Ofgem protects customers of Daligas Limited

Press release
Publication date
Company
Daligas Limited
Industry sector
Supply and Retail Market

Daligas Limited has today announced they are ceasing to trade. Daligas Limited supplies gas to around 9,000 domestic and non-domestic customers.

Under Ofgem’s safety net, Daligas Limited customers’ energy supply will continue and funds that domestic customers have paid into their accounts will be protected, where they are in credit. Domestic customers will also be protected by the energy price cap when being switched to a new supplier.

Customers of these suppliers will be contacted by their new supplier, which will be chosen by Ofgem.

Ofgem’s advice to affected customers in the meantime is to:

  • Wait until a new supplier has been appointed and you have been contacted by them in the following weeks before looking to switch to another energy supplier.
  • Take a meter reading ready for when your new supplier contacts you.
  • This will make the process of transferring customers over to the chosen supplier, and honouring any funds that domestic customers have paid into their accounts, where they are in credit, as smooth as possible.

In recent weeks there has been an unprecedented increase in global gas prices which is putting financial pressure on suppliers. Ofgem is working closely with government and industry to make sure customers continue to be protected this winter.

Neil Lawrence, Director of Retail at Ofgem, said:

“Ofgem’s number one priority is to protect customers. We know this is a worrying time for many people and news of a supplier going out of business can be unsettling.

“I want to reassure affected customers that they do not need to worry: under our safety net we’ll make sure your energy supplies continue. If you have credit on your account the funds you have paid in are protected and you will not lose the money that is owed to you.

“Ofgem will choose a new supplier for you and while we are doing this our advice is to wait until we appoint a new supplier and do not switch in the meantime. You can rely on your energy supply as normal. We will update you when we have chosen a new supplier, who will then get in touch about your tariff.

“Any customer concerned about paying their energy bill should contact their supplier to access the range of support that is available."

Updates are available from our website or through our twitter feed @ofgem.

Customers who have questions should visit the FAQs on our website. Alternatively, if customers need additional support in England and Wales, they can call Citizens Advice on 0808 223 1133 or email them via their webform. In Scotland, they can contact Advice Direct Scotland on 0808 196 8660 or email them via their webform.

Notes to editors

  • Daligas Limited customers should take meter readings today and wait until their new supplier contacts them. Once they have been contacted, customers can ask to be put on their new supplier’s cheapest deal or shop around for a better deal from another supplier. They will not be charged exit fees for switching away from their new supplier.
  • Ofgem's safety net will make sure customers will always have an energy supply, domestic customers’ credit balances of funds they have paid in are protected and that the process in moving over to the appointed supplier is as smooth and hassle free as possible.
  • Ofgem has systems and processes in place to ensure that customer needs are always met. Where the appointment of a Supplier of Last Resort is not possible, for example where the size or characteristics of a supplier’s portfolio mean that it cannot be absorbed by another supplier, Ofgem and BEIS have agreed processes in place to appoint a special administrator to temporarily run the business until such time as a new supplier can be found for the customers.