NEA response to Ofgem’s self-disconnection and self-rationing final proposals

In response to the NAO’s report7 in 2018 on smart meters we highlighted our concern that the smart meter roll-out was significantly back-loaded.

This short briefing highlights the key commitments NEA Cymru would like to see reflected in the consultation and final strategy, to renew the Welsh Government’s commitment to end fuel poverty and rejuvenate efforts by a range of key stakeholders around this crucial cause.

Respiratory and circulatory diseases are linked to living in a cold and damp home and amongst those living with fuel debt. NEA believes that given the outbreak, it’s now even more crucial to help keep people warm and well in their homes and create a living environment which gives people that are ill the best possible chance of recovery.

It is imperative that prepayment meter (PPM) customers continue to receive protection. It is therefore clear that the prepayment cap must continue after its upcoming termination in the form of a CMA regulated cap.

Improved insulation and heating standards are seen as the most rational and sustainable means of mitigating heating price increases and ensuring affordable warmth. While we must decarbonise our energy system, we must also ensure that the needs of those on lower incomes and experiencing fuel poverty should be protected. We commend both Councils for designing and developing this strategy and have also made some comments to the questions posed in the consultation.

NEA recognises that many low-income households experience affordability issues with their essential household bills, rarely struggling with one bill in isolation, and as a result is delivering a programme of work which seeks to support ‘People Living in Water Poverty and Fuel Poverty’.

In the first few months of 2020, the world watched a global pandemic unfold. Countries around the world were imposing strict nationwide lock-downs, with economies basically shutting down to control the spread of the virus. The turning point for the UK came on 23rd March when Prime Minister Boris Johnson addressed the nation.

In a modern world, water is recognised as a human right.  It is understood to be essential to life and yet some are so concerned about the cost of it that they actively decide not to use the water they vitally need and find themselves falling into debt or self-rationing their water use. These families may also be making impossible choices between heating and eating, at the same time as restricting bathing to once a week, all sharing the same bath water, because the cost of their water, and the cost of heating it, is just too high.