Octopus Energy granted £13.2m to cover failed supplier Iresa’s debts

The money includes almost £11.5m in customer credit balances

Ofgem has granted Octopus Energy £13.2 million to cover the debts of failed supplier Iresa Energy.

The regulator confirmed the final payment, which is a reduction of £639,000 of the total sought by Octopus Energy under the Last Resort Supply Payment.

The money agreed consists of almost £11.5 million in customer credit balances, a further £1.5 million in capital costs to fund the Supplier of Last Resort request, almost £600,000 in transitional IT and operations and more than £73,000 in transitional communications.

Ofgem said: “Our decision will allow Octopus Energy to recover the costs of protecting the credit balances owed by Iresa Limited (Iresa) to the customers Octopus acquired in line with commitments given at the time of appointment and certain other costs incurred by Octopus in complying with Ofgem’s Last Resort Supply Direction.”

The news comes just ahead of Ofgem’s announcement about energy supplier Our Power ceasing trading, the 10th company to go bust in a year.

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