Ecotricity, So Energy and Tomato Energy: smart meter issues

Details of outcome 

We have finished our compliance engagement with all energy suppliers to install smart meters under the Post 2020 targets framework. We have assessed energy suppliers’ performance against those requirements. 

We are no longer undertaking compliance engagement with any of the energy suppliers under this case. This outcome does not imply that Ofgem will not take further action should future concerns arise under successor frameworks or other relevant licence obligations. 

We have also reviewed how energy suppliers have worked to fix the problem with smart meters already installed but do not operate in smart mode (NOSM). This forms part of their ongoing obligations under Standard Licence Conditions 49 of the Electricity Supply Licence and 43 for the Gas Supply Licence.

So Energy and Ecotricity will remain in a reduced compliance engagement activity. 

The continuation of NOSM compliance engagement for these suppliers does not represent a finding of non‑compliance but reflects our assessment of where further assurance and progress are required to protect consumers and deliver intended smart meter outcomes. 

We will continue to monitor all suppliers’ performance against their ongoing smart meters installed but not operating in smart mode obligations and will consider further action where needed. 

Compliance case description 

We undertook compliance engagement with Ecotricity, SO Energy and Tomato Energy relating to their smart meter installation obligations and smart meters already installed but not operating in smart mode.   

This compliance engagement will examine whether these suppliers are in compliance with the requirements of Standard Licence Conditions (SLC) 39A and 49 of the Electricity Supply Licence  and 33A and 43 of the Gas Supply Licence and, if not, how they can bring themselves into compliance as soon as possible.   

SLCs 39A of the Electricity Supply Licence and 33A of the Gas Supply Licence relate to  suppliers installing a set number of qualifying smart meters between 1 January and 31 December each year, from 2022 until 2025, (known as the Targets Framework). Ofgem monitors performance against these targets on an annual basis.  

SLCs 49 of the Electricity Supply Licence and 43 of the Gas Supply Licence relate to suppliers taking all reasonable steps to ensure that smart meters already installed operate in smart mode. 

The opening of these compliance cases does not imply that Ofgem has made any findings about non-compliance by Ecotricity, SO Energy, and Tomato Energy. As with any compliance engagement, the outcome could range from a decision that there is no need for any further action through to the opening of an enforcement investigation, if appropriate.