DGB Energie to stop its telemarketing activities aimed at attracting new customers

For the next three years, Dutch energy company DGB Energie will not sell any energy contracts through telemarketing activities. DGB Energie has made this commitment to the Netherlands Authority for Consumers and Markets (ACM). ACM has handed down a decision in which the commitment has been declared binding. This commitment was prompted by investigations conducted by ACM following reports filed by consumers about misleading telemarketing calls involving DGB Energie contracts. ACM hopes that this decision to stop attracting new customers using telemarketing activities will be widely followed by other energy suppliers.

In an ACM investigation, indications were found suggesting misleading practices had taken place in telemarketing activities aimed at attracting new customers on behalf of DGB. For example, in recordings of conversations that were carried out by telemarketers on behalf of DGB, ACM heard that consumers were not told at the beginning of the conversation that they were being called with the intention to sell a new contract. Instead, consumers were told, for example, that the call was made to check the consumer’s energy prices or to make an administrative change due to a switch to a different supplier. In addition, it often happened that only at the end of the conversation (the ‘voice log’), so after the agreement had been made, did the telemarketer discuss the conditions and tariffs. Since DGB Energie as the supplier is responsible for selling the contracts, ACM has confronted DGB Energie with these practices.

With this commitment, DGB ends its telemarketing activities for attracting new customers. In addition, DGB Energie made the commitment that customers who took out contracts through telemarketing calls between 1 August 2021 and 1 July 2023 are able to terminate their contracts early without having to pay an early-termination fee. DGB Energie will actively inform the customers involved about this. Also, DGB Energie made the commitment that, going forward, a third-party advisor will assess whether future customer-attraction activities comply with consumer-protection rules.

Edwin van Houten, Director of ACM’s Consumer Department, says: “It’s positive to see that DGB Energie has decided to stop, for at least three years, its telemarketing activities aimed at selling energy contracts. Taking out a new energy contract is a major purchase. People need time to think about that and to compare different suppliers. It would be good if other suppliers followed this example and also stopped their telemarketing activities.”

As DGB Energie has now made commitments to stop its telemarketing activities for the next three years, ACM decided not to continue its investigation. ACM checks whether DGB Energie complies with this commitment. If DGB Energie does not comply with the commitment, ACM will resume taking enforcement action.

Recommendations for consumers

Many people find it annoying when companies or organizations make unsolicited calls. That is why companies need to comply with telemarketing rules. Companies can only make telemarketing calls to consumers if those consumers have explicitly agreed to such calls or if they have been customers with the company or still are. ACM’s consumer information portal ACM ConsuWijzer has more information and tips for people that still receive unsolicited phone calls (in Dutch).

ACM also points out to consumers that energy contracts that are offered through unsolicited telemarketing calls are not always the best choice for consumers. That is why ACM advises consumers not to accept an offer for a new contract during a telemarketing call, but always very carefully examine the adjusted rates first, and to compare these with their current contracts and offers from other suppliers. Recommendations on how to choose a new energy supplier (in Dutch) can also be found on ACM ConsuWijzer.