Ofgem is consulting on new reporting requirements to facilitate the government’s planned obligation on suppliers to continue the smart meter rollout after 2020.
The regulator has proposed lowering the threshold for companies to be considered a large supplier – and therefore face more stringent reporting requirements – to 150,000 electricity and gas accounts.
The existing smart meter obligation requires suppliers to take “all reasonable steps” to install smart meters in their customers’ homes by 31 December 2020. However, the government expects only 30 million of the programme’s target of 53 million smart meters to have been installed by the deadline.
It has therefore proposed to introduce a new obligation at the beginning of 2021 requiring suppliers reach 85 per cent coverage by 31 December 2024 and meet interim annual targets on the way there.
In a consultation setting out its minded-to position, Ofgem said all suppliers should be mandated to report their upcoming annual installation milestones and performance against their previous targets on 31 January each year.
Large suppliers should be required to submit additional information, including the split between credit and pre-payment meters and key risks for the upcoming year.
Ofgem has proposed to define large suppliers as those with at least 150,000 electricity and gas accounts. The regulator said this would bring the regulations in line with the Energy Company Obligation and Warm Home Discount, which will both have the same threshold from April 2020.
Under the current smart meter obligation, the additional reporting requirements apply to suppliers with at least 250,000 accounts.
The deadline for responses to the consultation is 26 November 2019.