Energy firms overcharging someone for their energy is not new as in 2021 the Energy Ombudsman logged 18,944 complaints about energy firms between July and September. This was the highest number of disputes recorded in any three-month period since its records began in 2018. In total, last year the ombudsman received 68,480 complaints about firms last which was a 33 percent increase from the year before.
Of this number, bills were the most commonly reported issue, making up more than half of cases in 2021.
This year, the energy regulator Ofgem warned suppliers to tighten up direct debit policies after several companies were taking too much money from customers on automatic payments.
If someone believes they are being overcharged by their energy supplier, it is important that they take action as soon as possible.
Rebecca Armstrong, director, of Mersey Eco Grants (MEG) said: “If you suspect your bill is too high then contact your supplier.
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“You are entitled to see a full breakdown of how they have calculated the bill including meter readings and if it is incorrect when challenged the supplier can reduce it.”
In order to file a complaint, people will need to provide evidence they have been overcharged through meter readings and the energy bills for the months in question.
It is recommended that people keep a copy of everything for their own records, as well as the contact they have had with the energy company about the matter.
This is because if someone doesn’t get the outcome they want, they may want to escalate the matter further.
People can then file their complaints by either calling their supplier or using their online chat on their provider’s website, through email or by post.
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According to Ofgem rules, energy suppliers should always have a complaints procedure detailed on their website, along with all suitable contact details.
Ms Armstrong added: “If the energy supplier does not reduce the bill, then a formal complaint then can be made with the response to this complaint usually received within eight weeks.”
If someone has gone through your energy supplier’s complaints procedure properly and the issue has not been resolved within eight weeks, they can take their complaint to The Energy Ombudsman.
Someone’s energy company should write tell them how to do this at eight weeks or when a “deadlock” has been hit. This is when neither of the parties can reach an agreement.
Pranjal Arya, chief commercial officer of Hometree, the boiler and home cover provider said: “It is important to note that within nine months of submitting your original complaint to your energy provider, you should file the complaint with the Ombudsman.
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“The Ombudsman Service has the authority to enforce your provider to take action, which can be a more impactful way of resolving your issue.”
The energy Ombudsman can make a company correct a problem, apologise and explain exactly what happened.
They can also make a company pay compensation and its decisions are “binding on the energy company” according to Ofgem.
Before people begin a complaint procedure Ms Arya urges them to first make sure their tariff has not just simply gone up.
She explained: “Depending on the tariff you are on, a gas or electricity supplier is obliged to give you fair notice of any price rises.
“Energy suppliers must now give their customers at least 30 days’ advance notice of price increases or changes in their contracts.
“Therefore, if you can identify your tariff has increased and you were not informed by your supplier, you can raise a complaint.”
Ms Arya says this can also apply with seasonal price changes as these must always be communicated and when someone’s contract ends and it auto-renews with a pay increase.
She also noted that with most direct debit plans, energy companies estimate usage through meter readings provided by the customer, if they do not have a smart meter.
She added: “Energy providers who estimate your energy bill can sometimes overcharge you.
“Whilst many people will only ever submit a reading when they leave a property, it is important to submit them more regularly.
“Four readings over the course of a year or one every three months is recommended as having a set of accurate readings will help build your case when proving your bills are incorrect.”
If the outcome of the case is found to have no examples of overcharging, Ms Armstrong urged those who were struggling with their energy payments to approach their provider as soon as they can.
She said: “If you are really struggling to pay your energy bills and have been disconnected or are in debt it is definitely worth communicating with your supplier and asking what help is available, they may then negotiate your debt repayment.
“Furthermore, if you are struggling to find money to heat your property, then talk to your supplier to see if you would qualify for help under the ECO4 scheme.
“The scheme provides free energy efficiency measures such as insulation and efficient heating systems which will help lower your bills in the long term.”
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