OREANDA-NEWS. May 2, 2012. In response to the IPPR report ‘The true cost of energy’, SSE agrees that Ofgem must do more to stop the practice of ‘predatory pricing’ but refutes the allegation, as reported in the media, that all of the ‘Big Six’ are involved in this practice.

In October 2011, SSE made a commitment to never engage in any form of ‘predatory pricing’; and ensure that all customers have the opportunity to access all tariffs, regardless of how they choose to buy their energy. This pledge was reiterated last week as part of SSE’s update to its Building Trust commitments.

As can be seen by the graph below, SSE has the smallest price differentials of all the largest suppliers. Any discounts reflect the lower costs of certain payment methods and account usage, such as savings for direct debit.

SSE Chief Executive Ian Marchant said: “We’ve made our position on ‘predatory pricing’ very clear – we don’t do it. We believe that Ofgem must urgently use its enforcement powers to deal with unfair differential pricing to bring an end to this practice in the interests of all customers. In SSE’s view, ending this practice is one of the most important steps to improving the energy market.