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Among the other schemes to tackle debt being considered by Ofgem is a requirement on new tenants and homeowners to ensure they are paying for their gas and electricity supply. It said that when someone moves into a new home, energy accounts were switched to the "occupier". Bills built up under these anonymous accounts until the individual contacted a supplier to register. Suppliers estimate this accounted for £1.1bn to £1.7bn of the historic debt in the system, which was in danger of never being paid. Ofgem wants a system similar to that used in other countries, where customers must sign up. In practical terms, to avoid customers being cut off entirely, smart meters in these properties would be switched to prepayment mode and have some available credit. This would leave residents eventually having to top-up or sign up to the supplier. The regulator's plans would only cover properties where a smart meter had been fitted. Ofgem said such schemes could eventually help bring down debt, protect vulnerable people and ease the cost burden on other billpayers.
