Price hikes and billing issues drive surge in complaints to energy regulator

Customers paying 'catch-up bills' at the new higher rates and not being able to get through to customer service lines were all cited in the latest report on complaints.

Complaints to the energy regulator rose 133% in the third quarter of 2022, with more people than ever raising contract disputes, billing problems, and customer service issues with energy companies.

Customers paying 'catch-up bills' at the new higher rates and not being able to get through to customer service lines were all cited in the latest report on customer complaints.

The Commission for Regulation of Utilities (CRU) said that there was an increase in customers having trouble getting through to their supplier from mid-September onward, as Panda Power announced its snap departure from the market and just prior to the latest energy bill hikes taking effect.

“A high volume of customers reported experiencing long call waiting times and reduced responsiveness across web and email platforms,” it said.

Billing and account problems continued to be the largest drivers of queries submitted by consumers to the energy regulator, which CRU said is heightened by the ongoing energy crisis.

Bonkers.ie head of communications Daragh Cassidy said that the issue of these catch-up bills is something “a lot of people aren’t aware of”.

“People can ring their supplier, if they can get through, and can try to show the units were consumed at a different time,” he said.

'Cumbersome'

“But it’s cumbersome. It means customers can get charged back payments at today’s higher rates. The move towards smart meters will eventually do away with that, but we’re a long way from there.” 

The regulator said it had several contacts from customers who felt their supplier was in breach of contract when they increased their prices but cautioned that customers must be aware of what they’re getting themselves into when signing up to a “fixed” contract.

It said: “While contract periods are fixed, the price in energy supply contracts is rarely fully fixed. Customers must ensure they carefully read the terms and conditions associated with their contact.” 

Mr Cassidy said that there had been a lot of feedback from consumers that the service they’re receiving from energy providers is “too slow”.

“It seems some struggle to staff their centres, and that’s something CRU needs to keep an eye on,” he said. “Most suppliers do provide good customer service, but not to let them off the hook. 

It’s not a surprise to see complaints going up. They do need to staff their customer service better.” 

When it came to complex complaints, CRU noted that these have increased every quarter since the third quarter of 2021. While complaints rose 13% from the second quarter of 2022 to the third, they rose 133% to 98 during the same period in 2021.

Overall, the regulator received just under 7,700 contacts from customers, and said it only progresses to complex complaints when all other avenues have been exhausted.

Electric Ireland, which has a market share of 43%, received 45% of complaints.

While SSE Airtricity has a 10% market share it represented just 1% of all complaints. On the other hand, Flogas had 13% of all complaints despite a market share of 2%.

Older people

Reacting to the figures, Age Action said that it regularly hears from older people having difficulty contacting and resolving issues with energy providers and urged service providers to make sure they properly resource these customer service teams for those who need them.

Celine Clarke, head of advocacy and public affairs at Age Action, also said it comes as older people face into 2023 with a cut in real terms to their State pension which in turn affects their ability to meet energy bills.

She said: “Like many services, utility providers are encouraging people to engage with them digitally which can mean that people who are not able to do their business online receive a poorer customer service such as longer response times.

“Service providers must maintain adequate offline channels for people who need to use them and make sure that their customer care teams are trained to support people who may have particular needs such as a hearing impairment or literacy issues.”