ACM: Energy supplier HEM must put in order its administration, its finances, and refunds to consumers

Allround Hollands Energie B.V. (trading under the name Hollandse Energie Maatschappij, or HEM) must put its finances and administration in order soon, and it must pay back consumers any money it still owes them in connection with their final bills or annual bills. To that end, the Netherlands Authority for Consumers and Markets (ACM) has attached additional conditions to HEM’s licenses.

ACM’s oversight

All businesses that wish to supply natural gas and/or electricity to consumers and other small-scale users must have a license from ACM to do so. ACM checks whether suppliers are able to supply energy in a secure manner and whether businesses comply with the organizational, financial, and technical qualities. If an energy supplier does not comply with the license requirements, ACM will take action. In October 2022, ACM heightened its oversight on energy suppliers.

Investigation into HEM

ACM conducted an investigation into HEM and found that, of all consumers whom HEM still owed money in connection with their final bills or annual bills, HEM paid them back their money too late in approximately six out of ten cases. Also, its financial position and administration did not comply with the requirements that energy suppliers must meet.

Additional requirements

That is why ACM has attached additional requirements to HEM’s supply licenses. In addition to paying bills on time, HEM must show, among other requirements, that it has strengthened its equity, and that it has regular and robust financial projections. HEM must comply with these requirements in order to prevent ACM from revoking its supply licenses.

Edwin van Houten, Director of ACM’s Consumer Department, explains: “Customers of HEM that are owed money in connection with their final bills or annual bills have to wait too long for their refunds. Consumers must be able to assume that suppliers have their affairs in order, and that they will be refunded quickly if it turns out they paid too much in monthly payments. That is why ACM takes action.”

HEM has filed an objection with ACM against the decision to impose additional license requirements, but it has already made the first steps in the implementation of the requirements.