Ofgem backbilling decision ensures “better protections” for energy customers, says Citizens Advice
Citizens Advice has responded to Ofgem’s decision to ban energy suppliers from backbilling customers for energy used more than 12 months ago.
Victoria MacGregor, Director of Energy at Citizens Advice, said:
“We have long called for the changes announced today. The new rules will deliver better protections for households and small businesses across the country. No-one should face a massive unforseen bill that goes back years when it’s their supplier that’s at fault.
“Previously we’ve seen evidence of suppliers trying to game the rules by blaming customers for billing errors, cases where suppliers have ignored their commitments entirely, and small businesses receiving unexpected bills running to tens of thousands of pounds.
“However, we still believe that for smart meters the rules need to go further - and that in time, the practice of backbilling should end completely. Energy customers have a right to expect accurate bills.
“Suppliers have not met their voluntary commitment to limit backbills for smart meter users to 6 months. They should honour their commitment to smart meter users and implement this change now.”
Notes to editors
- The following rules announced today by Ofgem will be written into supplier license conditions: all consumers will be protected from being billed for energy used more than a year ago, regardless of who their supplier is; suppliers will have to show that customers have acted unreasonably in order to bill for longer than this (for example, if they refused to allow their meter to be read); microbusinesses will have the same protection as domestic customers.
- Citizens Advice’s response to Ofgem’s open letter on backbilling can be found here.
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