Hundreds of council tenants in Fife have been left somewhat in limbo after their energy provider suddenly ceased trading.
Around 2,600 Fife Council house tenants currently use Our Power for their energy needs, but the local authority was shocked to hear that the company has gone under.
Those affected however have been told not to panic and not to switch providers, aa a ‘safety net’ provided by Ofgem should not mean they are not adversely affected.
Head of housing services John Mills commented: “This announcement has come very unexpectedly today and I would urge our tenants to follow the advice given by Ofgem.
“We will be in touch with affected council tenants as the situation becomes clearer.”
Our Power, which was set up by social housing providers in Scotland and has worked closely with councils across the country to offer low cost energy to households with low incomes and those in fuel poverty, has about 38,000 domestic customers across the country.
Under Ofgem’s safety net, the energy supply of Our Power’s customers will continue and pre payment meters can be topped up as normal.
The outstanding credit balances of domestic customers will also be protected.
Customers have been advised that Ofgem will choose a new supplier to take on Our Power’s customers as quickly as possible.
However, those affected have been urged to take a meter reading as soon as possible to ensure the process of transferring over to the chosen supplier and paying back outstanding balances is as smooth as possible.
Philippa Pickford, Ofgem’s director for future retail markets, said: “Our message to energy customers with Our Power is there is no need to worry, as under our safety net we will make sure your energy supplies are secure and your credit balance is protected.”
“Ofgem will now choose a new supplier for you, ensuring you get the best deal possible. Whilst we’re doing this our advice is to ‘sit tight’ and don’t switch. You can rely on your energy supply as normal.
“We will update you when we have chosen a new supplier, who will then get in touch about your new tariff.”
“We have seen a number of supplier failures over the last year and our safety net procedures are working as they should to protect customers.”
