Thursday 30 March 2017

Smart meter deadline passes


Suppliers fail to hit back billing deadlines
Energy suppliers in the UK have failed to meet their self-imposed targets for reducing the amount of back billing to consumers. Those with smart meters have been hit with unexpected bills following smart meters not reporting usage correctly.

Suppliers predicted that late 2016 would have been the end to this practice, however, none of the Big Six or independent suppliers have achieved this. They are still back-billing for 12 months, as opposed to reducing the period to six months.

Smart meters are due to be installed into all UK homes over the next four years, and will provide accurate readings in real-time for generating more accurate bills and avoiding any nasty surprises. Over 2 million of the homes already using these meters have experienced some sort of problem with the accuracy and have had to make additional payments.

Previously, Ofgem had commended this plan as a great improvement for customers who may have struggled in the past to provide accurate meter readings in time for their bill each month. Billpayers would be protected from surprising costs if the ability to read meters in real time prevented the amount of inaccurate bills.

Citizens Advice has hit out at Ofgem to try and create a stricter regulation on this practice, highlighting "it’s not right that people with this technology should suffer because of suppliers’ mistakes". The service dealt with 1,500 smart meter issues in 2016 and almost a third of those issues were directly related to billing problems - doubling the amount dealt with in 2015.

SSE came under fire earlier in the year as a software issue meant that users were looking at bills of more than £30,000. They have since issued a statement to say that a fix has been issued and correct readings can still be accessed on the website.

Julian Morgan, managing director of Energy Advice Line, commented on the importance of getting smart meters right. "Consumers will be reliant on this technology to keep track of their energy spend and ensure that they are only being charged for what they are using. Back bills have always caught customers out and hopefully suppliers can stick to their promises to ensure that this can be avoided in the future."

Figures from 2016 show that smart meters have been installed in around 8% of UK households so far.

To make sure that you are always paying the best price for your energy, visit energyadviceline.org.uk and check out the latest costs on the market.