Ofgem has appointed EDF and British Gas Evolve to take on supplying customers of two suppliers of Green Network Energy and Simplicity Energy that went bust a few days ago.
Last week, the two suppliers announced they are ceasing to trade, move which is estimated to affect around 410,000 domestic customers.
EDF is expected to take over approximately 360,000 domestic customers and a small number of non-domestic customers, while British Gas Evolve was chosen to take on Simplicity Energy’s 50,000 customers.
Ofgem said outstanding credit balances, including money owed to customers of the two former suppliers, will be honoured – EDF will also pay £140 Warm Home Discount rebates to Green Network Energy’s 12,000 eligible customers.
Customers of both failed suppliers will be contacted about the changes over the coming days.
The energy market regulator said if customers wish to switch supplier they can shop around but are advised to wait until the transfer has been completed.
Ofgem added that customers will not be charged exit fees if they decide to switch to another supplier.
Philippa Pickford, Ofgem’s Director of Retail, said: “I am pleased to announce we have appointed EDF for the customers of Green Network Energy and British Gas Evolve for customers of Simplicity Energy. Their energy supply will continue as normal, and domestic customer credit balances will be honoured.
“Both new suppliers will be in contact with customers over the coming days with further information. Once the transfer has been completed, customers can shop around for a better deal if they wish to.”