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‘UK domestic energy contracts, the 28 day rule, and experience in Sweden’

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  • Littlechild, S.

Abstract

In the UK, domestic customers must be able to terminate energy contracts at 28 days’ notice. This has been seen as a transitional protection for customers and for competition. This paper reviews the arguments for and against the 28 day rule, and examines the extent to which UK suppliers have offered fixed-price fixed-term contracts. It also looks at experience in Sweden, where there is no such restriction and where there is greater use of fixed-price fixed-term contracts. The paper concludes that there is no longer a need for the 28 day rule to protect customers, and that it is more likely to restrict than to protect competition.

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File URL: http://www.econ.cam.ac.uk/electricity/publications/wp/ep45.pdf
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Bibliographic Info

Paper provided by Faculty of Economics, University of Cambridge in its series Cambridge Working Papers in Economics with number 0431.

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Length: 35
Date of creation: May 2004
Date of revision:
Handle: RePEc:cam:camdae:0431

Note: CMI45, IO
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Web page: http://www.econ.cam.ac.uk/index.htm

Related research

Keywords: competition; electricity; regulation;

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Cited by:
  1. Littlechild, S., 2005. "Competition and contracts in the Nordic Residential Electricity Markets," Cambridge Working Papers in Economics 0550, Faculty of Economics, University of Cambridge.

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