Consumers 'overcharged' for energy usage in homes

Posted: 15 Jun 2009 12:57:30 GMT

The National Housing Federation (NHF) has claimed that some homeowners and tenants could be able to claim back money they have put towards energy costs within their property.

Many consumers in the UK have overpaid on their utilities as a result of using pre-paid meters, the group explained.

Apparently, close to £0.5 billion has been overpaid on these meters during the last three years.

It comes a few months after the government revealed that all properties in the UK will have smart meters by 2020, which it is hoped will make the energy bill payment process clearer.

David Orr, NHF chief executive, said: "It is an absolute scandal that Ofgem allowed energy firms to overcharge customers to the tune of £460 million and potentially breach European Union (EU) rules for so many years."

EU directives implemented in 2004 indicated that energy firms should only charge pre-paid meter users extra if there was an increased cost in the price of collection, which has not happened.


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