Aug 25, 2022
Shell fined for overcharging pre-payment customers
Shell has been fined more than £500,000 for overcharging thousands of customers on pre-payment meters since the energy price cap was introduced in 2019.The oil giant's home energy supplier failed to implement rate changes to meters due to "Operational errors". The energy price cap is the maximum amount suppliers can charge domestic customers in England, Scotland and Wales for each unit of energy. Out of 22 million households paying the price cap, around 4.5 million are prepayment meter customers who are among some of the country's poorest and most vulnerable households. Neil Lawrence, director of retail at Ofgem, said: "Ofgem expects suppliers to adhere to the terms of contracts they have with customers, particularly ensuring they pay no more than the level of the price cap." A spokesperson for Shell Energy said: "We are sincerely sorry that errors updating our prepayment meter rates resulted in some customers being overcharged for a period of time."As soon as we identified the issue we began taking steps to put it right and self-reported it to Ofgem.
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