Ofgem Energy Redress Scheme distributes £5.2 million to energy projects across England, Scotland and Wales

Argyll, Lomond and the Islands Energy Agency (ALIenergy) will receive £324,000 for its Highland Energy Advice Service.  The project aims to advise 4,000 households on raising awareness, increasing resilience and reducing fuel poverty.

Dr Lynda Mitchell, CEO at ALIenergy, said:

“The Highland area of Scotland suffers from some of the highest levels of fuel poverty in the whole of the UK. This funding will help us support people with inadequate or unaffordable heating, improving comfort, health and resilience to fuel poverty across the Highland area.”

Also receiving funding is Llanelli-based Menter Cwm Gwendraeth Elli. This project will work closely with agencies that support vulnerable people to deliver high quality energy advice to residents in Carmarthenshire.

Citizens Advice Stockport, Oldham, Rochdale & Trafford has been awarded funding to develop their EnerGenie project. This project uses cutting-edge AI technology to revolutionise the way energy advice is delivered.

Since 2018, the Energy Redress Scheme has distributed £123 million in funding to support 603 projects across England, Scotland and Wales. The funding is collected through Ofgem’s enforcement and compliance activity, where companies that have breached energy rules make a voluntary payment into the scheme.

Graham Ayling, senior project manager for the Energy Redress Scheme, said:

“We’re pleased to announce £5.2 million of new funding to voluntary sector organisations. These funds will support energy consumers to save money, energy, and keep warm in winter. It will also fund projects that aim to reduce the environmental impact of energy use and help the UK transition to net zero.”

Cathryn Scott, Director for Enforcement and Emerging Issues at Ofgem, said:  

“Protecting customers is at the heart of Ofgem’s mission, so when we make energy companies pay for falling short of the standards we set, it’s only right that customers should be the ones who benefit. 

“Since the Redress Fund was established, more than £100 million has gone to projects helping households who might be struggling with energy bills, and this is another example of the positive difference we can make.

“This could not happen without the thorough investigative work of our compliance and enforcement teams to identify licence breaches or poor behaviour by energy companies – or without the dedication of Energy Saving Trust who ensure the money is targeted to reach those in need.”

Read more about all the funded projects.