In its annual report, the Committee on Gas Poverty expressed disappointment with Ofgem‘s Involuntary prepayment meter (PPM) Code of Observe, stating that it lacks ambition.
The committee known as on the power regulator to actively monitor the state of affairs and take measures to safeguard prospects who’re unfairly switched to PPMs by their suppliers.
In its report, the committee acknowledged: “We notice Ofgem’s Invontary PPM Code of Observe, which is disappointingly restricted in ambition. Ofgem should guarantee it is aware of what is going on on this area over the approaching 12 months and take motion to guard prospects who will not be handled pretty by their suppliers in being switched involuntarily to paying via PPMs.
“And people suppliers who’ve been lively in forcibly switching prospects on to PPMs must assume lengthy and arduous as as to whether they need to ever restart this apply.”
The Committee on Gas Poverty has known as for higher safety of consumers who’re involuntarily switched to PPMs, urging power suppliers to rethink this apply.
The advisory public physique has additionally proposed a winter ban on PPM installations to handle the strain between monetary vulnerability evaluation and suppliers’ entry to crucial info.
An Ofgem spokesperson advised ELN: “We’re completely dedicated to defending essentially the most susceptible power customers and acted rapidly and decisively when issues round involuntary PPMs installations have been raised.
“On high of agreeing an preliminary full halt and launching Investigations and compliance critiques we’ve created, in session with shopper teams and charities, a strict new code for putting in PPMs that every one suppliers have signed as much as.
“The following step can be to enshrine this code into licensing guidelines. We are going to proceed to observe provider behaviour and the affect on susceptible and low earnings customers very carefully. Lengthy-term, the answer to affordability points is cheaper, cleaner, homegrown power for all and that’s exactly what our internet zero ambitions will ship.”