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Delays hit letters giving council tenants chance to ditch solar energy contracts

Letters offering council tenants the chance to withdraw from controversial solar energy contracts have been delayed due to postal strikes. But the Community Energy Scheme says that its customers will still have time to decide whether to take up the offer when they receive the letter.

More than 5,000 council houses in Stoke-on-Trent have had solar panels installed through the CES, but the scheme has been plagued with problems around contracts, installations and sales.

CES announced in December that it was writing to all of its customers in Stoke-on-Trent, giving them the choice of sticking to their current contracts, changing to an updated contract with more ‘user-friendly’ language, or switching back to getting all their electricity from the National Grid – although the panels would remain on the properties. Tenants would be given 45 days to decide between the three options.

READ: Council tenants with solar panels on their roofs can now ditch energy deal

But the letters have been delayed, with many customers saying they only received theirs last week – leading to concerns that they would not have sufficient time to make an informed decision. CES says that the letters have been sent by tracked delivery, and the 45 days will only start from the day they were received, rather than the date of the letter.

The company has also blamed the delay on the industrial action taken by CWU members at Royal Mail during December.

Councillor Desiree Elliott, who has been investigating the issues surrounding CES on behalf of tenants, is urging people to be careful with how they respond to the letter, when they do eventually get it.

She said: “I’m worried that a lot of vulnerable people will get this letter and think that they will be able to completely withdraw from having to deal with CES, but that isn’t the case. They will still have to allow CES to have access to the panels after they have withdrawn from their contract.

“There are also tenants who have contracts that don’t have CES on them, or RAC001 Limited, which was the company’s previous name. So I would advise people against signing anything when it’s not clear what it will mean.”

CES is currently under investigation by Ofgem, but the company insists that it was not required to give customers the chance to withdraw from contracts by Ofgem.

The company also says that it is ‘very likely’ that customers who do choose to switch back to grid energy will end up paying more for their electricity. If a council tenant withdraws from their contract, CES says it will still require access to the solar panels, with any energy generated by them sold by the company to the National Grid.

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