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ENEL: INVESTIGATION INTO CASES OF PREVIOUS CUSTOMERS' ARREARS CONCLUDED FOLLOWING ACCEPTANCE OF COMMITMENTS PROPOSED


PRESS RELEASE



PRESS RELEASE

ELECTRICITY: ANTITRUST AUTHORITY ACCEPTS ENEL's COMMITMENTS. NEW PROCEDURES FOR TAKING OVER CONTRACT OF PREVIOUS USER IN ARREARS

Rapid reimbursement procedures in case of error

Customers who take over an ENEL electricity contract which was cancelled because of unpaid bills will be asked to supply only their name, customer/user number and fiscal code. There will also be rapid reimbursement procedures in case of error on the part of operators dealing with the public where the previous user had not paid the bills.

These are some of the commitments presented by ENEL and ENEL Distribuzione which have been accepted and rendered obligatory by the Italian Competition Authority, so bringing to a close the proceeding for possible abuse of a dominant position, without any violation being formalized.

The set of commitments accepted by the Antitrust Authority at its meeting on 18 October 2007 significantly improve the procedures relating to new connections and contract transfers where there are previously unpaid bills, and should resolve the anti-competitive issues that were the subject of the investigation.

ENEL, where application is made to activate or transfer contracts in locations where previous customers had left unpaid bills, has redefined its internal procedures to eliminate any precondition or preliminary requirement that is not normally applied to or requested of customers in general. Controls that are already carried out on the quality of sales service by the Contact Center are to be extended to the connection of new customers to accounts marked by outstanding unpaid bills.

A special organizational unit will be set up to check on the conduct of operators who are in contact with end customers, so as to perform ongoing monitoring. Operators who are in contact with end customers will also receive training on specific antitrust issues relating to the conduct which was the subject of the complaint.

        In the Authority's view, these commitments will ensure adherence to the principle of equal treatment of end-users at the time of requests for transfer/connection of an installation whether or not previous customers were in arrears.