PayPoint, the payment system company, said it contacted its energy sector clients to waive the rights of exclusivity in its agreements.
In that time, the company also re-tendered with several of its clients in the energy sector on a non-exclusive basis, according to a statement.
Today’s announcement was part of the group’s response to Ofgem’s statement of objections issued in September 2020, which related to certain contractual terms with energy suppliers and retailers for the provision of over-the-counter payment services.
Just over a year later, PayPoint confirmed the energy regulator accepted its voluntary commitments to address the concerns raised.
These voluntary commitments included removing exclusivity clauses from its current and future client and retailer partner contracts, as well as making a £12.5mln donation to Ofgem’s energy industry voluntary redress scheme.
Recently, the company said it received a ‘letter before action’ from a small number of market participants related to the issues addressed in PayPoint’s voluntary commitments.
PayPoint said it has reviewed this correspondence and intends to respond “robustly” while continuing to take appropriate legal advice.