August 15, 2016
Energy suppliers have been ordered to refunds thousands of gas customers affected by a meter reading error.
This mistake has been caused by energy companies confusing older imperial meter measurements with modern metric ones and it is believed several thousand households have been overcharged.
An OFGEM spokesperson told the BBC that they have written to all energy suppliers to identify any customers that this mistake may affect and to arrange refunds where appropriate. In the cases where customers have been undercharged there will be no further payment.
OFGEM said the mistake had been caused by human error with E.ON being the first supplier to become aware of the problem. The energy suppliers said they had overcharged 350 of their customers. However, other companies may also have been affected. Suppliers have been ordered to identify any customers who have been overcharged by Friday this week.
Industry sources told the FT that some people may have underpaid by 60% as a result of the error but those who were overcharged may have paid in excess of 130% more than they should have.
Trade body Energy UK said firms were "working hard" to address the issue.
The trade association, which represents the major energy companies, said "detailed analysis" showed" an extremely small number of accounts" had been affected.
"Any customer affected will be contacted shortly by their supplier and where there has been overcharging, a refund will be issued as quickly as possible," it added.
Posted on August 15, 2016 at 04:19 PM