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Islington Tribune - by ROISIN GADELRAB
Published: 11 April 2008
 
ELECTRICITY BILLS SHOCK

Town Hall battles energy firm as leaseholders are asked to pay up

THE Town Hall has launched a major battle on behalf of 1,000 leaseholders facing electrical repair bills of up to £3,000 each.

The council’s housing agency, Homes for Islington (HfI), is telling residents they should not pay a penny for work to replace electrical cables connecting individual meters to the electricity supply.
The bill for the work is around £4 million. The council has joined up with Camden and Westminster to ask government energy regulator Ofgem to intervene in their battle to ensure electricity company EDF Energy take responsibility for paying for the repairs.
HfI are undertaking the work but are calling for EDF to pay. EDF want leaseholders to foot the bill.
Homes on Harvist estate, Spa Green estate and Highbury Quadrant are among those affected.
Anyone who has received a bill for works will not have to pay anything until after the matter has been resolved.
Islington’s housing chief Councillor ?Terry Stacy said: “We are on the side of leaseholders, and we’re standing up to this giant energy company. These repairs are EDF’s responsibility and shouldn’t fall on leaseholders. It’s not acceptable for this company to shirk their responsibilities.”
Jo Wymer, who lives in Grimthorpe House, Percival Street estate, Clerkenwell, received a bill for more than £2,500. She said: “It’s not even six feet to my meter and they brought the cables through existing cavities. They were here for about half an hour.
“It’s a huge amount of money. I’m a single parent. It’s extremely unfair. There are quite a few elderly people who are leaseholders who have started making payments because they are frightened they will be hit by interest. It’s great news that they are challenging this.”
Owen Hart, of Islington Leaseholder Action Group, received a bill for £2,000.
He said: “While most other London councils are seemingly happy to pay, and send bills to leaseholders, Islington is taking the lead to fight these charges. With EDF appearing to be the only power distributor in the country engaged in these shameful practices, we believe Islington has a solid case. A precedent needs to be set.”
Brian Potter, former chairman of Islington Leaseholders Forum said: “I hope leaseholders will be relieved of this additional burden on their finances.
“Since the outcome could ultimately affect all leaseholders an unfav­ourable decision could result in many of our most vulnerable residents, such as pensioners and first-time buyers, who have already been grossly overcharged for work undertaken to date, being driven even more deeply into debt.”
The issue will be discussed at the first open meeting of the Islington Leaseholders Association in the Town Hall on Wednesday April 16.
A spokesman for EDF said: “As EDF has referred the matter to Ofgem to make a decision it would not be appropriate to comment at this stage.”
A spokesman for Ofgem said: “The matter has been brought to us for a determination.
“We will take a view from all sides and in due time we’ll take a decision.
“All we’re here to do is to determine who should pay for the works.”

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