Updated on 23/08/2023 by Tim_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.
Why 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
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 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 typical annual usage in the UK?
As of October 2023, Ofgem has confirmed that a typical household in Britain uses 2,700 kWh of electricity (single rates, for dual rate it’s 3900 kWh) and 11,500 kWh of gas in a year.
Has this raised any more annual usage questions? Comment below as we’re always happy to help de-mystify things!