You’ve been reading your energy bill all wrong – common errors that are costing you money
FAILING to read your energy bill correctly could mean you’re overcharged, and that’s bad news for bill payers already strapped for cash amid rocketing costs. Energy bills are at all time highs – they went up by 54% at the start of the month, all because the price cap shot up to £1,971. That meant an increase […]
FAILING to read your energy bill correctly could mean you’re overcharged, and that’s bad news for bill payers already strapped for cash amid rocketing costs.
Energy bills are at all time highs – they went up by 54% at the start of the month, all because the price cap shot up to £1,971.
That meant an increase of £693 for the average household.
The exact cost can vary depending on your use though, which has already prompted many bill payers to go to any lengths to cut down and save from forking out more.
But plenty of households are looking to keep a more watchful eye on their energy usage.
Martyn James consumer expert at Resolver, said: “Meters, readings and energy bills are seriously complicated, so remember the two golden rules: trust your gut and take a picture.”
You’ll want to make sure you’re reading your meter right, so you’re billed the correct amount, and check your supplier has got all the right info from you so you don’t have to fork out more than you need.
They might have you on an estimated reading for example – you can usually spot this with an “E” marked on your bill – but you’ll want to make sure you’re not being overcharged.
Here’s some of the things to look out for:
Don’t rely on the smart stuff
Smart meters are designed so that you no longer need to send energy suppliers traditional meter readings – the device does all the leg work for you and it means your bills should be more accurate.
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Smart meters send data directly to your energy provider – but things can still go wrong.
We’ve seen examples where the wrong smart meter is registered on an account, meaning you’re paying extra for energy. It’s worth checking yours is set up correctly.
Other technical faults can crop up too, plus the controls on the device itself can be confusing to read.
This doesn’t mean your bill will be more expensive but it does mean you won’t be able to track your usage as well and you could end up using more than you wanted.
Martyn said: “If the meter seems wrong, ask the energy firm to conduct a test, which may include manual readings each day for a week.”
Even Martin Lewis warned British Gas customers should try the old fashioned route of taking their own meter readings when an error cropped up that meant customers couldn’t track them online.
Give regular meter readings
Often when you sign up to a new supplier or move into a new property, your bills are estimated.
This means you could be paying under or over the odds each month.
You can avoid this by giving regular meter readings – once a month – to your supplier.
Martyn said: “I’ve seen a number of examples recently of people moving in to new properties, giving readings and being hit with inconceivable bills.
“There are lots of reasons for this, but usually it’s the energy firm’s own system refusing to accept that it’s previous estimates were miles off, and continuing to apply the wrong rates.
“Remember the firm should be working off the readings you give when you move in, not estimates.”
More than 20 suppliers have gone bust as of late due to rocketing wholesale prices, but what it’s meant for customers is that as many as 2.7million have been moved to other providers.
Many of those people have faced billing issues as a result and complaints to the Energy Ombudsman were up 31% year on year.
Find the culprit
If you have a credit meter, it can be even more complicated if the readings seem wrong.
If you’re getting through energy too quickly, then unplug everything and pop one item at a time back on.
Watch the dial and if it’s moving too quickly while the kettle is on, you have a problem.
Read it the right way round
Analogue energy meters – the ones with four or five clock-like dials – are the source of much meter reading confusion.
That’s because each dial reads either clockwise or counter clockwise – and each dial works the opposite way to the one before.
Look closely to see where the arrow is pointing on each dial and pick the number closest to it to read it most accurately.
But you can also cover your back by taking photographs.
Many energy firms allow you to send in pictures, so it doesn’t necessarily matter if you understand all the numbers and figures yourself, but submitting a picture means there’s no room for fault.
Separate day and night
If you’ve got an Economy 7 meter, then there’s something extra to watch out for too.
The tariff means your electricity is usually charged at two rates – a day rate and a night rate.
You should be able to see this on your bill.
You pay a cheaper rate for electricity for seven hours at night, also known as off-peak, and a higher one in the day, when everyone else is up and about and using energy too.
They aren’t always easy to separate out though.
Martyn said: “The simple answer is to take a reading in the morning and evening of the same day, then ask the energy firm to identify which is which.”
What to do if you think your bill is wrong
If you think your bills are wrong you can put in complaint to try and correct the price, and more.
The first step is to talk to your provider.
Martyn said: “If that bill feels wrong make the business write to you and explain in simple terms how it’s calculated.
“Remember to ask if they are using estimated readings and if it doesn’t seem fair, make a formal complaint and go to the Energy Ombudsman if you’re unhappy.”
Explain the problem and what you want them to do – if it’s a case of being unable to pay, then many providers have support grants to help cover costs.
And if you believe your billing is a mistake, then flagging the issue to your supplier should prompt a quick fix.
You can usually get in touch by email, letter or telephone, but keep a record of contact that you make so you can reference it later if need be.
Charities like Citizens Advice have template complaints letters you can use to help with the process.
Meanwhile, free online tools from Resolver.co.uk can also help you track and manage a complaint step-by-step.
But if you don’t have any success with a complaint you can take it further and raise the issue with the Energy Ombudsman.
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It handles issues between customers and suppliers on billing, installations and delays, loss of service, customer service, and switching suppliers.
Last summer thousands of households were urged by Citizens Advice to check for billing blunders.
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