OVO will not be increasing its standing charges when the new price cap starts on October 1.
Energy firm OVO has joined calls for energy standing charges to be abolished for vulnerable households as it confirmed it will not be passing on the latest increase on October 1 when the new price cap comes into effect. OVO chief executive Raman Bhatia warned that households were facing a prolonged period of high prices compounded by wider cost of living pressures that would leave millions struggling unless urgent action was taken.
The standing charge, which has risen from 74p a year ago, is used to pay for many things, including the upkeep of the electricity and gas grids. However, its critics say it is an unfair system which gives people less control over their energy bills. Centrica chief executive Chris O'Shea said the charge hit those who were careful about their energy usage hardest, and those on a prepayment meter could unknowingly build up debts over the warmer summer months.
"Our own customer support package will provide immediate support to our customers who need it most right now. By working with partners like StepChange we can continue to directly help people facing hardship this winter and beyond."
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