• 4 minutes The Federal Reserve and Money...Aspects which are not widely known
  • 8 minutes How Far Have We Really Gotten With Alternative Energy
  • 12 minutes  What Russia has reached over three months diplomatic and military pressure on West ?
  • 3 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 18 mins Is Europe heading for winter of discontent with extensive gas shortages?
  • 18 hours Sand Powered Batteries for Heating Industries and Homes
  • 5 days Once seen as fleeting, a new solar tech proves its lasting power
  • 5 hours Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 10 hours "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 10 hours "The Global Digital ID Prison" by James Corbett of CorbettReport.com
  • 2 days Bloomberg - "Hedge Funds Hit by ‘Onerous’ ESG Rule Turn to Lawyers for Help"
New ESG Rules Are Hurting American Farmers

New ESG Rules Are Hurting American Farmers

Small farms and ranches in…

U.S. Funds Set Sights On Venezuela Oil Investment

U.S. Funds Set Sights On Venezuela Oil Investment

Gramercy Funds Management and Amos…

City A.M

City A.M

CityAM.com is the online presence of City A.M., London's first free daily business newspaper. Both platforms cover financial and business news as well as sport and…

More Info

Premium Content

Two More Energy Companies Go Under As Crisis Worsens

  • Two more European power companies have ceased trading due to Europe’s worsening energy crisis. 
  • Under the regulator’s safety net, customers’ energy supply will continue, and funds that domestic customers have paid into their accounts will be protected.

Whoop Energy and XCel Power have ceased trading – affecting around 550 customers.

Consumers from both energy firms will be designated a new supplier by market regulator Ofgem – through its supplier of last resort process.

Whoop Energy (Whoop) provides gas and electricity to 262 customers, including 50 households (domestic consumers).

XCel Power (XCel) is a gas only service, that is responsible for 274 non-domestic customer accounts.

Neil Lawrence, director of retail at Ofgem, said: “Ofgem’s number one priority is to protect customers. We know this is a worrying time for many people and news of a supplier going out of business can be unsettling.” 

Under the regulator’s safety net, customers’ energy supply will continue, and funds that domestic customers have paid into their accounts will be protected, where they are in credit.

Domestic customers will also be protected by the energy price cap when being switched to a new supplier.

However, the costs facing households remain stark, as the mechanism was hiked 54 per cent earlier this month.

From April, the price cap will rise to £1,971 per year for average use, with industry experts warning of further price rises this spring.

The price cap is currently set at £1,277 and had prevented suppliers passing on soaring wholesale costs – which rose five-fold over 2021.

Following XCel and Whoop exiting the market, 28 firms have collapsed since September while Bulb Energy has entered de-facto nationalisation, being propped up by public money in the biggest state bailout since RBS in 2008.

This has directly affected over four million customers, with 2.3m being switched to surviving suppliers by Ofgem.

Currently, Ofgem is in the process of reforming the market to ensure suppliers are more resilient to future market shocks.

It is set to roll to financial stress tests to encourage hedging, and wants to review the price cap every three months rather than just twice a year as it currently does.

It has also announced temporary measures, such as requiring suppliers to offer the same deals to existing customers it does to potential new customers, and levies for taking on consumers from other firms.

According to Sky News, it is facing legal proceedings from a trio of adminsitrators, that are challenging the regulator’s creditor status at multiple fallen suppliers.

By City AM

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News