An erroneous transfer (ET) occurs when your energy supply is switched to a new provider without your explicit consent or due to an administrative error. This can lead to unexpected bills and confusion, but you have clear rights and a defined path to resolve the issue, including claiming any rightful compensation. Understanding these steps empowers you to regain control over your energy supply.
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An erroneous transfer (ET) happens when your energy supply is switched to a new provider without your permission or due to an administrative mistake. This can affect both electricity and gas supplies, leading to incorrect billing. The key factor is the absence of your explicit consent.
Defining an incorrect energy switch
Ofgem, the UK's energy regulator, defines an erroneous transfer as when an energy supplier tries to take over a gas or electricity supply by mistake. Energy suppliers must follow the Erroneous Transfer Customer Charter, which outlines their obligations to protect consumers in such cases.
Common causes of erroneous transfers
Erroneous transfers often result from administrative mistakes rather than deliberate action. Common causes include data entry errors by suppliers, incorrect meter readings, or confusing your address with a neighbouring property. In very rare cases, a property is signed up to commit fraud, though compensation may not apply in such instances.
The first indication that an erroneous transfer has occurred is usually an unexpected letter or email from an energy supplier, often stating "Sorry you're leaving" or a final bill when you didn't request one.
Signs you've been switched by mistake
Key signs include:
- Receiving a welcome letter from a new energy supplier you didn't choose.
- Getting a final bill from your current supplier unexpectedly.
- Unfamiliar charges on your bank statement for energy supply.
Checking your energy bills and correspondence
You can check if you've been the victim of an erroneous transfer by comparing the supply numbers on your recent bills to the numbers on any welcome letter or first bill from a new supplier. These are also known as your MPAN (electricity) or MPRN (gas) numbers, and they identify your specific energy supply. If these numbers don't match or you receive correspondence from an unfamiliar supplier, something may have gone wrong.
Resolving an erroneous transfer requires prompt action and clear communication.
Contacting your energy suppliers
Immediately contact either your original energy supplier or the new (erroneously gained) supplier to report the issue. It's usually quickest to call them, using the numbers on any letters or bills they've sent. Let them know you didn't agree to the switch and ask them to cancel it if it's still in progress, or reverse it if it has already happened. Make a note of the date and time you call, and who you spoke to, as you might need this information later.
Gathering necessary information
To streamline the resolution process, gather all relevant documentation. This includes:
- Your name, address, and contact details.
- Your new and old energy account reference numbers.
- The type of energy supply (gas, electricity, or both).
- Meter readings and dates.
- Copies of any unexpected letters or bills.
- Dates and details of all communications with suppliers.
Following the complaints process
Once you've contacted a supplier, they should work to resolve the erroneous transfer. Suppliers typically have 20 working days to confirm they are reversing the switch or explain why they believe it was correct. If the issue remains unresolved or you are dissatisfied with their response, you can escalate your complaint.
As an energy customer in the UK, you have strong protections against unauthorised switches.
Ofgem's role in erroneous transfers
Ofgem, the energy regulator for Great Britain, sets the rules and guidelines that energy suppliers must follow regarding erroneous transfers and customer compensation. The Erroneous Transfer Customer Charter imposes mandatory requirements on suppliers to protect consumers who have been erroneously transferred.
Claiming compensation for an erroneous transfer
Domestic customers are entitled to automatic compensation if they are victims of erroneous transfers. The new supplier must automatically pay you £40 for the mistake. This payment should be made within 10 working days of the date they agree a mistake was made, either by cheque or direct bank transfer.
Additional compensation may be due if there are delays:
- If the supplier takes more than 20 working days to reply after you report the switching mistake, you are entitled to an extra £40.
- If your old and new suppliers take more than 20 working days to agree whether your switch was correct, they will each pay you £40.
- If your old supplier takes more than 21 working days to re-register your supply once they know about the mistake, you are due another £40.
- If any compensation payment is delayed beyond 10 working days of it being due, the supplier must pay an additional £40.
Escalating to the energy Ombudsman
If your erroneous transfer issue remains unresolved after eight weeks, or if you are unhappy with your supplier's final response (often called a 'deadlock letter'), you have the right to escalate your complaint to the Energy Ombudsman. The Energy Ombudsman is an independent body that offers a free dispute resolution service for energy consumers. They will investigate your case and can issue a binding decision, which may include mandating compensation.
While erroneous transfers are relatively rare, taking proactive steps can help ensure a smooth experience when changing energy suppliers.
Tips for a smooth energy switch
- Be vigilant: Regularly check your energy bills and correspondence from suppliers.
- Keep records: Maintain detailed records of all communications, account numbers, and meter readings.
- Confirm details: Always double-check your personal and supply details when initiating a switch.
- Understand the process: Familiarise yourself with Ofgem's Faster Switching rules, which ensure switches are completed within five working days. The Energy Switch Guarantee also sets out clear standards for switching, including protections against erroneous transfers.
The importance of accurate information
Providing accurate information during a switch is crucial. Errors in address details or meter numbers can contribute to erroneous transfers. Ensure all information you provide to your chosen supplier is correct and up-to-date. If you are experiencing issues, Fuse Energy's human customer support can provide assistance and guidance, helping you navigate complex situations and reclaim control over your energy supply.
Managing your energy bills should be clear and easy to understand. Fuse Energy focuses on straightforward pricing, so you can see exactly what you're paying without unnecessary complexity. If you have a smart meter, you can view detailed usage data through the app or website, helping you understand how you can lower your bills. Our support team is always on hand whenever you need help. Click here to switch to Fuse Energy today. Find out about our mission by clicking here.
