Smart Meter Estimated Bills: Challenge Them

When Smart Meters Stop Sending Readings

A smart meter's main purpose is to send automatic readings to your energy supplier via the DCC network. When this connection fails, the supplier cannot access real usage data and must estimate your bills based on historical usage or meter readings taken manually. If the supplier continues issuing estimated bills for months without correcting the underlying meter fault, this is a breach of their license obligations and consumer rights.

Ofgem SLC 21B: The 28-Day Correction Rule

Under Standard Licence Condition 21B, suppliers must correct estimated bills within 28 days of receiving actual meter readings. If your smart meter stops communicating and the supplier issues estimated bills, they must repair the meter or obtain actual readings within 28 days and issue corrected bills. If they fail to do so, they are breaching their license conditions and you can complain to Ofgem and claim compensation.

DCC (Digital Communications Company) and Meter Communication

The DCC manages the data network for smart meters across Great Britain. If your meter stops communicating, the fault may be with your meter, your supplier, or the DCC infrastructure. The supplier should investigate and resolve the issue within reasonable time. Request your supplier provide evidence of what steps they took to fix the communication fault. If they failed to investigate, this strengthens your claim.

Step-by-Step: How to Challenge Smart Meter Estimated Bills

1. Request your meter data: Write to the supplier asking for: (1) the date your meter stopped sending readings, (2) their communication logs showing the failure, (3) actions they took to fix it, and (4) the date they obtained actual readings to correct the estimates.
2. Review estimated bills: Identify which bills were estimated. Check if they align with your historical usage. If significantly higher, this supports your complaint (the estimate is inaccurate).
3. Calculate overcharge: Compare estimated charges to previous years' bills at the same time of year. If estimates are 20-50% higher, calculate your estimated overcharge.
4. Request immediate meter repair: Demand the supplier repair or replace the meter immediately. Ask for written confirmation of the repair date and evidence the meter is now communicating properly.
5. File a formal complaint: Send a written complaint referencing: (1) SLC 21B, (2) the 28-day correction rule, (3) the date the meter failed to communicate, (4) the date it was repaired (or not), and (5) your calculation of overpayment.
6. Escalate to Ofgem: If the supplier refuses to compensate, complain to Ofgem. Reference the breach of SLC 21B and the prolonged use of inaccurate estimates.
7. Claim compensation: Request compensation for the overcharge plus compensation for the distress and inconvenience caused by repeated incorrect bills over months.

Compensation for Prolonged Meter Faults

If a smart meter fault persists for more than 28 days causing estimated bills, suppliers breach their license conditions. Ofgem expects compensation for both the overcharge amount and additional payment for the distress (typically 50-150 pounds depending on the duration and impact). A fault lasting 3-6 months can justify 100-300 pounds compensation in addition to refunding the overcharge.

When to Escalate to Ofgem or Citizens Advice

If the supplier refuses to repair the meter within a reasonable timeframe (7-14 days), this is a major breach. Contact Ofgem directly to report the failure and request intervention. Citizens Advice can also help if the supplier is non-responsive. For persistent failures affecting your ability to pay bills fairly, you may qualify for additional consumer protection.