Decision for Utilita SoLR Levy True-up Claim for Omni
Summary
Ofgem decision on Utilita's SoLR Levy True-up Claim for Omni Energy. Closes out a 2021-22 supplier-failure SoLR appointment with the final true-up of costs against initial claim.
Why it matters
Individual SoLR true-up; final stage of recovering the costs of a specific 2021-22 supplier failure. Routine within the LRSP regime.
Areas affected
Memo
Decision for Utilita SoLR Levy True-up Claim for Omni | Ofgem Please enable JavaScript in your web browser to get the best experience. BETA This site is currently in BETA. Help us improve by giving us your feedback . Close alert: Decision for Utilita SoLR Levy True-up Claim for Omni Publication type: Decision Publication date: 9 May 2024 Print this page Related links Utilita SoLR Levy True-up Claim for Omni Share the page Share on Facebook Share on Twitter Share on LinkedIn Following the appointment of a Supplier of Last Resort (SoLR), Ofgem manages an industry process which enables the supplier to seek to recover additional costs they face in supplying the transferred customers. This is known as a Last Resort Supply Payment (LRSP). Doing so ensures suppliers continue to come forward to act as SoLRs, and it is through this mechanism that customer credit balances are protected when a supplier fails. LRSPs are paid for by the relevant gas and electricity network operators, who then recover the cost through charges to suppliers. In December 2021 we made temporary changes to the process for a SoLR to make a claim for an LRSP. The temporary process allows SoLRs that had been appointed since 1 September 2021 to submit an initial claim for immediate costs incurred, and subsequent ‘true-up’ claims for additional costs. On 29 December 2023 Utilita Energy Limited contacted Ofgem with the intention not to make a final claim for a LRSP and asking us to terminate the true-up agreement. The LRSP agreement enabled Utilita Energy Limited to seek to recover the additional costs incurred by supplying energy to former customers of Omni Energy. We published our minded-to position on terminating the true-up agreement on 22 February 2024. Following our review of consultation responses, we have now published our final decision on terminating the True-Up agreement with Utilita Energy Limited. Main document Utilita SoLR Levy True-up Claim for Omni - Notice of Reasons [PDF, 218.35KB] Print this page Related links Utilita SoLR Levy True-up Claim for Omni Share the page Share on Facebook Share on Twitter Share on LinkedIn Close