Smart prepayment and fuel poverty

By Editor on 26th October 2016

A new report, written by the Centre for Sustainable Energy for Eaga Charitable Trust and Citizen’s Advice, aims to contribute to a better understanding of the effects of the growing use of smart prepayment (PPM) meters on fuel poverty, in particular amongst households already using conventional PPMs, a group that historically has been poorly served by the energy market. 

The researchers’ modelling indicates that lower PPM tariffs, expected to accompany smart PPMs, could bring around 180,000 households out of fuel poverty. This is without assuming any behavioural change.  It was found that smart PPM consumers were predominantly using their in-home display (IHD) to monitor their credit balance and check messages rather than to check historic or real-time usage the researchers recommend that suppliers need to develop improved energy efficiency advice as part of the rollout of smart PPMs.