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Energy scoundrels will increase activity, the office warns

“With the end of the pandemic, the activities of intermediaries will be fully resumed,” said Markéta Zemanová, a member of the ERO Council. The Office thus expects even more consumer complaints than last year, when over 13,000 people complained to intermediaries and suppliers about it. According to the ERO, more than half of all submissions received so far, which have so far received over 5,500, are still related to the activities of intermediaries.

“They lie shamelessly, put pressure on consumers and get them on their side through fraud,” said ERO Council member Ladislav Havel.

According to Zeman, people are now more willing to change suppliers in a situation where energy is becoming more expensive. Intermediaries abuse this when they lure people into binding and often disadvantageous applications on their phone calls, which often end in a fine of several thousand.

They lie shamelessly, put pressure on consumers and obtain them by fraud

Ladislav Havel, ERO

Consumer rights will be strengthened from January by an amendment to the Energy Act, which, according to Havel, the Chamber of Deputies should discuss in third reading in July. All the agenda for complaints against intermediaries and suppliers should be transferred to the ERO.

The amendment introduces intermediary activities in the energy sector on the basis of the ERO authorization as a new type of business. The regulatory authority shall keep a register of intermediaries. They will now have to prove to the office that they are independent, fit to perform legal acts and with integrity.

The amendment strengthens rights and clarifies:
The duration of a fixed-term contract is to be limited to a maximum of three years, after which it will be regarded as a contract of indefinite duration. This can be terminated immediately and without penalties. According to Markéta Zemanová from the ERO, even ten-year contracts were no exception.
The power of attorney for intermediaries will then be valid for a maximum of 12 months, unless previously limited or terminated by the consumer.
It will also be possible to terminate the contract without penalty due to relocation. In practice, consumers still have difficulty terminating a contract that they have been forced to rewrite for a new home or for a new homeowner.
If people enter into a contract through an intermediary, it will be possible to terminate it as a distance contract, ie within 14 days of signing without penalties. Now, when he grants the power of attorney to the intermediary and he signs it at the supplier’s place of business, the customer loses the fourteen-day period.

“Special conditions will be education and so-called reliability. This means that the applicant will not have any offenses under the Energy Act or the Consumer Protection Act in the last three years. It is positive that this condition also extends to members of statutory bodies if the applicant is a legal entity, “said Zemanová.

Intermediaries will face fines, withdrawal of registration and a three-year ban on infringements in the event of a proven breach. According to Zeman, the expected number of registrations will be huge: “While there are hundreds of suppliers on the market, we expect thousands of registrations from intermediaries.”

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