Domestic Gas - Who is responsibe to set the amount that you pay per month

[becausewecan]

Hi there,

I have just moved my gas from npower and received a huge bill from them.

When I have looked over the bill it seems that for the last 2 years I have been paying far less by direct debit than I should have.

However, I was told by npower that £49 per month was more than enough to cover cas useage on a 3 bedroomed semi with gas hob - not oven.

However, the shortfall is £420, and as Npower do, they expect me to pay this immediately in one lump.

Would i be correct in thinking that npower should have informed me, because they are the only ones with the information about my gas useage and their pricing structure, and any outstanding amounts on my account, that my monthly payment was not covering my useage?

Thanks

[ozzywizard]

Energy suppliers will monitor how much energy a customer uses against the customer’s
payment plan and check annually (as a minimum), that the monthly payments cover
how much energy is being used. If the payments are not enough to cover the energy
used then the supplier will notify the customer of the new payment amount and from
what date it will apply. If following the review, the customer owes the energy supplier
money then the supplier may suggest an increased monthly payment to pay off the
amount owed over an agreed period.
Alternatively, if the monthly payments are higher than necessary to cover the energy
supplied then they will be reduced to an appropriate level.
the supplier
must be able to demonstrate that it has taken all of the following actions:
. the customer has been correctly set up on their billing system by both taking
deductions from the customer’s bank account and sending statements to them
. within the last 24 months in the first year reducing to 15 months for year 2
onwards it has re-assessed the customer’s direct debit payment to ensure that
the payments are sufficient to meet (either the actual or a reasonable estimate
of) the customer’s energy usage.
the supplier
must be able to demonstrate that it has taken all of the following actions:
. the customer has been correctly set up on their billing system by both taking
deductions from the customer’s bank account and sending statements to them
. within the last 24 months in the first year reducing to 15 months for year 2
onwards it has re-assessed the customer’s direct debit payment to ensure that
the payments are sufficient to meet (either the actual or a reasonable estimate
of) the customer’s energy usage.

Sorry I am in a rush as only 5 mins left on comp so copied the info from Code of Practice for Accurate Bills produced by the Energy Retail Association
Under what circumstances can a customer apply to the Energy Supply
Ombudsman for an independent review of a complaint?
The Energy Supply Ombudsman is there to resolve complaints which have not been
resolved to the customer’s satisfaction through the supplier’s own complaint handling
procedures.
Four criteria have been identified which need to be met before a customer complaint is
considered to have reached “deadlock” and the customer will be given access to the
Energy Supply Ombudsman Scheme. This is when a customer complaints has got to
the position where:
.there is no new information to be gained on the complaint from either the
customer or the supplier;
. the complaint escalation processes have been followed;
. the customer and the supplier still cannot agree to a resolution within the
supplier’s complaint procedures; and
. having more time will not improve this position

[buzby]

As OzzyW points out - its not as cut and dried as you might think. Paying by DDM is no alternative to checking your meter reading and discovering if they are going out of step. If the errors continued after a number of readings, then they have a responsibility too - and since there is a legal requirement for meters to be read at least twice in a year, it is their fault for not revising your DDM amount to take account of - NOT higher usage, but higher costs of consumption*. It shouldn;t need stating, but gas costs have gone through the roof. You might be able to argue the point and get some reduction, but they are right in requiring the gas consumed to be paid for!


*And since your DDM probably wasn't for a fixed amount, you can challenge them on why they didn't upscale the amount required and advise you accordingly.

[chiefengineer]

Originally Posted by becausewecan

Hi there,

I have just moved my gas from npower and received a huge bill from them.

When I have looked over the bill it seems that for the last 2 years I have been paying far less by direct debit than I should have.

However, I was told by npower that £49 per month was more than enough to cover cas useage on a 3 bedroomed semi with gas hob - not oven.

However, the shortfall is £420, and as Npower do, they expect me to pay this immediately in one lump.

Would i be correct in thinking that npower should have informed me, because they are the only ones with the information about my gas useage and their pricing structure, and any outstanding amounts on my account, that my monthly payment was not covering my useage?

Thanks

Did your bills not say that you were getting further and further into the red? I pay for my gas by monthly DD. The last bill indicated that I was behind so I upped my DD to cover future use plus shortfall.

Jeremy

[becausewecan]

Ive spoke with them and this all looks a mess

Basically, they have told me that my estimated usage was £90 per month - surely this cant be possible! Anyway - they never informed me of this, they have had various readings

But on the plus side, they are trying to sort out a payment arrangement for me

Now i need to work with my new company to find out if a have a faulty meter or appliance somewhere.

Thanks for all your help

[chiefengineer]

Originally Posted by becausewecan

Ive spoke with them and this all looks a mess

Basically, they have told me that my estimated usage was £90 per month - surely this cant be possible! Anyway - they never informed me of this, they have had various readings

But on the plus side, they are trying to sort out a payment arrangement for me

Now i need to work with my new company to find out if a have a faulty meter or appliance somewhere.

Thanks for all your help

£90/Month seems highly unlikely unless you live in a mansion! My bill from June to September was only £39, for a three-bedroom house, if that's any help as a guide.

Jeremy

[dw190]

I live in a 3 bed semi and have been paying £39 per month for a year (Gas heating and water). I overpaid by £114 over the year and received a refund but npower still wanted to increase the monthly DD payment to £44. I objected but was told I had to pay what their assessors said, even though they got it wrong last year.

Had enough of keeping my hard earned cash in their bank a/c so changed supplier for both gas & elec.

I have since had six letters from npower (3 gas & 3 elec) begging me to stay and even a regional manager call at the house.

[martin's little pupil]

Originally Posted by becausewecan

Ive spoke with them and this all looks a mess

Basically, they have told me that my estimated usage was £90 per month - surely this cant be possible! Anyway - they never informed me of this, they have had various readings

But on the plus side, they are trying to sort out a payment arrangement for me

Now i need to work with my new company to find out if a have a faulty meter or appliance somewhere.

Thanks for all your help

This is a subject close to my heart...
I have been fighting powergen for the past year and a half over my fuel bills with them. I pay to them £93.00 a month for my electric and £77.00 a month for my gas, and i can assure you that i don't live in a mannsion has Jeremy surgests, i live in a four bed semi.
the best of it is, thats just for heating my hot water, i have a gas fire but never have it on, it's just decorative. i have gas central heating but it only whent on twice, the whole of last year cos since having cavity wall insulation, it gets too much, and we no longer have gas cooking appliances and haven't for the past two years. we have the boiler serviced every 12 months without fail and regularly maintained.
we have completed the 7 day meter reading test and they still inssist our meters are fine.
So £77.00 a month is correct? just for heating up the hot water then???.. I don't think so.
When i use to phone powergen and they looked at wot i was paying per month for each fuel, each different staff member i spoke with was totaly shocked at what i was paying, and joked, saying, good god mrs****** you are an high user arn't you, have you got a huge house...
I'm now 7 days into my new supplier, so will have to see how this goes.

Sorry for butting in but i think i know, just how you feel and we seem to be at their mercy without it seems no way of proving that their meters are faulty...
MLP...

[StudentInDebt]

Blimey! I live in a 3 bed Terrace and I pay £15 per month to EDF. At the end of 12 months I was in credit by £50 (based on meter readings)! Didn't stop them trying to raise my payment to £19 per month thought

[M the Merciless]

Cancel your d/d asap and set up a standing order instead, otherwise, their "payment arrangement" will mean they can up your payments to pay off your debt in 3 or 6 months, and they can help themselves as they like, and there'll f*** all you can do about it. Don't give them that power!!!

[Battleaxe]

I know this sounds silly by why do you pay by DD? we are with Southern Electric and my electricity bill for the last three months was £85.00 and my gas £47.00. we get a deduction if we pay pay the due date. After our fiasco with Powergen and the DD when we first came to England, we will never pay by by DD again. it took three years to get it sorted.

I will not let anyone dip into my bank again. Especially the power companies.

Powergen were impossible to deal with and I ended up having to get the media in to sort the problem out with them. They would not admit they were wrong, they blamed the meters, they blamed the bank, they blamed everyone but themselves.

Good luck, but I would cancelling the Direct Debit and I would be not be paying any money they are demanding.

[martin's little pupil]

Originally Posted by Battleaxe

I know this sounds silly by why do you pay by DD? we are with Southern Electric and my electricity bill for the last three months was £85.00 and my gas £47.00. we get a deduction if we pay pay the due date. After our fiasco with Powergen and the DD when we first came to England, we will never pay by by DD again. it took three years to get it sorted.

I will not let anyone dip into my bank again. Especially the power companies.

Powergen were impossible to deal with and I ended up having to get the media in to sort the problem out with them. They would not admit they were wrong, they blamed the meters, they blamed the bank, they blamed everyone but themselves.

Good luck, but I would cancelling the Direct Debit and I would be not be paying any money they are demanding.

Hiya,
I think you maybe getting me mixed up with the post after mine, i never mentioned how i pay, "that is of course, if you are refereing to my post??" but forgive me if you are not, but for reference, i do pay by standing order and not DD...
MLP...

[Bookworm]

MLP, I don't think Battleaxe was talking to you, actually... I'm pretty sure she was talking to Becausewecan...

[Battleaxe]

BW thank you, I was referring Because we can. I think DD are the devils spawn, especially after I found a dd for £3400.00 on our account, which should have been £34.00, but goes to show how they much they can take out by a wrong key stroke.

[martin's little pupil]

Thanks!! bookworm,
I was a little confused has they mentioned powergen, so thought i would ask anyway... I stand corrected...

My apologies to all.
MLP...
How are you Bookworm? nice to hear from you again.

[buzby]

Originally Posted by StudentInDebt

Blimey! I live in a 3 bed Terrace and I pay £15 per month to EDF. At the end of 12 months I was in credit by £50 (based on meter readings)! Didn't stop them trying to raise my payment to £19 per month thought

BT did this to me 6 years ago - sending me a repayment cheque at the end of the year, but still wanting to up the DDM payment. I pulled out of the scheme, as I prefered not to be bankrolling them and receiving no money for the privilege...