Ovo has put a halt to forced prepayment meter (PPM) installations over Christmas in a bid to help customers through the cost of living crisis.
The energy supplier confirmed that the measure, which is already in place, will last until December 31. It means that customers who have fallen into debt on a credit meter and face having their supplier install a pay-as-you-go replacement will have respite over the festive period.
In a statement issued on Thursday, an Ovo spokesperson said: “Over the Christmas period we have paused all mode switching to ensure that we take every reasonable step to contact and support our customers.” The supplier's chief executive Raman Bhatia said in a letter to campaigners that it is one of a series of measures introduced by Ovo to help customers this year.
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The move comes amid calls from campaigners to ban compulsory PPM installations, which are made under court warrants. PPMs require regular top-ups and charge at a higher rate, which means customers who are already in debt may struggle to keep up with payments.
Mr Bhatia wrote: “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.” He added that Ovo “will not disconnect any household for non-payment throughout winter” - but stopped short of committing to a longer-term ban on forced PPM installations.
“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,” he said.
Campaigners reacted to the news by calling on more energy suppliers to act, as well as putting pressure on the Government to ban PPMs completely. Simon Francis, co-ordinator of the End Fuel Poverty Coalition, said: “Even the energy firms are now waking up to the reality that prepayment meter customers are struggling in cold, damp homes this winter.
“Research for the Warm This Winter campaign has shown that these customers are likely to be vulnerable or have health conditions made worse by being unable to stay warm. Many will have been forced on to a prepayment meter against their will. The Government must act urgently to ban any further forced installations of prepayment meters either by court warrant or by smart meter.”
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