AMO members recognise that a pay-as-you-go meter also known as a
prepayment meter (PPM) can be a helpful and effective way to manage
the amount spent on gas or electricity. The meter can be a traditional
type using a card or token to load credit or can be a smart meter that
enables other more convenient methods to ‘top-up’

Millions of households choose to use a pay-as-you-go meter to manage
their spending on energy.

In some cases the energy supplier will insist that the consumer has a
pay-as-you-go meter. Ofgem, the energy market regulator has set out
rules for any ‘involuntary installations’ to ensure that consumers
interests are protected.

The AMO welcomed the enhanced arrangements that Ofgem
introduced in 2023 as these set out more clearly the protections that
must be applied when dealing with vulnerable customers. We work
closely with energy suppliers to apply best practice and ensure
customers are protected, particularly those in vulnerable situations.