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Energy customers to get extra storm compensation

Compensation for energy customers, who have been left without power for more than a day during severe weather, has been tripled.

Energy regulator Ofgem is to take action against two power companies, who have already paid out £4.7 million to powerless homes, for even more compensation.

ITV News correspondent Nina Nannar reports:

More: Compensation boost for weather-related power losses

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Ofgem storm probe: 'Companies could have done more'

Ofgem has said "companies could have done more" to help customers during last year's winter storms, when power cuts affected nearly a million homes.

Read: Compensation boost for weather-related power losses

Chertsey in Surrey was one of the areas hit by floods last Christmas.
Chertsey in Surrey was one of the areas hit by floods last Christmas. Credit: Steve Parsons/PA Wire

Ofgem's Maxine Frerk said:

A power cut at Christmas time is the last thing anyone needs.

While we recognise the hard work of the companies and their staff who were out working to reconnect customers during the severe weather, the companies could have done more to plan for the weather and keep customers informed.

– Maxine Frerk, Ofgem's senior partner for distribution

The energy regulator is to more than double the minimum compensation payment for households that suffer power losses due to severe weather.

Ofgem said the planned changes should "strengthen the incentives for companies to act quickly" and reconnect customers as soon as possible.

Read: Companies pay £3.3m extra in storm compensation

Companies pay £3.3m extra in storm compensation

Energy regulator Ofgem has agreed an additional £3.3 million from companies SSE and UK Power Networks after an investigation into how they dealt with last year's winter storms.

The money will go to organisations that played a key role in helping vulnerable customers who suffered power loss.

The new payments come after an investigation into how the companies handled the storms.
The new payments come after an investigation into how the companies handled the storms. Credit: PA

The firms have already paid out £4.7 million and committed to improvements.

Read: SSE and UKPN pay out for handling of winter storms

Severe weather over Christmas 2013 saw power cuts affect nearly a million homes and Ofgem has today put the industry on notice that any repeat of last year's performance issues will trigger further action.

Scottish and Southern Energy's payout totals £2.3 million to the British Red Cross, Age UK, National Energy Action, Macmillan Cancer Support, and to a new community fund.

Distributor UK Power Network totals paid £1 million to the British Red Cross, the Royal Association for Deaf People, Carer's Trust and Citizens Advice.

Read more: Compensation boost for weather-related power losses

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SSE and UKPN pay out for handling of winter storms

Energy provider Scottish and Southern Energy and distributor UK Power Network have agreed to pay out a total £8 million over their handling of last year's winter storms.

An additional £3.3 million has been secured by regulator Ofgem after the £4.7 million already paid out to customers over "exceptional" storms last Christmas in the south of England.

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