Customer dissatisfied when first bill showed rates not comparable to welcome pack

High bills, Billing mistakes
Case Number 2018/22879
Outcome Conciliation

The Issue

Mr D contacted EWOV, dissatisfied after he received a high gas bill. He transferred to his new gas company in April 2018, and at that time received the offer which confirmed the megajoule (MJ) rate. However, when the first bill arrived, his billing totalled $760 and was not calculated based on the rate previously advised. Mr D also said he had been overseas for two weeks during the billing period and believed that the usage charged could not be correct. He contacted his gas company and was told there had been an error, that his bill would be changed and he would be charged the correct rates. However, he contacted EWOV when this did not occur. In order to resolve the matter, Mr D wanted the gas company to explain the bill issued and reduce the rates to the original offer.

The Investigation

When Mr D contacted EWOV an Assisted Referral was raised with the gas company, requiring a higher-level representative to contact him directly. We escalated the matter to an Investigation after Mr D recontacted EWOV dissatisfied again with the gas company’s response. The gas company had told Mr D it could only reduce the rates for one billing period (in response to Mr D’s concerns) and he was free to transfer to a new gas company if he remained dissatisfied.

As part of the Investigation, EWOV reviewed the gas company’s initial offer by checking the welcome letter and pack. This confirmed that after Mr D transferred to the gas company he was sent a welcome pack which included incorrect explanation of his rates. The pack explained that Mr D would be charged a rate per month not per day. Mr D had paid the amount not in dispute, $405.91, based on his own calculations of the original rates. In order to address this error, the gas company agreed to apply a credit of $278.40 to Mr D’s outstanding balance. This was based on the difference between the rates he was advised in the welcome pack and the correct rates. This reduced his outstanding balance to zero. Because Mr D organised a transfer to a new gas company (during the complaint), the company also said that his next and final bill would be reduced manually to reflect the original rates offered.

The Outcome

Mr D was satisfied with the response provided to his complaint and the offer made and the case was closed.

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