SSE’s domestic retail business SSE Energy Services missed its gas smart meter installation target last year and will pay out £700,000 to Ofgem’s consumer redress fund to make amends.
To work towards the government’s smart meter rollout programme, larger suppliers with more than 250,000 customers are required to set individual annual targets for installations, which the regulator monitors.
Suppliers indicate to Ofgem the proportion of their customers that will have smart meters by the end of each year.
These targets are commercially confidential.
SSE failed to meet its gas smart meter target during 2018. It hit the figure in February this year, however the company did achieve its electricity smart meter target within the required period.
The company has agreed to pay £700,000 to Ofgem’s consumer redress fund administered by the Energy Savings Trust, which supports consumers in vulnerable situations and the development of innovative products or services not currently available to energy consumers.
Ofgem said it has decided not to take formal enforcement action due to the “steps SSE has taken”.
But the regulator warned the industry it is “closely monitoring” suppliers’ approaches to the rollout of smart meters and will “hold suppliers to account” if they do not meet their obligations.
Chris Adams, director of metering and smart transformation at SSE Energy Services, said: “SSE Energy Services is fully committed to the rollout of smart meters and to delivering the benefits of smart for customers. We worked hard during 2018 to successfully transition to the new generation of smart meter, which brings full functionality to customers, and installed around 600,000 meters during the year.
“However, while there were many achievements in 2018, we are disappointed that we fell slightly short on meeting our gas target.
“We quickly recovered the shortfall during February 2019 and are on target for the year ahead.
“We have worked with Ofgem to resolve this matter as quickly as possible and have agreed to make a payment to Ofgem’s voluntary redress fund.”