Ofgem launches investigation into SSE’s pre-payment meters
It will look at whether the company has breached regulations
ENERGY watchdog Ofgem is investigating Scottish and Southern Electricity after raising concerns that vulnerable people may be treated unfairly when switching to a pre-payment meter.
The Scotland based company often switches customers to pre-payment tariffs.
The probe will focus on the impact of the process on those in potentially vulnerable situations.
A statement on the watchdog's website said: "We are concerned that SSE may not have been treating its customers fairly when switching them to pre-payment meters (PPMs) particularly those in vulnerable situations."
It added: "Licensees must offer certain services when they become aware or have reason to believe that the customer is having or will have difficulty in paying all or part of their charges.
"These services include the facility to pay charges by deduction at source from social security benefits, to pay by regular instalments through means other than a PPM and by using a PPM.
"SLC 27.8 requires that licensees must take all reasonable steps to ascertain the customer’s ability to pay and must take this into account when calculating instalments."
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Ofgem will consider if SSE has breached its Standards of Conduct.
It will also look at licence conditions, which may have been breached, which require the company to provide appropriate information and ensure customers are able to pay when suggesting alternative payment methods.
A spokesman for the energy provider said: "We are committed to treating all our customers fairly and will be cooperating fully with Ofgem's investigation into this historic issue."
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