The new technology used by the independent supplier allows customers to set their own monthly direct debit payments, and will be eligible for the 5 per cent OVO Reward discount, taking an average of £60 off their energy bills.
OVO has been able to cut its back office costs for dealing with bad debt, customer service calls, processing refunds, and collecting negative balances, by half.
Consumers, who take up the flexible direct debit system, will be able to set their own monthly payments, meaning they can pay less in the summer to avoid building up a credit balance.
Stephen Fitzpatrick, founder and managing director at OVO, said: “We try to innovate and we make things simple for customers.
“OVO Just Reward gives our customers more control and smaller bills as well as simplifying our whole business.”
He added: “A more efficiently run business is good news for everyone and by passing the savings on to our customers we are doing our bit to help keep bills down.”
Fitzpatrick also said the new system has made OVO “the most efficient energy supplier in the UK”.
He added: “We have spent a long time building better infrastructure, technology, and service capability, and it will result in happier customers paying less for their energy.
“This is how a competitive market is supposed to work.”