
New political agreement to protect Danes from scammers in the electrical industry
A comprehensive political agreement aims to make it safer for Danes to buy electricity. The agreement comes after numerous examples in recent years of consumers experiencing poor service and being deceived when switching electricity providers. Customers have had thousands of kroner withheld. Bills have become significantly higher than promised. Creative marketing tactics and opaque subscriptions and contracts have been prevalent.
In collaboration with theDanmarksdemokraterne, Socialistisk Folkeparti, Det Konservative Folkeparti, Enhedslisten, Dansk Folkeparti, Radikale Venstre og Alternativet, the government has agreed on a series of measures to ensure better consumer protection. The goal is to promote fair competition on prices and transparent terms, rather than overly creative marketing and business practices.
“In the future, it will be more challenging for the few bad apples in the electrical industry, as we will crack down on the rule breakers. We aim to make it easier for consumers to monitor their electricity bills and ensure that companies face consequences if they do not comply with the rules. Thanks to the parties for constructively engaging in negotiations, where we make a tangible difference and assist and simplify things for the everyday consumer. It’s green action that works,” says Minister of Climate, Energy, and Utilities Lars Aagaard.
Credible and transparent electricity market
Several initiatives are set to build more trust in electricity trading companies and penalize those who violate the rules. It should be more challenging for electricity trading companies to mislead consumers during phone calls and get them to enter agreements without their knowledge. Consumers should be able to understand what they are buying at what price. It should be easier to monitor one’s own consumption, for example, if one wants to save on electricity, and easier to understand one’s electricity bill.
Facts: Key points in the agreement:
– Harsher penalties for rule violations, including fines or sanctions
– Recording of phone conversations with electricity sellers for potential complaints
– Mandatory contract summaries, ensuring contracts are explained to consumers
– Requirements for clearer pricing regarding spot prices, subscriptions, etc., on the company’s website
– More active oversight of electricity trading companies, including higher entry requirements to the market
– Easier self-monitoring of prices and consumption
Source: Klima-, Energi- og Forsyningsministeriet