EDF Energy: upping direct debits by random, huge & unnecessary amounts

CelticStar

EDF Energy are an absolute nightmare with direct debits in my experience. I recently had my meter read and my gas reading had gone up by about £9 a month although I am over £60 in credit at the moment. As a consequence of this EDF Energy have put the direct debit up by more than £50 a month - ie more than £40 a month more than they need.


This is the third time they have randomly upped my direct debit by a huge amount - the first two times were supposedly 'mistakes with the system' but this one was done after someone came to read my meter.


I am absolutely fed up to the back teeth with them and I am now going to report them to Ofgem because I think they are deliberately trying to take money they are not entitled to. I am very careful with my meter readings, I keep a careful eye on what I actually owe and I have no objection to them upping my direct debit by what is needed but this is not what they are doing. There is no reason to increase a direct debit by more than £50 a month when only £10 a month extra is needed and when the account is already in credit.


Once I am free of them I will never return. They are also prone to not responding to emails and to leaving you in a queue on the telephone for an eternity.

If you are thinking of switching to EDF Energy, do yourself (and your sanity) a favour and switch elsewhere.

brewerdave

Celtic Star,suggest you have a quick look thru the other EDF threads on here - this DD fiasco has happened with innumerable other consumers - the knackered computer that EDF use to (re)calculate DD future "requirements" is effectively broken - every time you or a meter reader supply a reading it churns out a nonsensical figure which their Customer Services agents make no real attempt to defend.Has happened to me twice in 4+ months -thank God for the freephone number!!!! And yes ,when I come to the end of my current deal with them I will definitely be switching elsewhere!!

CelticStar

Thank you very much for bringing this to my attention brewerdave, I will go and have a good read and then I will at least feel that I am not alone - I feel your pain! I will be back on the EDF Energy 'in-a-queue' merry-go-round this evening when I telephone them AGAIN.

backfoot

BrewerDave is right. Search for EDF threads/ problems etc.You may also want to look at Eon threads regarding DD's and the License Conditions which govern what should happen.

It has come to the stage where so many problems are going on and no solution is being presented. I think a claim for compensation is appropriate and I recently was paid a goodwill payment by EDf for similar problems.

They prefer this to an ongoing dispute involving Consumer Direct/ Energy Ombudsman. They already face a significant fine for poor complaint handling.

snowcat53

This has happened so often to so many people that I believe it to be a deliberate edf policy, which of course
means they have customers' money earning interest for them. They should be reported formally to the regulator for a full scale investigation. They always back down and settle when challenged to avoid this.

Edit for info from a post by Jalexa:
27.15 ... the licensee must take all reasonable steps to ensure that the fixed amount of the regular direct debit payment is based on the best and most current information available...

Question - Is it correct they have to demonstrate how they calculated the new figure if you ask?

backfoot

snowcat53 wrote: »

Question - Is it correct they have to demonstrate how they calculated the new figure if you ask?

Yes. As per SLC 27.14

27.14 The licensee must provide to each such Domestic Customer an explanation in clear, plain and intelligible language of the basis upon which a fixed amount (and any variation of that fixed amount) has been determined.

jalexa

snowcat53 wrote: »

Question - Is it correct they have to demonstrate how they calculated the new figure if you ask?

Well let me quote the relevant regulation...
"27.14 The licensee must provide to each such Domestic Customer an explanation in clear, plain and intelligible language of the basis upon which a fixed amount (and any variation of that fixed amount) has been determined. "

Make up your own mind, my answer is "yes", but I would go further and say that "provide" (unqualified) means it should be provided without being asked for.

On the question of "random and huge", and this is not to defend Edf, 80% of annual heating fuel consumption occurs between October and April, tariffs have matured, market prices have increased and Edf operate a spring aligned "annual review". All of these factors create a perfect storm that results in - when calculated in accordance with the factors I have mentioned - "sudden excessive payment hikes". In my most recent recalculation the calculated "hike" was not "random" but was correctly calculated in accordance with the factors I have referred to. And yes, the increase was rescinded when I asked nicely.

On the lack of "clear explanation" and other matters I have a Complaint active. On "deadlock" or after 8 weeks I will consider what is the most effective further reference.

As I posted elswhere, the use of the "most current" information is an Ofgem regulatory requirement. Somebody was well paid to write and to sign-off the regulation wording. Sadly that is characteristic of so much "professional idiocy" in UK plc. Consumer Focus warned Ofgem about the inadequately drafted regulations but Ofgem rejected the concerns. Yet it is Consumer Focus who are on death row when it should be certain people at Ofgem.

My advice is to raise a formal complaint on an issue that can be made stick. The increase is not a good issue if it is rescinded. Better I think to go for the lack of clear explanation. No clear explanation by 8 weeks, go for an Energy Ombudsman referral. I do not know what the Energy Ombudsman will make of the issue but it will inform the next step.

snowcat53

jalexa wrote: »

On the question of "random and huge", ......

Well the direction of the increases cetainly isn't random....

I understand what you say Jalexa. However DD levels are generally (should be) set with reference to annual consumption and spreading the cost over 12 months. Clearly a tariff increase should trigger an increase DD but not normal seasonal variation - for example just becuase they have looked at the last 3 months winter's usage and (surprise surprise) it's high.

In my mother's case the DD increase has been based solely on estimated readings, ignoring the actual readings done by a reader, and they say they only issue a bill annually - next spring! Their changes always ensure that they are covered and the account in credit.

bondy01

Back in September I didn't receive my usual 3 monthly bill so I sent them the readings. They didn't change my DD though. Since then they have moved me (without telling me at the time) onto one DD and the new 'improved' myaccount (that's the one without any history at all , just as well I'm not on paperless billing) My next 3 monthly bill is due shortly but I won't be entering readings in case they change my ANNUAL DD. I'm wondering if the DD changes only affect people on the new myaccount system?

jalexa

snowcat53 wrote: »

In my mother's case the DD increase has been based solely on estimated readings, ignoring the actual readings done by a reader,

That may be a reason why suppliers are reluctant to provide a "clear" explanation. And in the absence of an "explanation" it is difficult to prove what effect, if any, an actual reading has, because the calculation is dominated by the seasonally weighted projection. For the record I say again "I am not defending Edf".

When I eventually "extracted" the annual consumption assumptions being used for the calculation I discovered they were historical figures which included last year's exceptional winter consumption for which there is absolutely no basis to project forwards. I can demonstrate using seasonal statistics that my "actual" consumption projects a 15% decrease. Surprise surprise, not factored into the calculation.

No wonder they are reluctant to explain. But I will pick my argument and have my Complaint, explanation or no explanation.

peterx

Have had to instruct EDF to put my direct debits up twice now. Also requested two hundred pounds back in credit.It will earn interest in my bank account now.Must admit always had super customer service from these.