Energy boss calls for ban on old-style key and card pre-payment meters

The boss of an energy company has called for an urgent ban on old prepaid energy meters, claiming they leave the most vulnerable at risk of energy poverty.

Utilita Energy chief executive Bill Bullen has called on regulator Ofgem to stop energy companies installing more devices, which require users to visit a store to top up their credit.

Up to four million households in the UK still use 1970s-style key-and-card pay-as-you-go meters, Utilita said.

More modern prepaid meters are “smart enabled”, allowing top-ups online or through an app, but traditional devices still require users to go to a charging point, such as a post office or a local store, to be able to recharge. load your key or card with money.

If they run out of credit and emergency credit, consumers could be cut off from power until they buy more.

In 2022, more than 3.2 million households were left without credit, according to Citizens Advice.

This can be a particular problem for retirees or disabled people, who cannot recharge their meter as easily.

In January, an inquest found Bernadette Faulkner, 80, died after falling from a ladder while trying to recharge her meter.

Bullen said those in fuel poverty suffer most from prepaid meters.

Energy poverty means that customers need to spend 10 percent or more of their income to heat their home to an adequate temperature.

Inadequate action: Bill Bullen says consumers are ‘suffering in silence’

Outdated meters also mean that consumers cannot effectively track their energy consumption. During the energy crisis, they had to use a voucher system to access payments to support Government bills.

Bullen said: “I am calling on the regulator to introduce an immediate ban on the installation of old meters and force suppliers to prioritize smart meter installations for prepaid households to stop the silent suffering.”

Prepaid meters can also be more expensive than other meters, as higher operating costs are passed on to consumers.

Bullen has pushed for a ban on pay-as-you-go meters since 2014, but said the lack of action is worsening the suffering of those most affected.

Energy suppliers can also switch some customers from a standard meter to a prepaid meter if they have debts to them.

This became more common during the cost of living crisis as more people fell behind on their energy bills, and was banned for a period.

Ofgem is clear that installing a prepaid meter without customer consent should only be a last resort, and energy companies have to make at least 10 attempts to contact a customer before installing a prepaid meter.