Investigation into BES and its compliance with Standard Licence Condition 7.3

Press release
Publication date
Industry sector
Supply and Retail Market
Licence type
Electricity Supply Licence
Gas Supplier Licence

Ofgem is launching an investigation into whether BES Commercial Electricity Ltd and Business Energy Solutions Ltd (together BES) are in compliance with rules that ensure deemed rates – the rates you pay if you are not in a contract with a supplier but are using energy – are not unduly onerous for customers. 

BES is a UK-based non-domestic utilities supplier based in Lancashire. 

The investigation will examine whether BES is in compliance with the requirements of Standard Licence Condition (SLC) 7.3. Where a customer is supplied based on a deemed contract relationship, the supplier is required by SLC 7.3 to take all reasonable steps to ensure that the terms of its deemed contracts are not unduly onerous. . 

The opening of this investigation does not imply that Ofgem has made any findings about non-compliance. 

See how we handle investigations and our Enforcement Guidelines

Notes to editors 

A deemed contract normally applies if you move into new business premises, begin to use electricity and/or gas, and you don’t agree a contract with a supplier. You could also be on a deemed contract if your current contract ends but the supplier continues supplying energy that you use, if the original contract does not state what will happen at the end of a contract or does not have renewal provisions. Please note, Ofgem will not be able to offer further comments on ongoing investigations.