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Prepayment meter (PPM) customers without a smart meter may be left without power following the supplier of last resort (SoLR) process due to compatibility issues, a charity has warned.
Peter Smith, director of policy and advocacy at National Energy Action (NEA), was responding to concerns raised by PPM specialist Omni Energy about the impact of the SoLR process on PPM customers.
The disruptor brand has this week emailed its c.10,000 customers warning them it is likely to cease trading “before the end of November”.
It criticised the SoLR process as “not effectively geared up” to support PPM customers as there is an “increased risk of self-disconnection” and “uncertainty” over who they should contact if they encounter any meter issues or need additional support credit.
When asked about the impact of SoLR on PPM customers, Smith said NEA was “particularly concerned” about how the process works for those without a smart meter.
He said: “As this wholesale gas price crisis worsens, more and more customers will likely see their supplier fail and be moved to a new one through the supplier of last resort process.
“We are particularly concerned about how the process works for prepayment meter customers because if they have a legacy (non-smart) PPM, then issues can arise over compatibility with their new supplier’s top up card, risking them losing supply.
“Four in 10 claimants of Universal Credit are on prepayment meters so some of the most vulnerable could be affected by this issue.”
Smith said NEA wants the regulator to ensure vulnerable customers are not put at risk when their supplier fails and provide deeper protection for those on low-incomes.
“The decisions we take now will determine whether this is a crisis through which we support the most vulnerable households or a catastrophe,” he added.
Responding to the comments, an Ofgem spokesperson said: “In the event any supplier fails, Ofgem has robust systems in place and our safety net ensures all customers’ electricity and gas supply continue.”
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