LETTERs
Energy pressures for licensees
A recent trend in the energy market puts further pressure on newcomers and those on the move between pubs - a more stringent approach to credit checking by suppliers.
The applicant for a contract supply with a poor credit rating faces either higher unit rate costs within a contract or exorbitant out-of-contract rates.
As turnover in tenancies rises so does the incidence of periods where high out-of-contract rates are charged.
Growing credit check failures will extend the incidence of out-of-contract periods and provide a windfall for energy companies. Will the cost burden on the trade increase disproportionately? Perhaps that windfall will be balanced by an increase in business failures where energy companies are left with more bad debts.
Excessively long periods with bills based on estimates are a common source of problems.
Recent positive changes in the way Opus Energy operates have happened as a result of efforts to cut out bad practices like mis-selling. I commend Opus Energy for installing smart metering, and after a meeting with two directors and dialogue with customer-care staff, I am encouraged.
We have recent examples where taking a client to another supplier is not the best option. Opus Energy did cooperate, offering competitive pricing and sound administrative proposals. I think Opus Energy will seek to rectify problems that remain and outlaw the rogue agents mainly responsible for mis-selling.
I am still unhappy about verbal contracts. Why is it that new tenants continue to be pressured into a verbal contract in the first few days of taking over? It is lucrative for those who do it and new hosts are easy prey.
High out-of-contract rates also provide unfair leverage to induce an individual into entering into a contract with the existing supplier. The unfair aspects are the lack of knowledge of alternatives or how to go about switching, and the length of time it takes, during which high out-of-contract rates remain.
On the positive side, an increasing number of licensees, stock-takers and accountants know what we can offer and recommend our services. We seem to be getting there, if rather slowly!
Mike Higham
Consultant, Pro-Eco Ltd
We've made a big smoking mistake
Did we believe the pubcos when they told us that when we go smoke free we would be gaining more customers because there are a lot of non-smokers out there that we can target?
Did they not realise that most non-smokers are actually non-pub people, and that the non-smokers we had were quite prepared to put up with smokers and have even said that the atmosphere in the pubs was better when smoking was allowed?
Recently, I went to Ibiza on holiday and nearly everywhere you could smoke in all the bars and most of the restaurants. I have also been informed that it is the same in France, Portugal, Greece, Italy and Turkey.
Seeing as we are all supposed to be part of the European Union, isn't it about time we had the same standards?
Our environmental health laws are stricter, as are our licensing laws. Surely if we are part of the EU then our Government should give us the same consideration.
Most EU countries have done a back slide, due to lack of revenue. I think it's time for our country to admit it's made a big mistake.
The country is not only losing revenue on tobacco, but is doing the same on alcohol, and, as I believe that obesity-related diseases have now overtaken smoking-related diseases, can you, or the Government, or in fact anybody, tell me how this all makes sense?
Mrs P Smith
Landlady, the Acre, March, Cambridgeshire
Breaking old recycling ground
Can I make a novel suggestion as to how the industry can recycle more glass and reduce waste? Why don't we have a system for returning bottles, that could be washed, refilled, re-labelled and sent out again? Can I be put forward for an innovation award please?
Robert Feal-Martinez
via morningadvertiser.co.uk
