ScottishPower has taken on the customers of Tonik Energy following the latter going bust last week.
Ofgem chose the supplier to take on the 130,000 domestic customers after a competitive process, the regulator said, with these customers switched on Saturday 10 October.
Andrew Ward, ScottishPower CEO, UK Retail, said that the company “understands that this can be a stressful time but we would like to reassure every one of our new customers that they do not need to worry and should sit tight”.
Tonik was one of six suppliers to have missed the most recent deadline for paying RO fees, with Ofgem stating they also hadn’t provided “adequate assurances” they will make the payments by the late payment deadline of 31 October.
The supplier owes £8,651,815.92 in RO fees and £124,868.96 for its Year 10 annual levelisation payment for the government’s Feed in Tariff (FiT) scheme.
Philippa Pickford, Ofgem’s director of retail, said she was ““pleased to announce we have appointed Scottish Power for the customers of Tonik Energy”, reaffirming that their energy supply will “continue as normal and domestic customer credit balances will be honoured”.
ScottishPower is to absorb the costs of honouring customers’ credit balances and the migration, including money owed to both existing and former domestic customers of Tonik.