Compensation for disconnection error increased following Ombudsman’s involvement

Compensation for disconnection error increased following Ombudsman’s involvement image
CATEGORY
Energy|ImpactsOnProperty|ConnectionIssues category

An account was mistakenly closed causing significant food loss due to loss of refrigeration.

The customer opened an electricity account with a Retailer at their supply address quoting a meter number. Subsequently the same customer attempted to open an account at the same address for a different meter. The Retailer, believing an account was already opened at the address, did not action the second application.

Sometime later the previous occupant at the supply address contacted the Retailer to ask why they were still receiving electricity bills relating to consumption for one of the meters. The Retailer then closed the account for this meter and disconnected the electricity supply. Unfortunately, the customer was away for some time and on their return found the property was partially without power, causing significant food loss due to loss of refrigeration.

The customer first raised their concerns with the Retailer, who acknowledged that their oversight was a contributing factor and offered compensation for lost food and associated expenses as well as a credit towards their electricity bill. The customer remained dissatisfied with the offer and complained to the Energy and Water Ombudsman. Following the Energy and Water Ombudsman’s investigation, the Retailer increased their offer to include the depreciated cost of replacing the refrigerator, which the customer accepted.

Did you know...?

Goods damaged by the actions (or inaction) of an energy or water provider are usually assessed on a depreciated basis, not new for old replacement. This approach is accepted by the Energy and Water Ombudsman based on the principle that the claimant should be placed in the same position they would have been had the incident had not occurred. Where a damage claim is paid, this does not rule out any other remedies that may be

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