with before) or octopus if they are still around when it all comes out the wash. Shame, I kind of liked them

[felstedrider]

Well that's igloo moving under, only moved to them 3-4 months ago. I'll have to see who I get moved to and then move again to a green supplier, probably bulb (who I was with before) or octopus if they are still around when it all comes out the wash. Shame, I kind of liked them

Bulb are out for additional funding so take care.   Industry runmour mill says they are next.

Octopus agreed a massive tranche of extra funding this week so as safe as you can be in what is an incredibly crap sector.

[robgul]

3 more on the BBC news (incl Igloo) this afternoon

[Polar Bear]

Bulb are looking a bit precarious and unethical imo just now.

[Cudzoziemiec]

Bulb are looking a bit precarious and unethical imo just now.

A lot of people who opt for suppliers such as Bulb, do so because of their renewable energy tariffs. They're concerned about ethicality in that "sustainability" sense, which tends to be the sense that gets most attention as well. But billing practices and treatment of staff are probably equally important in the long run (as well as forming an equally if not more important part of "Sustainable Development Goals").

[robgul]

Bulb are looking a bit precarious and unethical imo just now.

Upping the DD by a massive amount was what the now dead AVRO was doing - just for cashflow.   I'm glad I didn't succumb to a DD before escaping their clutches.

[DaveReading]

Bulb are looking a bit precarious and unethical imo just now.

Upping the DD by a massive amount was what the now dead AVRO was doing - just for cashflow.   I'm glad I didn't succumb to a DD before escaping their clutches.

Indeed.  Mine was due to go up from £113 to £153, despite my being having a £200+ credit balance - I was about to have strong words with them when they folded.

[andyoxon]

No issues with our AVRO DDs but apparently suppliers have a duty to keep DD payments fair, and can be challenged via the Ofgem, I believe.

Pressure on the price cap...
https://www.bbc.co.uk/news/business-58852612

Lebanon's gone dark.
https://www.theguardian.com/world/2021/oct/09/lebanon-hit-by-electricity-outage-expected-to-last-several-days