MICRO / NON MICRO BUSINESS CLASSIFICATION
Last year energy regulator Ofgem completed a probe into Britain’s energy supply market which included a detailed look at the small business sector of the market and the issues affecting it.
An outline of new rules recently introduced by Ofgem to give small businesses better protection in the energy market. The probe identified that the smallest businesses struggle to engage in the energy market. So, Ofgem has introduced new rules to give them better protection. The majority of small businesses in Britain are micro-businesses and Ofgem’s reforms
apply directly to these companies. Under the new rules a micro-business is defined as a company which*:
• consumes less than 200,000 kWh of gas
• consumes less than 55,000 kWh of electricity a year, or
• has fewer than ten employees (or their full-time equivalent) and an annual turnover or annual balance sheet total not exceeding €2m.
A Business only has to meet one of these criteria’s to qualify as micro business customer. |
