THREE major energy suppliers have halted moving customers on to prepayment meters over the Christmas period.
Billpayers who fall into debt with energy providers can be forced on to pay as you go meters.
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It means they have to top up for their gas or electricity, rather than being billed for it later on, to avoid building up more debt.
But it can often be a more expensive payment method and can leave customers without gas and electric if they can’t afford to add credit.
Ovo Energy, Utilita and Shell Energy have halted forcing customers on to these types of meters over Christmas.
The pause of installations – which can be done without a customer’s permission under a court warrant – will be in place until December 31 for Ovo customers and January 3, 2023 for those with Utilita.
Meanwhile Shell has paused putting customers on to prepayment meters until the end of January.
It follows calls by The Sun for a temporary ban on moving customers onto pre-payment meters this winter.
Raman Bhatia, Ovo Energy’s chief executive, said pausing prepayment meter (PPM) transfers was the latest measure it had introduced to help customers this year.
He wrote in a letter to campaigners: “I would like to reassure you that we understand the critical role and responsibility that we have in supporting and protecting consumers this winter and beyond.
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He said Ovo “will not disconnect any household for non-payment throughout winter”.
But the energy boss did not commit to a longer-term ban on forced prepayment meter installations.
He added: “Unfortunately we are unable to commit to ending all customer transfers to PPMs for the entire winter period because we believe that it would be irresponsible of us as a business to leave any arrears unaddressed and allow them to build up into an unmanageable amount, given the critical role and responsibility that we have to support and protect our consumers this winter and beyond.
“As such, we consider mode-switching to be a meaningful intervention provided that best practice is followed and customer vulnerability is assessed at every stage of the process.”
Customers on PPMs pay energy as they use it. Suppliers can install them if customers fail to pay their bill and get into debt.
It’s usually a last resort if a customer has not tried to work out a payment plan, or can’t be contacted.
A supplier can get a court warrant to enter a home to install one without permission from the billpayer.
Anyone who has a smart meter can be moved on to a pay as you go mode without the supplier having to get a court order or the customer agreeing.
With rising energy bills and the cost of living crisis there are fears more people on prepayment meters will “self-disconnect”.
This means they don’t top up their meters and are left without gas and electricity.
The Sun spoke to a number of energy customers struggling on prepayment meters and called on the government and Ofgem to do more to support them.
Mr Bhatia said Ovo was “proactively” reaching out to customers they believed to be at risk of self-disconnecting.
We’ve asked other suppliers if they will pause installations and will update when we hear back.
What can you do if you’re struggling to pay for your energy?
There are some measures you can take if you’re struggling to pay for your energy.
If you fall into debt, you can always approach your supplier to see if they can put you on a repayment plan before putting you on a prepayment meter.
This involves you paying off what you owe in instalments over a set period of time.
If your supplier offers you a repayment plan you don’t think you can afford, speak to them again to see if you can negotiate a better deal.
Beyond this, a number of suppliers offer customers grants if they’re struggling to pay for energy bills.
A grant is a sum of money you don’t have to pay back, so it’s essentially free cash.
British Gas, Scottish Power, Ovo Energy, E.On, E.On Next, EDF, Bulb Energy, Octopus Energy and Shell Energy all offer the grants.
For the full list of providers offering grants, you can see our list here.
Plus, you might be able to get help from charities that can help you pay off your debt.
StepChange is one such charity, and you can call them for free advice on 0800 138 1111.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected]
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