Utility-provider doubling DD - lawful?

[JCE]

Hello,


A general question - just cross-checked this across a number of consumer websites and it seems to be a common pattern with this Energy-supplier -


they have recently again - as on almost every other previous billing occasion abused the DD provided in order to increase the DD payments disproportionately - previously by 58%, most recently by 110% - on all occasions unjustified - and on each occasion I had to recalculate the annual consumption to prove them wrong - after which they set it back to the original DD - hence my question:

Is the excessive abuse of a DD provided by customers lawful?

Are there any legal requirements - such as published by Ofgem regarding the requirement for notice of price changes:

"Domestic energy suppliers are required as a condition of their licence (Standard Condition 23 of the supply licence – SLC23) to notify their customers of a unilateral variation of their contract to increase prices or in any other way that is to the significant disadvantage of the customer (these changes are known as ‘relevant variations’)"?

Advice and pointers regarding legal requirements would be much appreciated!

Thanks

[ploddertom]

Re: Utility-provider doubling DD - lawful?

My understanding is that if you object to them increasing your DD they have to respect that. If you do not answer themthen they will take it as acceptance of the new payment.

[charitynjw]

Re: Utility-provider doubling DD - lawful?

These are private companies.

Their primary duty is to look after the shareholders' interests.

Customers are a lot lower down on their priorities.

They will probably try to justify this by citing the fluctuating price of energy to them.

Isn't it strange, however, that the price only ever seems to fluctuate upwards?:confused2:

They will have a complaints procedure, so I guess that must be the first port of call.

& remember that they have had your money in their account, gaining interest.

You, on the other hand, have lost that opportunity.

I would remind them of this when making a complaint.

[enquirer]

Re: Utility-provider doubling DD - lawful?

This scam appears to have been adopted by most of the utility companies. I would guess that it's because (a) they are foreign owned, and it boosts the cash available to be syphoned off overseas, and (b) they are probably bankrupt anyway.

A friend of mine was owed a large sum, and when the company concerned was asked for a refund, she was told outright that she was not entitled to it, but that it would be 'credited later'.

The words 'county court' were then heard.

Refund by return!

[labman]

Re: Utility-provider doubling DD - lawful?

Can I ask which utility company it is as this may be VERY relevant to me at the moment. If you don't want to post it on public forum (no reason why you shouldn't) then please could you pm me.

[FlamingParrot]

Re: Utility-provider doubling DD - lawful?

This scam appears to have been adopted by most of the utility companies. I would guess that it's because (a) they are foreign owned, and it boosts the cash available

I totally agree with this, British Gas increased the DD so I ended up being several hundred pounds in credit, it didn't really bother me because I saw it as a little 'energy fund' but I can see how, if you are struggling to make ends meet, you wouldn't want to be overpaying every month and ultimately you should be in control of your payments. Energy accounts shouldn't really be in credit, making you go into credit is a way for the companies to obtain interest-free funding at the customers' expense! :mad2: :rant:

to be syphoned off overseas, and (b) they are probably bankrupt anyway.

I doubt they would be, they make big, fat profits at the expense of vulnerable people who have to do without heat or keep their heating to a minimum over the long, cold winters. :rant: :rant: :rant:

A friend of mine was owed a large sum, and when the company concerned was asked for a refund, she was told outright that she was not entitled to it, but that it would be 'credited later'.

The words 'county court' were then heard.

Refund by return!

Well done! :whoo:

[labman]

Re: Utility-provider doubling DD - lawful?

We spoke to our energy supplier about suffering fuel poverty recently. We genuinely cannot afford to pay what they need, and we are using less than they would expect for our house. They were sympathetic, but play a clever trick. They won't ever cut you off. They let you run up a huge bill, then install prepayment metres where they take £xx.xx per week towards the debt. If you end up without gas or electricity then, you're deemed to have chosen to cut yourself off.

This really makes me mad!

[charitynjw]

Re: Utility-provider doubling DD - lawful?

We spoke to our energy supplier about suffering fuel poverty recently. We genuinely cannot afford to pay what they need, and we are using less than they would expect for our house. They were sympathetic, but play a clever trick. They won't ever cut you off. They let you run up a huge bill, then install prepayment metres where they take £xx.xx per week towards the debt. If you end up without gas or electricity then, you're deemed to have chosen to cut yourself off.

This really makes me mad!

Surely they can't be held accountable for a pre-existing condition, labman!

[labman]

Re: Utility-provider doubling DD - lawful?

Surely they can't be held accountable for a pre-existing condition, labman!

Ooooooooooooooooooh! Revenge will be sweet!

[JCE]

Re: Utility-provider doubling DD - lawful?

Isn't it strange, however, that the price only ever seems to fluctuate upwards?

...very true so, also just realised that I missed opting for a price-freeze tariff earlier this year - now after checking again it seems on the pretext of new Ofgem regulations the utility provider introduced a daily standing charge which sky-rockets the price even with extremely minimal consumption - effectively an approximately 30-40% price increase - I'm surprised there hasn't been more protest as many must be affected by this new pricing system (and after comparison with other providers it seems they all made the same move at the same time)....