Forced installation of prepayment meters has long been a contentious issue, causing distress to vulnerable customers who may struggle to manage their energy bills. The good news is that from December 15th, 2020, energy suppliers in the UK are banned from installing prepayment meters for people aged 85 and over, or those with a medical condition exacerbated by the cold. In this article, we will explore the reasons behind this important decision, the impact it could have on vulnerable customers, and what it means for the future of energy provision in the UK.
The SDC Article Header component contains information about new guidelines introduced by energy regulator Ofgem. These guidelines extend protections for vulnerable people, but have faced criticism for not going far enough. Among the updated regulations, energy firms must follow a specific protocol before forcibly installing a prepayment meter, including attempting to contact the customer at least ten times and conducting a “site welfare visit.” Workers are required to wear cameras or sound recorders to ensure compliance with the code of practice. Additionally, forced installations are prohibited in the homes of individuals with severe health issues or those 85 and older who lack a caretaker. The revised regulations also provide protection for people with health conditions exacerbated by a cold home and those requiring continuous electricity for medical equipment. Ofgem previously prohibited prepayment meters in the homes of vulnerable customers but discovered that British Gas debt collectors had forced installations. The new code of practice has been developed in conjunction with government, stakeholders, and industry and includes requirements for offering credit and reassessing a customer’s case after repaying debt. All British suppliers have signed up, and Ofgem is considering incorporating it into service license agreements to enforce it. However, some groups have expressed concern over the regulations’ efficacy and scope of protection.
In conclusion, the ban on forced installation of prepayment meters for the elderly and vulnerable individuals with worsened conditions due to cold weather is a step in the right direction. This decision will provide these individuals with the necessary protection and alleviate any stress associated with the installation of prepayment meters. It is important for energy companies to prioritize the welfare of their customers and ensure they have access to safe and reliable energy supply. We hope that this ban will encourage further policies that put the needs of the elderly and vulnerable at the forefront of company decisions, ultimately ensuring a more equitable society for all.
Ofgem’s New Code of Practice for Prepayment Meters: Extending Protections for Vulnerable Customers or Falling Short of Expectations?
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