After a report that found that the practice was being used against vulnerable people, the British regulator Ofgem has asked energy suppliers to stop using court orders that allow the forced installation of prepayment metres in people’s homes.
Energy regulator, Ofgem’s CEO Jonathan Brearley said on Thursday that he had asked all energy suppliers to review their activities regarding court warrants and prepayment meters (PPMs).
“Suppliers need to reassure us that the processes for customers being moved onto PPMs are compliant with all Ofgem rules and, until this is done, we have asked them to pause forced installations,” Brearley said.
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British Gas earlier said that it would temporarily stop using such court orders after the report found that the Centrica-owned firm was engaging in the practice by sending debt collectors who target vulnerable customers.
The court warrants obtained by British Gas can be used by a contractor to break into the homes of customers who have fallen behind on their bills to install prepayment meters, meaning they could have their heating cut off if they did not pay.
The report cited instances of a father with three young children, a woman with mental health problems and a woman with a disabled daughter all being affected. Britain’s business minister Grant Shapps called the forced installations “outrageous” and called on energy companies to suspend the practice.
Earlier, he said that he was “horrified” by the report and that the government would hold meetings with Centrica to address the “systemic failure”.
On his part, Brearley said that Ofgem was opening a comprehensive investigation into British Gas and would not hesitate to take the strongest action needed.
“It is astonishing for any supplier not to know about their own contractors’ behaviour, especially where they are interacting with the most vulnerable in our society,” he said.
Story was adapted from Zawya.
