New agreements with various partners and technical solutions for how they buy electricity means that Tibber is going back to the old model of payment in arrears. – This means that we can reduce the number of days we post for customers. In addition, the electricity prices are lower than the forecasts for the winter because we are changing the practice, says Tibber CEO Edgeir Aksnes. For customers, this means that the invoice they receive at the beginning of March will contain actual consumption in February, and not an estimate for March in addition. The Tibber boss expresses relief that the company “can finally discontinue the arrangement with advance invoicing”. Before Christmas, Tibber fell from 1st to 104th place on the list of the most liked streaming companies in the country. In the same autumn, the company was found guilty of breaking the law after they changed their invoice routines with two days’ notice. The law states that customers are entitled to 14 days’ notice when the conditions are changed. – When we started with advance invoicing, it was to avoid making the agreement more expensive for our customers, but we have learned that predictability is the most important thing, says Aksnes. Photo: Gaute Haaversen-Westhassel Several electricity companies in financial trouble Tibber explained the change to advance invoicing with “liquidity challenges”, higher interest rates, more expensive electricity and the “absence of state guarantees for Norwegian electricity companies”. Over the past year, several Norwegian electricity companies have found themselves in a financial crunch because the outlay for electricity was higher than they had expected. Economist Peter Warren believes that the equity capital of Norwegian power companies “is generally too low in relation to the obligations they take on”. – The power company needs to harmonize the equity with increasing customer volume and fluctuations. By doing this, the equity will be in proportion to the obligations they take on, he says to news. The last half year has therefore been a story of bankruptcies, customer suspensions and increased mark-ups. Figures from the Consumer Council show that the price of the spot price agreement itself for an “ordinary household” increased by 11 per cent last year. Tibber instead chose a different strategy – pre-invoicing. A choice of path that has cost them a pet egg stamp and an unknown number of customers (the company will not state how many). – When we started with advance invoicing, it was primarily to avoid making the flow and the agreement more expensive for our customers, but we have learned that predictability and control are the most important things, says Aksnes. In Norway, Sweden, Germany and the Netherlands, the company has a total of 400,000 customers. – I understand that many people saw question marks about the power situation and the price of electricity, says Prime Minister Jonas Gahr Støre (Ap). Photo: Terje Pedersen / NTB – It is great that they have listened to their customers. The reversal started in December when customers were offered to pay for actual consumption up to and including the due date. Thomas Iversen, senior adviser at the Consumer Council, referred to it as “a step in the right direction”. – It is great that they have listened to their customers. The Consumer Council does not recommend paying for electricity in advance, and we are positive that Tibber will once again give customers the opportunity to pay for actual consumption, he told news before Christmas. Prime Minister Jonas Gahr Støre brought up the high electricity prices in his speech to the Ap-lands board this week. – Prices have come down, but in parts of Norway they are too high, he said. He referred to “comprehensive support schemes to help people and businesses”, but added: – I understand that many people saw question marks about the power situation and the price of electricity.
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Tibber changes controversial invoicing practice – news Vestland
