OVO Energy to pay out £1.2m for smart meter failure

SSE Energy Services failed to meet its smart meter installation target for 2019, before its acquisition by OVO Energy

Energy supplier OVO will pay out £1.2 million to Ofgem’s consumer redress fund over SSE Energy Services’ failure to roll out enough smart meter installations to its customers.

According to Ofgem, OVO’s subsidiary SSE Energy Services failed to meet its smart meter installation target for 2019 – this was an issue that occurred before OVO purchased the business.

Under the government’s smart metering implementation programme, suppliers are required by their licence to take all steps to roll out smart meters to all homes and small businesses by mid-2021.

In 2019, SSE Energy Services paid £700,000 to the energy redress fund after it failed to meet its smart meter target for gas meters in 2018.

Ofgem notes after this ‘voluntary payment’, it does not intend to take formal enforcement action.

Tony Keeling, Managing Director of SSE Energy Services, said: “Today’s news relates to the reporting year of 2019, predating OVO Energy’s ownership of SSE Energy Services, which it acquired in 2020.

“Since OVO’s acquisition of SSE Energy Services, we have significantly improved our smart meter rollout programme, to ensure that we can install smart meters in more homes across the UK – a crucial part of our Plan Zero strategy and the transition to net zero.

“OVO Energy has consistently met and exceeded all of its smart meter targets, with over half of its customers currently benefiting from the technology.”

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