New market entrant Ovo Energy is to pay interest to customers whose accounts are in credit. From July this year, the firm will offer 3 per cent to customers in the form of a credit.
Founder Stephen Fitzpatrick told Utility Week that the company now has 30,000 customers, with 12,000 switching in April and May this year alone. He said turnover is around £36 million and that the firm "is not operating a loss leader strategy".
Fitzpatrick added that the bulk of Ovo customers were on its 'new energy' tariff, of which green energy makes up 15 per cent.
The company also plans to start rolling out smart meters by the end of the year.
A very interesting development - we will be watching closely to see if any of the leading suppliers foolow suit and this becomes widespread amongst the industry
More Customers are Choosing the Smaller Suppliers
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In April 2014 289,000 consumers' switched energy suppliers, with almost
half choosing smaller suppliers over the 'Big Six'. Despite this, the large
supplie...
