Second target missed
Ovo Energy picks up SSE Energy’s meter bill
It was the second levy imposed on SSE (pic: Terry Murden)
Ovo Energy has been landed with a £1.2 million for bill for SSE’s failure to install enough smart meters in 2019.
SSE Energy Services failed to meet its smart meter installation target for 2019, before it was acquired by Ovo Energy in 2020, said industry regulator Ofgem.
Ovo will still pay the bill even though it only took over SSE’s retail business In January.
The regulator said Ovo has agreed to voluntarily pay the total bill to Ofgem’s consumer redress fund and therefore has decided not to take any formal enforcement action.
Under the UK government’s smart metering implementation programme, energy suppliers are required to take all reasonable steps to rollout smart meters to all homes and small businesses by mid-2021.
To work towards this, energy suppliers set individual annual targets for smart meter installations and Ofgem monitors performance.
Ofgem said it is “closely monitoring suppliers’ approaches to the rollout of smart meters and will use its discretion to hold suppliers to account if they do not meet their obligations”.
It is the second fine levied on SSE for a failure to meet smart targets. In 2018, Ofgem fined the company £700,000.
Ovo paid SSE £500m for its retail business and has cut more than 2,500 jobs, including a centre in Selkirk.