Ofgem has appointed Octopus Energy to take on the customers of failed supplier Avro Energy.
Avro went bust last week, with its 580,000 domestic customers to now be supplied by Octopus Energy following a competitive process run by Ofgem.
Outstanding credit balances, including money owed to both existing and former domestic customers of Avro Energy will be honoured.
The announcement of Avro ceasing to trade came alongside Green Supplier Limited also folding, with this hot on the heels of People’s Energy, Utility Point, PfP Energy and MoneyPlus Energy all going under in recent weeks.
The collapse of Avro came after it was expelled from Elexon’s Balancing and Settlement Code along with AMPower UK and Delta Gas And Power. It was also issued with a provisional order by Ofgem compelling it to provide financial information earlier this month.
This resulted in energy secretary Kwasi Kwarteng discussing the pressures faced by suppliers with industry experts last week, alongside security of supply, which he said was not a cause for immediate concern within the industry. He did, however, state that the UK’s exposure to volatile global gas prices underscores the importance of the government’s ambitions of building a “strong, home-grown renewable energy sector".
Other suppliers that have struggled recently include Nabuh Energy, which lost its licence over unpaid Renewable Obligation debts.
Meanwhile, Bulb approached financial advisory and asset management firm Lazard last week to assess its options.