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You've just opened your power bill and there's a sinking feeling in your gut: it's higher than you thought it was going to be.
While estimates for gas and electricity bills have become common practice in recent years, many Australians don't realise they could be getting overcharged as a result.
Here's what to do if you think your bill is wrong.
What is an estimated bill?
An estimated bill is essentially a best guess at your usage.
Instead of using a meter reading, an estimated bill is usually calculated based on your usage from the same period last year.
Some companies may also use data from similar customers to make a guess at your usage.
How can I tell if I've been sent an estimated bill?
According to the Australian Energy Regulator, energy retailers are required by law to tell you on the bill whether it's based on an estimate.
This can be written as "estimated reading", or even just as "E" next to your usage charge.
Why would I have been sent an estimated bill?
They tend to be sent when the local distributor wasn't able to read your meter.
This can happen if the meter was faulty or broken, or if the meter reader was unable to safely gain access, for example, due to:
- Unrestrained pets
- Locked gates
- Tall grass
- Severe weather events
The Australian Energy Market Commission says energy companies are required to make their best effort to conduct actual meter readings at least once a year, rather than using estimates.
I received an estimated bill and think I was overcharged. What should I do?
The next time you get a bill based on an actual reading, it will balance out with the estimate.
So you can pay your current bill and expect to pay slightly less during another period.
But you also have the right to challenge your bill if you're not happy to wait.
You can do this by contacting your energy retailer and submitting your own meter reading.
How you do this differs by company.
Some allow you to manually input your read online or through an app, and you can provide others with a clear photo of your meter.
Keep in mind if you plan to provide a self-read, you'll need to send the request through to your retailer before the payment due date on your bill.
This is also only an option for households with old meters because smart meters can be checked remotely.
I think my meter might be faulty. What can I do?
If you suspect a faulty meter is to blame for your costly bill, you can ask your retailer to have it checked.
But be warned: the retailer can charge you a fee if it turns out there was no problem.
You can ask in advance how much that charge would be.
What else can I do?
You should talk to your retailer about why you were charged more than you expected.
The company is required by law to review your bill at your request, in line with its complaints policy.
Be sure to ask when you should expect your complaint to be resolved.
I was overcharged. How do I get my money back?
There are rules around your retailer refunding you if it's found you were overcharged:
- If you were overcharged by less than $50, the difference must be taken off your next bill
- For values of more than $50, you can ask the retailer to take the amount off your next bill or give the money straight back to you
I contacted my retailer but I'm not happy with its response
You should contact the energy ombudsman in your state or territory if you think your issue hasn't been resolved.
Under Australian law, your retailer can't disconnect your energy service while your account is under dispute – whether it or the ombudsman, is handling your complaint.
What about if I think I was undercharged?
This might sound like a lucky windfall but it can come back to bite you down the track.
What happens next can differ, depending on who is to blame for the undercharge.
The Australian Energy Regulator says if the undercharge came from the retailer's side, such as due to a fault with its billing system, you only have to repay what you owe from the last nine months.
If the undercharge is found to be your fault, you have to pay the full amount, regardless of the time frame.
This can happen if a meter reader was unable to safely access your property, for example.
Regardless of who is at fault, you won't have to pay what you owe all at once.
How long you have depends on how long your bills have been wrong.
- If you were undercharged for more than 12 months, you have 12 months to pay what you owe
- If you were undercharged for less than 12 months, you will be given the same amount of months to repay as you were undercharged