Is your energy account in credit or debit? A staggering £400m of credit has been left unclaimed from both household and business, gas and electricity accounts.
This has arisen from customers who have built up a credit (paid for more gas or electricity than they have used) and then closed their account when moving, without leaving a forwarding address.
OFGEM have urged energy companies to do everything they can to refund this money. But if customers don’t provide a forwarding address, then this will prove difficult for private households. Easier, you would think, to track a business down. The £400m is roughly split 50:50 between 300,000 businesses and 3.5m households.
OFGEM wants decisive action on this, and has highlighted three areas they want them to address:
1. Return money to customers – energy companies are obliged to treat customers fairly.
2. Ensure money that can’t be returned is used to benefits customers in general – if money can’t be returned, explain how they will use it to benefit their customers in some way.
3. Stop this situation from occurring again – provide clear communication for customers on what to do when they close an account.
Check your bills
Even if you aren’t thinking of switching supplier, or about to move address, check your energy bills to see if you are in credit. If it is a substantial amount, talk to your energy supplier about reducing the amount of your monthly direct debit (if you pay this way), which will gradually reduce the amount of credit they are holding. It is your money, after all.
Don’t get short changed when you switch supplier
When switching gas and electricity supplier, take a meter reading just before you switch. If you are moving address, ensure you leave a forwarding address with the previous energy supplier.
Perfect Clarity can help businesses save money on their energy and water contracts. Call 020 3372 6517 for more information.