Ohm Energie Receives Unprecedented Sanction
The electricity provider Ohm Energie has been fined a record six million euros for abusive practices during the 2022 energy crisis, as announced by the Commission de régulation de l’énergie (CRE) on July 15th. The CRE’s investigation revealed that Ohm engaged in the bulk purchase of energy through the Arenh mechanism, later selling it at inflated prices in the market.
Investigation and Sanctions
The CRE initiated an inquiry into these practices in September 2022, amidst the energy crisis influenced by the post-Covid recovery and the conflict in Ukraine. The investigation concluded with the Cordis committee imposing a six million euro fine on Ohm Energie for misusing the right of regulated access to nuclear electricity (Arenh) during 2021 and 2022.
Response and Consequences
The CRE, responsible for overseeing the electricity retail market and ensuring consumer protection, expressed satisfaction with the decision to penalize Ohm Energie for Arenh abuse. This marks the first time a power supplier has been sanctioned under the Arenh regulations.
Ongoing Oversight and Industry Concerns
The increasing scrutiny of alternative operators by the CRE, in response to escalating energy prices, highlights the need for vigilance in detecting abusive practices within the sector. The energy retailer EDF was compelled by the government in early 2022 to increase its sales of Arenh amidst market volatility.
Industry Dynamics and Future Directions
Ohm Energie’s involvement in commercial practices that result in significant bill discrepancies underscores the need for continued monitoring and enforcement in the energy market. The ongoing investigations into other suppliers and calls for stricter regulatory measures indicate the importance of upholding fair competition and consumer rights.
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