Ombudsman investigates large bills following estimated meter readings

Ombudsman investigates large bills following estimated meter readings image
CATEGORY
Energy|Billing category

A customer received a large unexplained electricity bill, but a test found that the meter was not faulty

A residential customer received a large electricity bill, which appeared much higher than previous bills. The customer complained to the Energy and Water Ombudsman, which escalated the complaint to a senior officer at the Retailer to give them an opportunity to consider the complaint, as required by the Charter governing the Energy and Water Ombudsman.

The Retailer arranged a meter test with the Distributor, at no cost to the customer. The Retailer explained to the customer that the meter was not faulty, and the large bill was because it was a ‘catch-up’ bill after the Distributor had recorded estimated meter readings that were lower than the customer’s actual consumption. The customer returned to the Energy and Water Ombudsman as they were dissatisfied with the explanation provided by the Retailer.

The Energy and Water Ombudsman investigated the complaint, which considered all the metering and billing data provided by the Retailer and the Distributor, the relevant legislation, codes and industry practice. The investigation found that the bills were an accurate reflection of the customer’s consumption.

Did you know...?

Both the distributor and retailer must abide by several codes including the Code of Conduct for the Supply of Electricity which requires the retailer to issue a bill on the metering data provided by the distributor. If the distributor is unable to obtain an actual reading from the meter, generally because of problems accessing the meter, it must generate an estimated reading. The retailer must then use that reading and issue a clearly labelled estimated bill. Once an actual reading is obtained, the retailer must include an adjustment to the next bill taking into account the actual reading.

In circumstances where a customer has received an estimated bill that has shown lower than actual consumption a customer may later receive a ‘catch-up’ bill reflecting consumption previously undercharged once a new actual reading is obtained. The Small Use Code provides that the amount recoverable by the retailer is limited to no more than the amount undercharged in the prior 12 months.

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