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MSE News: Up to 1.5 million prepaid gas customers overcharged

13

Comments

  • Cardew
    Cardew Posts: 29,063 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Rampant Recycler
    Welcome to the forum.

    This refund is because the Utility companies used the wrong Calorific Value(CV) settings for pre-pay customers. The companies can retrospectively calculate how by how much customers were overcharged by comparing the CV of the gas actually supplied with the CV of the gas you paid for.


    As you will see in the article
    The trade association said the meters have been in use since 2007, and that in the "worst case scenario" customers could have paid £110 more for their gas than they should have
    You obviously have the right to complain to the Ombudsman if you believe your refund is insufficient.

    However you first must complain to BG with a letter setting out the reasons for your complaint. I suggest it is not sufficient to simply state 'I thought my bills were too high.

    They should be able to give you a breakdown of how many kWh you used, and paid for, in the period you had this meter, and what the corrected figure(using the correct CV) should have been.

    If you don't accept this explanation you can take it to the ombudsman.
  • Thanks for the information Joyful. I have had £3 (I am a frugal user I guess, I have a wood stove for heating). I have been with BG for many many years and was at another property on a PP meter with no debt, until October 2012, so I assume I will get a refund from the other property (BG and no wood stove so big bills). I am wondering if I ought to wait and see or call BG and ask? I would rather a refund be in my credit union account than in BG investments. :)
    Remember when you judge someone, it does not define them ... You define yourself :j
  • Joyful
    Joyful Posts: 2,429 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Naturaljazz

    I would hold off as they have started working on the older accounts.
    Self Employed, Running my Dream Jobs
  • roy_harper
    roy_harper Posts: 237 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    edited 14 January 2015 at 8:40PM
    I know it's a good thing to get a voucher for money you weren't expecting, but I don't know for sure what this means.
    1. The way I read the letter below, it's saying £50 is for the period now January 14, 2015 to June sometime when they fix the problem. So is this saying it is a projected amount of overpayment from Jan 2015 to June.
    2. When they do the adjustment is that for historic usage from when it was installed? How can you know?
    3. I am a BG customer with dual fuel prepayment meters for both; which fuel was incorrectly made? I don't have any way to calculate this for myself - though I've kept all my receipts for years.

    Letter received today from British Gas.
    'We're sorry - your meter wasn't set up quite right
    Unfortunately, a technical issue with some pay as you go meters has meant you've been paying us more than you should for your gas. You won't be out of pocket - you're getting a full refund. You've paid us too much, so we're repaying that to you how. And to cover things while we're still fixing the problem, we've worked out how much you're likely to over pay between now and the end of June - which is when the problem should be fixed. So, you're getting a total of £50. We'll send a message to your meter to correct the information, so just keep topping up as normal.'

    The bottom section is a barcode instruction for the Paypoiint to give £50 cash.

    I have a disabled relative living with me and we have to have the heating on a lot.
    I know it's a nice thing to get a surprise payment - but I seem to have more questions than answers.
  • Joyful
    Joyful Posts: 2,429 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    See my post above. This is from the time the incorrect values were on your gas meter a few years ago. I think it's 2007. If you were with BG all this time the £50 covers all this time up to June 2015.
    Self Employed, Running my Dream Jobs
  • tibbers
    tibbers Posts: 76 Forumite
    well ive recieved my refund today, a total of £7!! no idea why it is so low as my meter was installed around 2007 or just after. Im not a low user either, use around £30 a week if not more as i have health problems so like to keep warm.
    I like many, question as to how we know we are getting the right amount refunded...
  • Hi I am new to this site so hello and thank you to everyone for their info. I know you cannot comment on other gas suppliers but here is my situation. I have been with npower since 2007 on a prepayment meter. I have not heard of this problem until this morning when I received a letter stating that they owed me £9 and to get a refund for the post office. My issues are that they say that they have estimated this amount. Why cannot they work out the exact amount including lost interest on this money, why cannot they show me their calculations and why am I suddenly this week only being charged about 4p when I run out of my emergency credit (which I do 90% of the time as we are struggling financially) instead of the 32p-36p every time that I have been charged for the last 7 years??!! Has anyone else had this happen? I will write to npower before contacting the energy ombudsman as I cannot understand how they have come to the figure of £1.20 per year overpayment but my meter is definitely charging me 30p less when I top up after running out of emergency credit! I do not trust them at all. Many thanks in advance.
  • katgirly wrote: »
    Hi I am new to this site so hello and thank you to everyone for their info. I know you cannot comment on other gas suppliers but here is my situation. I have been with npower since 2007 on a prepayment meter. I have not heard of this problem until this morning when I received a letter stating that they owed me £9 and to get a refund for the post office. My issues are that they say that they have estimated this amount. Why cannot they work out the exact amount including lost interest on this money, why cannot they show me their calculations and why am I suddenly this week only being charged about 4p when I run out of my emergency credit (which I do 90% of the time as we are struggling financially) instead of the 32p-36p every time that I have been charged for the last 7 years??!! Has anyone else had this happen? I will write to npower before contacting the energy ombudsman as I cannot understand how they have come to the figure of £1.20 per year overpayment but my meter is definitely charging me 30p less when I top up after running out of emergency credit! I do not trust them at all. Many thanks in advance.

    Hi... If I was you I would re-post this in another category on MSE because this thread is only BG and the meter issue. You will I am sure, get a proper answer on another thread (maybe others have this issue too). So for you to get the right answer it needs to be in the right thread. Good luck :)
    Remember when you judge someone, it does not define them ... You define yourself :j
  • I've been with BG for years, way before 2007.

    My mom mentioned this refund before Christmas but I had given up on the idea that I was affected.

    However, I got a nice surprise today when I received a voucher for £60.

    I'll put it straight on my gas card, probably use it over the coming week of sub-zero temperatures!
  • My query is that I have had a prepayment with the above for near on 10 years. My arrears were paid 5/6 years ago and I worked out by putting £25.00 to £30.00 per week in my meter this takes the total to £1300 per year. If you are saying these meters have been at fault possibly since 2007 then how does £84.00 refund compare to the amount I am paying yearly

    Please someone help:eek:
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