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Spain: Regulator fines EDP Energía over end-of-contract penalties

By  |  February 14, 2017

Spanish regulator CNMC has fined energy provider EDP Energía SAU with €900,000 euros over the company’s imposition of penalty charges on early termination of contracts with low-tension, non-domestic customers. This practice is forbidden by consumer protection laws.

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    The CNMC was notified by one of the companies affected by the penalties in September 2014. The unnamed company allegedly switched their electric supplier, causing a €2,400 euro “indemnity” charge due to early termination, despite having provided the legally required 15-day notice.

    The CNMC has decided to penalize the energy provider over a serious violation of consumer protection laws, while also imposing an obligation to modify all existing supply contracts to include new conditions on the termination of contracts.

    Full Content: Energy News

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