Energy Supplier Swap - Customer Readings not used

[staffordian]

I've recently swapped energy supplier (for both gas and electricity).

As with previous swaps, the new supplier asked for meter readings on a specific date, which I know they have received because I can see the figures on their website.

I understood that these readings were given by the new supplier to the old supplier for them to use as closing readings thereby ensuring there is continuity in billing. Again, this has always happened in my previous swaps.

Today I've received my final bill from the old supplier and I was surprised to see that the bill was different to the figure I'd calculated. Looking in detail, the old supplier has indeed used the electricity reading I supplied, and this reading is shown as "Closing customer read". However the gas reading is not the one I supplied; it is higher, and is shown as ""Closing estimate".

My first reaction was that the old company were trying it on and attempting to prise a little additional income from me, hoping I'd not notice. The email which accompanied the final bill says...

"If you’re not happy with the readings we’ve used, speak to your new supplier first about getting these changed. They will send us any new readings, so we always close your account on the same readings they open on, so you’re never charged twice for the same energy."

...so I have emailed the new company to seek clarification but expect it will be several days before I hear from them.

Meanwhile, a bit of Googling suggests this is not an isolated instance of customer readings being ignored and estimates being used instead. Apparently there is a third party organisation which "checks" if the readings seem right and issues a reading of it's own if it choses. If this is the case, I assume the new company will use the same (incorrect) figure, but the whole thing seems ludicrous to me.

So, finally, to the "Does anyone know?"...

Does anyone know if it is actually the case that correct readings given by customers can be ignored in favour of arbitrary estimates?

FWIW it will leave me out of pocket, but only by a small amount. My main gripe is the unnecessary confusion caused by an apparent blunder which might actually be routine, but is not explained.

TIA

[modellingman]

There is a reasonably coherent account of the industry process on change of supplier for either accepting a customer read or rejecting it in favour of an imposed estimate here: https://help.bulb.co.uk/hc/en-us/articl ... -readings-

In essence, minimum and maximum reading limits are determined and if your reading falls inside these it is accepted and, if not, an estimate is used instead. Although you can dispute the estimate, the dispute will not be considered at all if the difference between the estimate and your claimed reading falls within a specific threshold.

A broadly similar process is used within both gas and electricity.

Both fuels rely on an estimate of your annual consumption and both then apply a standard profile to convert that annual estimate into a pattern of daily consumption which, in turn, is summed to provide an estimate of your consumption between your previous (actual) meter reading and your switchover date. Estimated consumption over this period is added to the opening read at the start of the period to get the estimated closing read at its end.

There are a number of reasons why estimates of consumption (and the resulting estimated meter readings) may not reflect a consumer's actual consumption very well. If there isn't a decent history of actual meter reads then the estimated annual consumption won't be that good and this will have an impact on the accuracy of the estimated consumption/readings. Similarly, if a consumer's profile of consumption differs from the standard profile this will also have an effect.

Incidentally, the consumption profiles play a fairly key role in supporting the common carriage model (multiple suppliers sharing use of common pipes and wires) that underpins the competitive markets in energy supply in the UK (and EU), so the industry and regulator pays quite a lot of attention to making sure these are "right". This rightness though is only applicable in aggregate (ie to the "average" consumer). So a consumer who is very different to the average - for example someone who "swallows" off to sunnier climes each winter - will have a daily consumption profile with a very different shape to the standard standard profile and, as a result, will not receive accurate estimates of consumption and meter readings.

I appreciate that rejecting your (no doubt) accurate meter readings seems ludicrous to you. However, not everyone behaves in the admirable way you do. It is not unknown for consumers to try and game the system when switching suppliers by artificially shifting consumption from the old supplier to the cheaper new one. Far from the old company trying it on with you, the processes are designed to limit how far switching customers in general can try it on with them.

[staffordian]

Thanks very much for that comprehensive answer modellingman.

My January 2020 gas usage was 85% of my January average since we moved to our current address six years ago as the weather has been milder than usual.

I guess this has led to their suspicion over my reading, but if their model simplistically uses usage data without a dose of reality such as taking account of weather conditions I guess such anomalies will keep happening.

I'll just need to check that the new supplier uses the same figure.

Strangely, my electricity reading for January was lower than my average at 89% but was accepted. Presumably it was just within their credibility criteria.

Thanks again,

Staffirdian

[modellingman]

Thanks very much for that comprehensive answer modellingman.

My January 2020 gas usage was 85% of my January average since we moved to our current address six years ago as the weather has been milder than usual.

I guess this has led to their suspicion over my reading, but if their model simplistically uses usage data without a dose of reality such as taking account of weather conditions I guess such anomalies will keep happening.

I'll just need to check that the new supplier uses the same figure.

Strangely, my electricity reading for January was lower than my average at 89% but was accepted. Presumably it was just within their credibility criteria.

Thanks again,

Staffirdian

In response to a couple of points you make.

First, the processes that are in place to make sure that the competitive supply model works operationally will make it mandatory that the same meter reading will be used as the closing read by your old supplier and the opening read by your new one.

Second, the daily profiles (and the models on which they are based) are quite sophisticated. For anyone of a nerdy disposition the full legal text for gas can be found in Section H of the Transportation Principle Document of the Unified Network Code (UNC). There is no doubt something similar for electricity somewhere.

There are any number of reasons why an individual's consumption may be not estimated accurately. Its not that they are suspicious of you, or your reading, its simply that the algorithms for estimating consumption are not perfect at the individual level, though generally are very good in aggregate. And until smart metering is both universal and operationally sound and replaces the need to make individual consumption estimates that is inevitably always going to be the case.

[staffordian]

Thanks very much for that comprehensive answer modellingman.

My January 2020 gas usage was 85% of my January average since we moved to our current address six years ago as the weather has been milder than usual.

I guess this has led to their suspicion over my reading, but if their model simplistically uses usage data without a dose of reality such as taking account of weather conditions I guess such anomalies will keep happening.

I'll just need to check that the new supplier uses the same figure.

Strangely, my electricity reading for January was lower than my average at 89% but was accepted. Presumably it was just within their credibility criteria.

Thanks again,

Staffirdian

In response to a couple of points you make.

First, the processes that are in place to make sure that the competitive supply model works operationally will make it mandatory that the same meter reading will be used as the closing read by your old supplier and the opening read by your new one.

Second, the daily profiles (and the models on which they are based) are quite sophisticated. For anyone of a nerdy disposition the full legal text for gas can be found in Section H of the Transportation Principle Document of the Unified Network Code (UNC). There is no doubt something similar for electricity somewhere.

There are any number of reasons why an individual's consumption may be not estimated accurately. Its not that they are suspicious of you, or your reading, its simply that the algorithms for estimating consumption are not perfect at the individual level, though generally are very good in aggregate. And until smart metering is both universal and operationally sound and replaces the need to make individual consumption estimates that is inevitably always going to be the case.

Thanks again, and perhaps suspicious was not the right word to use.

I think I'm just a bit cynical in my old age, and think that the energy companies would rather save a few bob by no longer employing enough meter readers to ensure accuracy and rather rely on algorithms than either trust or facts.

My main gripe is that the companies don't tell you about this system. Mine said supply a reading and it will be forwarded to the old supplier for their closing bill. Naturally when I found they'd not done this it cost me time and effort which now seems to have been unnecessary, and would have been unnecessary had they explained how things actually work.

[quelquod]

Very slightly off topic but this probably partly explains my utility company’s (Avro) approach. They routinely ask for readings as the monthly billing date approaches. I just as routinely read the meters and they then just as routinely use their estimates. Done it for a couple of years. I presume they just use my readings to fine tune their estimations? Weird.

[staffordian]

Very slightly off topic but this probably partly explains my utility company’s (Avro) approach. They routinely ask for readings as the monthly billing date approaches. I just as routinely read the meters and they then just as routinely use their estimates. Done it for a couple of years. I presume they just use my readings to fine tune their estimations? Weird.

I'd forgotten, but when we swapped from Eon to Flow in 2017 they did that for a while.

I queried it and this was their response...

Due to an Industry update with the gas national database, there is currently an ongoing issue validating customers gas readings. This is an error across all suppliers. We are currently working on getting this issue resolved.

This means your gas readings for June, July and August have not validated. We are hoping to have this resolved by the end of September and any readings submitted from that point will then be used in your statements moving forward.

In the meantime If I could ask you add your meter readings as normal and we will rectify the bills as and when the issue is resolved.

Maybe the issue resurfaces from time to time, though the issue I raised did resolve itself within a month or two and I have had no issues with them or susbsequent suppliers.

[UncleEbenezer]

OK, I have a similar issue.

Switched away from EDF, largely because I was dissatisfied with the difficulty communicating with EDF (sequences starting with something like, I send readings, they ignore them).

Used uswitch to move to Eon, whose (green) tariff was significantly cheaper than any other due to much lower standing charges - it would take huge power use to outweigh the difference between 9p/day and over 20p/day per fuel standing charge.

Eon requested readings, which I duly supplied. I tried online but had trouble, so I used their contact form and wrote a message. Next day a reply confirming my readings, and explaining that I was as yet in a transition period, with limited access to their online system. Naturally I am reassured: whoever wrote the reply has dealt with my readings.

Until today. A final bill from EDF (expected), but with meter readings out not by just a few units, but by 76 units (gas) and 98 units (electricity). They're out in opposite directions (so partially cancel) and the net amounts appear to be in my favour by a few pence, but I can't help thinking that's storing up trouble for when my next readings appear anomalous.

Logging in to my Eon account, it seems they've ignored my readings and used "estimates", which are also what appear on the EDF final bill. And I can't view my tariff. WTF? I've fired off an email to Eon, but this is starting to look like the fryingpan and the fire!

And what's happening to the industry? SSE at my last address (2013-2019) and EDF at the previous one (2005-2013) were entirely trouble-free!