The Consumers Association (Which) has noted:
Energy companies are failing to properly explain the regulator’s new price-comparison tool to consumers. When we called 13 suppliers six times each – a total of 78 times – we were provided with accurate information in only four (5%) of our calls.
When we called the energy companies in July 2014, we asked them to explain the Tariff Comparison Rate (TCR) – introduced in April by regulator Ofgem, this is a single rate that tells you how much a tariff costs per kilowatt hour, based on medium usage.
It’s important that energy firms can explain TCR accurately, because simply choosing the lowest TCR doesn’t necessarily mean you will pick the cheapest deal for you – as your energy use may differ from a medium user.
We are calling for energy suppliers to adopt simple pricing, presented in the style of a petrol forecourt display, so people can more easily compare tariffs and find the best deal for them.
Which Website 19 November 2014 : Energy suppliers fail to explain ‘simple’ tariff rate
The Tariff Comparison Rate (TCR) is a fudge – any attempt to explain something complex by grossly simplifying usually is.
The question is do we need such a complex pricing structure?