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Nine energy suppliers may be banned from taking on any more customers unless they become users of the Data Communications Company (DCC), Ofgem has warned.
In an announcement this morning (10 January) the energy regulator said it was consulting on whether to issue the nine with final orders requiring them to become users as required by the standard licence conditions.
The suppliers in question are:
- Ampoweruk
- Better Energy Supply
- Daligas
- Enstroga
- Entice Energy Supply
- Euston Energy Ltd (trading as Northumbria)
- Green Energy Supply
- Symbio Energy
- UK National Gas
If the final orders are issued then each supplier would be required to become a DCC user by 31 March this year and would be banned from taking on new customers from this date.
The order would remain in place until the supplier becomes a DCC user.
All suppliers were required to become DCC users from 25 November 2017, or on exiting the controlled market entry process, to enable the enrolment of first generation smart meters (SMETS1) and drive the installation of next generation (SMETS2) smart meters.
Until these nine suppliers are DCC users, customers with a DCC-connected smart meter who switch to any of the suppliers will lose the functionality of their smart meter on switching, leaving meters operating in “traditional” mode.
Ofgem says this causes consumer detriment and could undermine confidence in the smart meter programme and switching process.
Further enforcement action will be considered by the regulator if the suppliers fail to comply with any final orders issued, meaning licences could be revoked.
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