UK energy regulator Ofgem has ended its investigation into procedural failings at utility company Ovo Energy over handling of customers using prepayment meter systems after the company agreed to a settlement of 10.4 million British pounds ($14 million), Ofgem said on Wednesday.
Ofgem said that Ovo's monitoring of its customers using pre-payment meters was inadequate and breached rules designed to protect vulnerable customers, potentially exposing them to harm.
The settlement comprises 7 million pounds to the Ofgem Voluntary Redress Fund and a 3.4 million pound package of credit and debt relief for some of its most vulnerable customers in lieu of compensation to them.
Ovo will separately pay 1.1 million pounds to customers in the Scottish Highlands and Islands over a lack of engineer support over the 2022 to 2024 period, the statement said.
Ovo undertook remedial actions to support these customers, including welfare visits to customers who faced power outages of more than 72 hours, without any communication from the company.