(qlmbusinessnews.com Fri, 20th Oct, 2023) London, UK —
Controversy Surrounds the Potential Return of Forced Prepayment Meters
After a scandal involving forced prepayment meter installations, a district judge has granted Scottish Power warrants to re-establish the practice. However, this won't take effect until it gains approval from energy regulator Ofgem, and no supplier has met all the necessary criteria yet.
The practice of forcibly fitting prepayment meters was halted following a public outcry when agents for British Gas broke into the homes of vulnerable individuals. In response, Ofgem formulated a code of conduct outlining the requirements suppliers must adhere to.
Scottish Power recently applied for 124 warrants to install meters, sharing cases in which customers hadn't paid energy bills that often exceeded £2,000 for gas and electricity. Company representatives detailed multiple attempts to contact these customers through various means.
The district judge granted all warrant applications. Nevertheless, Scottish Power pledged not to install a meter if they detected a high vulnerability risk upon entering the property. In every case, £30 would be credited to the prepayment meter during installation.
For these fittings to proceed, Ofgem's approval is necessary, in line with specific conditions. Ofgem has established clear conditions that suppliers must meet before they can resume involuntary prepayment meter installations, but to date, no supplier has met these requirements.
These conditions include obtaining independent verification of their ability to follow the rules, investigating wrongfully installed meters, satisfying the company's board, and regularly supplying monitoring data to Ofgem.
Additionally, suppliers must convince the courts that they can adhere to Ofgem's code of conduct, which becomes mandatory on 8 November. This code necessitates at least 10 contact attempts with the customer and a “site welfare visit.”
Prepayment meters shouldn't be fitted in homes with residents over 75 unless younger individuals live there, households with children under two, or households with terminal illnesses or conditions aggravated by cold homes. Lead fitters must use body cameras or audio equipment.
Campaigners are advocating for a complete ban on forced prepayment meter installations, an action that would require government minister approval. Simon Francis, coordinator of the End Fuel Poverty Coalition, stated that energy companies seeking forced entries into people's homes to install dangerous prepayment meters were inappropriate and put individuals at risk of disconnection and energy deprivation.
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