ARTICLE AD BOX
By Kevin Peachey
Cost of living correspondent
Energy companies have been granted approval to resume the force-fitting of prepayment meters nearly a year after the tactic was suspended.
EDF, Octopus and Scottish Power can fit the meters again after meeting various requirements set by regulator Ofgem.
For years, energy companies were able to force-fit meters into homes when bills went unpaid.
But agents for British Gas were exposed fitting meters inappropriately.
They were forcing their way into the homes of vulnerable people, against Ofgem rules. The scandal emerged after an investigation by the Times newspaper and led to a public outcry.
New rules
The meters were fitted (or smart meters automatically switched to prepay mode) when people did not pay previous bills, and there was no prospect of payment. That was designed to avoid further debts building up because prepayment meters require gas and electricity to be paid for, before it is used.
Since February, no forced fittings of meters have taken place, and Ofgem has drawn up new rules that set out what suppliers are required to do.
Under the rules, meters should not be fitted:
- When customers are over 75, unless someone younger also lives in the home
- In households with children under the age of two
- If anyone lives there with a terminal illness or certain conditions which would get worse in a cold home
The inclusion of Scottish Power on the new list of approvals comes after it emerged that mothers of children under two were among those subject to the first warrants granted since the pause.
Another investigation by the Times in November found one mum had given birth just a few weeks before.
Scottish Power said it cancelled the warrants when it received the details.
As reported by the BBC, the first new batch of 124 warrants to fit the meters were made by Scottish Power at Berkshire Magistrates Court, sitting in Reading, in October.
A further hearing has been held since, but even if warrants were granted, they could not be acted upon until Ofgem gave final approval. The first three suppliers have now been given that status.
Tim Jarvis, director general for markets at Ofgem, said: "Protecting consumers is our number one priority. We've made clear that suppliers must exhaust all other options before considering forced installation of a prepayment meter, and consumers can help themselves by reaching out to their supplier as soon as possible if they think they won't be able to pay their bill, so payment options can be discussed.
"While nobody wants to see the practices uncovered last year repeated, we also know that allowing households to build up unsustainable amounts of debt isn't the right thing to do either."
Campaigners want a total ban on the force-fitting of prepayment meters. Such a ban would need to be introduced by government ministers.
What can I do if I can't afford my energy bill?
- Check your direct debit: Your monthly payment is based on your estimated energy use for the year. Your supplier can reduce your bill if your actual use is less than the estimation.
- Pay what you can: If you can't meet your direct debit or quarterly payments, ask your supplier for an "able to pay plan" based on what you can afford.
- Claim what you are entitled to: Check you are claiming all the benefits you can. The independent MoneyHelper website has a useful guide.