The UK’s energy regulator has applied for Bulb, the failed energy supplier, to be put into special administration so that it can continue running.
Ofgem has asked a court to allow the administrator, Teneo, to run the business until a buyer is found or customers leave. Bulb has 1.7 million customers and is much larger than providers that Ofgem has allowed to collapse.
The business, energy and industrial strategy department said special administration was only used if Ofgem’s main process to address failure is not viable. It has been used to protect customers and maintain market stability in other sectors.
“Bulb’s customers, including those with prepayment meters, do not need to do anything,” the department said. “Their energy supplies remain secure and customers’ credit balances are protected. The government does not want Bulb to remain in this temporary state longer than is absolutely necessary.”
More than 20 UK energy suppliers have failed since the start of September after a surge in gas prices made them unviable with a regulatory cap on how much they can charge customers.
