ACS has welcomed an announcement from energy company Opus on plans to stop the use of rollover contracts.

In an announcement posted on the company’s website, Opus state that will cease offering the automatic rollover contracts to all new customers as of October 2014. All existing customer contracts will stop auto-renewal by Spring 2015.

ACS has welcomed new evidence from Citizens Advice on small business energy contracts, and has renewed its call on Ofgem to ensure that all energy companies adhere to the same standards. 

The survey from Citizens Advice reports that 46% of small businesses are concerned about their electricity bills, compared with 16% who were worried about access to finance. 

ACS research conducted last year revealed that 88% of retailers believe that further regulation of suppliers is necessary for a fairer marketplace. 

ACS has hailed a new consultation from energy regulator Ofgem as the beginning of the end for rollover contracts.

In the consultation, published today, Ofgem have announced that they will be monitoring the activity of suppliers who still use automatic rollover contracts for their customers over the next six months. Ofgem have stated that if it cannot be proven that rollover contracts provide a tangible benefit to business consumers, there will be no place for them in the market in the future.