Updated on 13/04/22 by Jess_OVO
Estimated Annual Consumption (EAC) - FAQs
What is an EAC?
EAC stands for Estimated Annual Consumption and applies to the amount of electricity we expect you to use each year. If you don’t have smart meters installed or these aren’t currently sending regular readings, we use this EAC figure to forecast the electricity usage at your property over the next 12 months.
How do we calculate your EAC?
The EAC is calculated using the historical readings submitted for your home (which might cover the time before you moved in). As your EAC is re-calculated each time we share your meter readings with the energy industry, the more readings you submit, the more accurate this figure will become.
How do we use an EAC?
- To calculate your Direct Debit
- Estimating readings when we have no 'actual' readings
- Estimating consumption when a meter is faulty
We don't always use EAC to predict your usage, only in cases where you don’t have a smart meter and haven’t submitted meter readings in the past 12 months.
What is Usage projection?
Usage projection is a figure produced by our billing system, that uses smart meter readings (if available) to project the usage for you over the next year. If you don't have a smart meter, it uses any actual meter readings obtained over the past 12 months.
If we don't have any actual meter readings within the last 12 months, we'll use your EAC and AQ (the gas equivalent of EAC) to calculate your usage projection.
Usage projections will be displayed on monthly bills and will also be used for Direct Debit check in’s and renewal quotes.
How do we update an EAC?
Whenever a new reading is submitted to the energy industry, a new EAC is calculated for us to use.
If your EAC is incorrect, you should keep sending us regular readings. As the EAC is calculated based on the entire reading history of an electricity supply (MPAN), submitting regular readings over a period of time will gradually change the EAC until it matches the member's usage. The better alternative is to get a smart meter!
There are some exceptions where we may amend the EAC in other ways (e.g. when there has been a sudden and large increase/decrease in the EAC that doesn't match the most recent readings) but these wouldn't be applied without supporting readings.
We can't contact the industry to say we want the EAC amended, so all we can do is ensure the readings are correct on an account. If you’re not sure about how we’ve calculated your Direct Debit, the best thing to do is ensure we have accurate meter readings, and book a smart meter exchange.
What is the average EAC in the UK?
The current average EAC / AQ, as specified by Ofgem, is as follows:
- Electricity (P1): 2,900 kWh
- Electricity (P2): 4,200 kWh
- Gas: 12,000 kWh
Has this raised any more annual usage questions? Comment below as we’re always happy to help de-mystify things!