PEER Regulatory Roundtable on Bundled Products - Energy case from a multi-sectoral authority - Remko Bos October 2nd 2017 | Brussels

The Netherlands Authority for Consumers and Markets ACM The Netherlands Authority for Consumers and Markets The authority with combined powers in consumer protection, competition and sector-specific regulation Consumer Competition Post and Telecom authority (CA) authority and regulator (OPTA) Energy regulator (NMa)

ACM strategy Goal: “To enhance consumer welfare” Mission: “ACM promotes opportunities and options for businesses and consumers.” Strategy: Consumers are central Problem-solving approach The effects come first, the choice of instrument follows Contribute to consumer welfare (short and long term) Keeping an eye out for public interests

ACM: reaching synergy Foundation for integrated oversight – effective use of toolbox Easier cooperation across domains Exploit interaction between consumer protection, competition law enforcement, and sector-regulation Reduce the risk of regulatory capture Share and increase (market) information and knowledge

Case: Information Standards Energy Goal: Seamless information flow throughout the complete consumer lifecycle Information should be: Understandable Comparable Consistent Problem: Not one supplier fully complied with the general consumer protection rules Orientation phase Contratual phase Information on price changes Billing/ Termination

Case: Problem

Case: Approach Take a consumer life cycle approach Combine consumer protection law and energy specific legislation Translate the consumer protection rules to the practice of the energy sector in a guidance document Explain the rules clearly and simple Check compliance and enforce where necessary

Case: Approach Orientation Contract Price changes Billing - Personalized offers (yearly usage and address) - Based on total expected annual costs - Matching contract to the offer - All essential information in the contract - Start date of supply, monthly costs, cooling-off period - Timely advance notice of price changes - Bill follows seamlessly from the offer, contract and price changes - Bill can be used to check if the consumer has gotten what was offered and what was agreed on in the contract

Energy and bundled offers Approach based on general consumer protection law is equally applicable to energy contracts with and without bundled offers Offers are based on total annual costs for the total bundle: Including an energy management tool Including a cashback or loyalty scheme Including a maintenance contract This way comparability of offers is ensured

Concluding remarks Combined approach proved very efficient in the energy case: Sector specific legislation complimented with consumer protection law Guidance Enforcement This will also hold for bundled goods But also for other fields of oversight and enforcement Privacy Data protection Precondition for this approach: Very close cooperation between NRA and consumer protection authority or other authorities In the energy case the founding of ACM has made this relatively easy for us

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