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UKGov warn firms as 100,000+ Scots face energy cuts over meter crisis

UKGov warn firms as 100,000+ Scots face energy cuts over meter crisis

As of March 8, some 160,246 Scots households, were still reliant on old meters that rely on the Radio Teleswitching Service (RTS) which enables electricity suppliers to switch households different energy tariffs including Scotland only tariffs Total Heat Total Control from OVO, Comfort Plus from Scottish Power, and Economy 7 or Economy 10. It helps deliver specific savings for customers who use electricity for their heating and hot water provision.
The BBC radio service that supports RTS meters was due to be switched off at the end of March, last year, as plans to roll out smart meters across Scotland that allows existing heating and hot water to work without needing to use the radio signal has faltered. But that deadline has extended to June 30.
(Image: Scottish Power) According to the Energy UK trade association, efforts to replace them across the whole of the UK in April stood at over 1,000 installations a day although it says that the replacement programme is "gathering momentum all the time".
And they have admitted that it will be "undoubtedly challenging " to be able to meet the deadline.
It has led to concerns that tens of thousands of Scottish households will be cut off.
The Scottish Federation of Housing Associations (SFHA), Blackwood Homes and Care and Wheatley Group are now among those to call for greater action from energy companies to replace affected meters.
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Briefings from Ofgem, the energy regulator over RTS warn that if people choose not to upgrade to smart meter "your heating and hot water may be left continually on or off". It also means electricity bills could be higher as the supplier cannot accurately monitor usage during peak and off-peak times.
The Herald has been told that the energy consumers' minister has told Energy UK and Ofgem on a fortnightly basis to discuss progress and energy suppliers' plans for the switch-off to have a "particular focus on Scotland and remote and rural areas".
The Department for Energy Security and Net Zero Energy has warned that suppliers are "obligated" under their licence conditions to ensure that a suitable alternative metering system is installed and that the customer's service is not disrupted.
And a Department for Energy Security and Net Zero source said: "We demand that suppliers must meet their obligations to consumers and ensure that no one loses heating or hot water.
Energy consumers minister Miatta Fahnbulleh
'This includes rapidly increasing the pace of replacements so that there is a smooth transition and consumers are protected.
"The Government will do everything it can to ensure that all consumers are protected."
He added: "For years the pace of the RTS replacements has been too slow, which is why the government has taken decisive action to put the transition back on track.
"The RTS and the work to replace it, is industry owned and led. The date for the switch off was agreed by industry and work on replacing meters is overseen by Energy UK and Ofgem.
"Energy suppliers have been contacting households and businesses with RTS meters to arrange appropriate metering solutions before the switch off. If consumers think they have an RTS meter they should contact their supplier immediately.
Frazer Scott, chief executive of Energy Action Scotland, which has been in a meeting with representatives of Ofgem and Energy UK said there issues around funds to support people who need additional electrical work. He said there was a process still being worked out to identify a pot of funding with less than two months to go before the switch off with "no detail and no criteria."
And he said that the installations were just "not ramping sufficiently".
"The pace of change is too slow and people are being put at risk," he said. "They are at risk of losing heating and hot water or face spiralling energy costs if there systems stay on.
"Suppliers need to communicate better with customers, meet commitments that they meet on installations and get their installers to get upgrades right first time."
Last year Scotland was at the bottom of the British league table over the installation of smart meters, which is due to replace RTS, despite the energy regulator Ofgem writing to energy suppliers raising concerns at the speed of the roll out.
"With such a short timescale and a mountain to climb, government, regulator and industry need to do much much more than they have. This is an avoidable crisis."
Analysis shows that 51% domestic electricity meters were 'smart' in Scotland last year, compared to 63% for Great Britain. In 2023, 43% in Scotland were 'smart'.
Of nearly 400 local authority areas of Great Britain the ten areas with the least take-up of smart meters, five were in Scotland.
They are all in some of Scotland's more remote and rural local authorities with Shetland having just a 10% take-up a rise from 7% the previous year, Orkney with 12% up from 9%, the Western Isles Council area of Na h-Eileanan Siar with 16% up from 9%, Argyll and Bute with 27% up from 20% and Highland with 35%. The lowest take-up of electricity smart meters operated by energy suppliers in the UK is in the Isles of Scilly with just 7% converting.
The SFHA said it is working with the energy regulator to raise awareness of the issue and is set to welcome a delegation from Ofgem to a social housing development in Aberdeen later this month.
SFHA chief executive Sally Thomas said: 'Time is urgently running out to replace RTS meters across Scotland and prevent thousands of Scotland's social tenants being left without heating or hot water.
'Energy suppliers need to ramp up the replacement of RTS meters across Scotland, particularly in the most-affected rural areas, otherwise there is a serious risk of plunging thousands more tenants into fuel poverty."
The End Fuel Poverty Coalition has already written to the energy consumers minister Miatta Fahnbulleh and the chief executive of the sector regulator Ofgem raising "serious concerns" about what it called a "crisis" over the meter replacement effort.
The coalition has also challenged the lack of clarity around the regulator's 'no detriment' commitment, which is designed to ensure that people who move from an RTS meter to a new connection do not have to pay more for their energy.
Ms Thomas added: 'SFHA has been working constructively with our member housing associations and the energy regulator, Ofgem, to raise awareness of the issue.
'It's vital that energy companies set out how they plan to clear the backlog of meter replacements and support those who will not have new meters in place by the deadline to ensure no tenant is left behind.'
An Energy UK spokesman said: "Suppliers have been pulling out all the stops to replace the remaining RTS meters as soon as possible. This includes continuing to contact customers directly through multiple channels, in addition to extensive outreach and advertising campaigns in partnership with local authorities, consumer groups and Ofgem. Suppliers have been contacting and alerting customers about the switch-off for some time now and have stepped their efforts up further in recent months.
'Suppliers' main focus is on stepping up installation rates further and continuing this momentum ahead of the deadline. It will undoubtedly be challenging to replace all these meters by the June 30th date – it means getting access to every single property to carry out the installation, many of which are in remote areas, which can make both initial contact and arranging the replacement difficult, and ultimately it requires all customers to respond to contact from their supplier.
'So remaining RTS customers are urged to contact their supplier without delay to arrange a replacement and ensure a smooth switchover that enables their heating and hot water to continue operating in the same way. But the industry is also working closely with the Government and regulator on a carefully managed phase out process to avoid disruption to any remaining customers, particularly those in vulnerable circumstances.'
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