Toto Energy has ceased trading. The firms was one of a number of suppliers Ofgem had ordered to pay millions in overdue Renewables Obligation payments by the end of this month.
Toto owed £4.55m. Nottingham council-owned Robin Hood Energy owes £9.5m, though it will pay the bill after the council this week agreed a bailout. Other firms told to pay by next Thursday include Gnergy, which owes £637,876 and Delta Gas and Power, which owes £91,937.
With more collapses likely, Ofgem this week mooted plans to implement stronger financial checks on existing suppliers. After the last round of failures, the regulator began to put in place checks for new entrants.
When companies go bust owing levies, other suppliers pick up the tab. Those costs are passed on to customers.
Ofgem is thinking about collecting those levies more regularly.
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Ofgem revokes URE’s licence over unpaid RO bill
£100m tab for failed energy suppliers
Ofgem outlines new rules to prevent another house of cards
Energy supplier debt crisis “creating house of cards”
Economy Energy latest failed supplier
Spark Energy shuts down domestic supply business
Ofgem tightens supply licence rules as money goes missing
Big cracks emerging in energy retail
Risk mismanagement: More suppliers will go bust
Utility Warehouse: More independent suppliers will go pop
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Outrageous decision by Nottingham City Council to throw more council tax payers money at their energy company. When will councils realise that they should not meddle in this field!