Regulator Ofgem won’t extend ban on energy supplier Solarplicity

Ofgem today said Solarplicity had “significantly improved” since being hit by a customer ban in February, but warned it could be hit with more enforcement action if it fails to take further steps.

A ban on the energy supplier taking on new customers ran out yesterday, but Solarplicity has now agreed to a self-imposed ban until August, apart from a limited number through community energy schemes.

Read more: Ofgem may revoke energy supplier Solarplicity's licence over payments

The regulator said that several customer service breaches at the company had been sorted after it in February banned the firm from taking on new customers for three months.

Last month Solarplicity was told it had not done enough to fix serious customer service problems and was facing a potential extension to the ban.

Solarplicity had made it too difficult for customers to get in touch, had failed to “promptly and courteously” rectify mistakes, and had not taken all reasonable steps to transfer its customers to new suppliers within 21 days if asked.

But the firm is not out the woods yet, Ofgem warned, saying it had committed to improving its

“Ofgem still has some concerns in relation to how it treats vulnerable customers and those struggling to pay their bills,” the regulator said.

“If Solarplicity does not improve in these areas, Ofgem reserves the right to take further enforcement action.”

Solarplicity welcomed Ofgem’s decision and said it had “volunteered” to continue working with the regulator for the coming two month.

“We acknowledge there is work to be done. We have apologised directly to those customers who may, in the past, have been inconvenienced but we've made great progress in the last few months, as demonstrated by Ofgem's decision today,” it said.

However, the company is still under an order from Ofgem to pay all its so-called feed-in tariffs, which had been neglected in the past.

Read more: Energy supplier Solarplicity faces extended new customer ban

The regulator said two weeks ago it could revoke Solarplicity’s license unless it paid the money it owed to small-scale renewable energy producers. It was given a 16 May deadline.

The company said: “Solarplicity remains subject to a separate provisional order in relation to feed-in-tariff payments to generators and continues to work with Ofgem on that issue. Given that the process is ongoing it would not be appropriate for Solarplicity to comment further on the matter at this time.”