Eon is over charging

mikewill34

My mother-in-law is being over charged because eon are calculating the standing charges based on the days between the date of previous meter reading and the date of the bill (which is typically 3 days later that the current reading) Note: The industry practice of using a two tier charging system is simply a disguised standing charge.

For example :-

• Previous meter reading taken 01-Jan-2012
• Current reading taken 01-Apr-2012
• Date of bill 04-Apr-2012
• The number of days between 01-Jan and 01-Apr is 91
• The number of days between 01-Jan and 04-Apr is 94

My mother-in-law has a HeatWise meter, which means the she has a Tier1/Tier2 rates for her day time electricity AND a standing charge for her Heating units. Tier 1 is 900kwh per year. She also has a standing charge for her Heating units which is 10.43 pence per day.

Her bill has been calculated as follows
First n kwh at Tier 1, where n = 900/365*94 == 232, but it should have been 900/365*91 == 224.

Her Tier 1 units are billed at 22.53 pence per unit, therefore she has been over charged by £6.08 on this portion
Her standing charge has been calculated as 94 * 10.43 pence = £7.93 not 91 * 10.43 pence = £7.09 as it should have been.

Over the course of a typical year with 4 bills this overlap of 3 days per bill will result in her being over charged by 4*£6.92 = £27.67. While this is not a huge amount it needs to be rectified.

Assuming that the software being used to create her bill is generic (within eon) there may be thousands of customers who are also being overcharged.

Please check your bills and calculate the tier 1 units you should be paying for versus how many you have been changed for. Please note some other suppliers seasonally adjust their Tier 1 units, so you may have to do the calculations over a whole year, not for a single bill.

mikewill34

Malc,

If you are still monitoring this forum I am registered as an authorised contact for my mother-in-law so we can discuss further details off forum

victor2

Did the following bill start from April 4 for the purpose of calculating days? If so the number of days for standing charge/tier 1 should even out over the year. Still not right, but not such a big (if any) over charge.
You would of course expect the bill to cover the days to which the usage applies. Will be interesting to hear what E.On say about it. Please let us know.

mikewill34

victor2 wrote: »

Did the following bill start from April 4 for the purpose of calculating days? If so the number of days for standing charge/tier 1 should even out over the year. Still not right, but not such a big (if any) over charge.
You would of course expect the bill to cover the days to which the usage applies. Will be interesting to hear what E.On say about it. Please let us know.

No the following bill started from April 1 for the calculation of BOTH standing charges and Tier1

retiredin2011

Your calculations are incorrect

900/365*91 = 230 not 224

mikewill34

retiredin2011 wrote: »

Your calculations are incorrect

900/365*91 = 230 not 224

Please explain how you get 230 ?

First n kwh at Tier 1, where n = 900/365*94 == 232, but it should have been 900/365*91 == 224.

victor2

retiredin2011 wrote: »

Your calculations are incorrect

900/365*91 = 230 not 224

Not on my calculator!

victor2

mikewill34 wrote: »

No the following bill started from April 1 for the calculation of BOTH standing charges and Tier1

Then it's clearly wrong and they owe your MIL!

mikewill34

victor2 wrote: »

Not on my calculator!

Both Excel and Windows calculator agree
900/365 = 2.465753424657534
2.465753424657534 * 91 = 224.3835616438356

You must have a special calculator supplied by eon.

mikewill34

victor2 wrote: »

Not on my calculator!

Sorry victor you are quite right OP was wrong

mikewill34

retiredin2011 wrote: »

Your calculations are incorrect

900/365*91 = 230 not 224

Both Excel and Windows calculator agree
900/365 = 2.465753424657534
2.465753424657534 * 91 = 224.3835616438356

You must have a special calculator supplied by eon.