Correction Factor on Gas bill for Scottish Hydro

Gman0365

I received my gas bill today and noticed that when converting the number of units used into kWh a correction factor was applied:

1158 UNITS USED ON METER

1158 units x correction factor 1.02264 = 1184.21 UNITS

1184.21 cu mtrs x calorific value 39.9 / conversion factor 3.6 = 13124.99 kWh

Does anyone know why the correction factor is applied?

I phoned Scottish Hydro and the response was "well you know we have to multiply it by something to work out the kWh"!!! To her credit she did admit that she used to work for British Gas and they also used a correction factor (perhaps that explains the answer I was given!)

I understand that high volume gas users have correction factors applied to their daily meter reads due to the fluctuation in temperature during the day that can increase and decrease the actual volume of gas passed through the meter. I looked back to my summer gas bill and it was the same correction factor so surely it can't be a seasonal thing.

I worked out that by using the correction factor before converting to kWh costs me an extra £10. Now I know this might not seem much, but I'm a self confessed tight Scotsman!

Any answers would be greatly appreciated.

Premier_2

1.02264 is the volume conversion factor.

It was introduced to take allowance of the temperature & pressure effects on the gas supplied

http://www.prnewswire.co.uk/cgi/news/release?id=51151

You'll see that when the conversion factor was introduced, suppliers had to reduce their unit charges by a corresponding amount as part of their licence conditions, meaning no net effect on cost to the consumer.

Cardew

I don't think correction factor ever varies from the industry standard of 1.02264

Correction factor - The correction factor is used to take account of the temperature and atmospheric conditions at a site. It is generally of the order of 1.02264. It is a legal requirement to include this factor on invoices.

I suspect this is on the conservative side - they have far easier ways of increasing their revenue!

Gman0365

:T I must admit I didn't even expect a reply to my post never mind one as accurate and swift as that! I guess I was just picking holes in the gas bill in a vain attempt to reduce it!

Thanks for you're help Premier