Question
To ask the Secretary of State for Energy and Climate Change, what steps he is taking to ensure that Ofgem ensures that consumers are made aware of the potential effects of the installation of pre-payment meters on energy debt repayments.
Through conditions in the supply licence enforced by Ofgem, energy suppliers must take all reasonable steps to find out what is affordable to the individual consumer in debt, and include the value of the total charges that will be recovered through a pre-payment meter when agreeing a debt repayment plan with a consumer. Ofgem monitors suppliers’ behaviour and if they do not comply with these conditions then Ofgem can take enforcement action.
Ofgem are currently reviewing suppliers’ practices relating to the provision of information to prepayment customers, and exploring options to improve the flow of information for pre-payment meter customers.