- Non-smart meters require users to top up keys and cards at a store
- Bill Bullen says older meters are leaving vulnerable consumers ‘suffering in silence’
- More than 3.2 million households no longer had prepaid energy credits in 2022
The boss of an energy company has called for an urgent ban on old-fashioned pre-payment energy meters, saying the most vulnerable are at risk of fuel poverty.
Utilita Energy chief executive Bill Bullen called on regulator Ofgem to prevent energy companies from installing more devices that require users to visit a store to top up their credit.
As many as four million households in Britain still use key and card payment meters from the 1970s, Utilita said.
Outdated: Older prepayment energy meters require consumers to top up their credit at certain top-up points
More modern pre-pay meters are ‘smart-enabled’, allowing top-ups online or via an app – but older devices still require users to go to a top-up point, such as a post office or local shop, to charge their key or card with load money.
If they run out of credit and emergency credit, consumers can cut off their energy until they buy more.
According to Citizens Advice, more than 3.2 million households would no longer have credit in 2022.
This can be a particular problem for retirees or disabled people, who cannot easily top up their meters.
In January, an inquest heard that 80-year-old Bernadette Faulkner died after falling from a ladder while trying to top up her meter.
Bullen said people in fuel poverty suffer more from prepayment meters.
Fuel poverty means customers have 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’
The outdated meters also mean that consumers cannot properly monitor their energy consumption. During the energy crisis, they had to use a voucher system to access government support payments.
Bullen said: ‘I call on the regulator to introduce an immediate ban on the installation of old-fashioned meters, and to require suppliers to prioritize the installation of smart meters for pre-paid households to stop the suffering in silence .’
Prepayment meters can also prove to be more expensive than other meters as higher operating costs are passed on to consumers.
Bullen has been lobbying for a ban on pay-as-you-go meters since 2014, but said the lack of action is exacerbating the suffering of those hit hardest.
Energy suppliers can also switch some customers from a standard meter to a prepayment meter if they have debts with them.
This became more common during the cost of living crisis, as more people fell behind on their utility bills, and was banned for a period.
Ofgem is clear that installing a prepayment meter without the customer’s consent should only be a last resort, and energy companies must make at least ten attempts to contact a customer before installing a prepayment meter.