What’s in this guide?
Did you know that if your power is cut, you could claim compensation for your home or business?
This depends on two main factors.
- The length of time you lose your energy for
- If you lose your energy is planned by your electricity or gas distributor or not
This guide will let you know everything you need to know about power cuts, compensation and how to get compensation.
Let’s take a closer look!
What is a power cut?
A power cut is when your gas or electricity is cut suddenly and leaves you without access to your energy.
It can be frustrating and even worrying to not have your electricity or gas for a while, primarily if it was for a long time or your distributor didn’t plan it.
Depending on the situation, you could be owed money.
When can I claim?
The only reason that you will be able to claim as part of the electricity compensation scheme is if the power cut was not your fault but the fault of the people who distribute your electricity or gas.
If you have lost power because you haven’t paid your bill or you have accidentally cut a supply line while making home improvements, you won’t be able to claim.
You also won’t be able to claim for loss which is due to things like if the power cut spoils the food in your fridge or freezer.
Planned power cuts
If there is a planned power cut but the people who distribute your electricity gives you 2-days of warning to do work, you can’t complain.
£30 might be owed to you if they don’t give you this warning but you have to declare within one month.
Electricity power cuts
In the scenario that it wasn’t a plan to cut your power, the amount that you will get for compensation depends hugely on the number of homes that were affected and whether it was due to bad weather.
Fewer than 5,000 homes
If fewer than 5,000 homes that suffered because of a power cut, you’d receive:
- You might get £75 if the power was out for longer than 12 hours
- Then it’s £35 for each following 12 hours
More than 5,000 homes
In the instance that there were over 5,000 homes that suffered because of a power cut, this is what you could claim:
- You may get £75 in the circumstance that you have lost energy for longer than 12 hours
- Then, you’d get £35 for the next block of 12 hours and so on, which is up to a maximum of £300
How long does electricity have to be off to claim compensation? To claim compensation the electricity must have been off for at least 12 hours.
If there is a power cut that is caused by severe weather such as storms you could receive:
- You might get £70 in the circumstance that you have lost energy for 24 hours
- Then, you might get £70 for the next block of 12 hours and so on, which is up to a maximum of £700
Multiple power cuts
In the instance that you experience numerous power cuts in the same year, specifically more than four for 3 hours at a time, you will claim an extra £75.
The year that this is based on runs from 1st of April to the 31st of March.
Gas power cuts
If your gas transporter, who is responsible for providing your gas, are planning a power cut they have to give you a minimum of 5-days notice.
In the situation that they don’t, you might be entitled to around £30. You have to do this within a month so make sure you do it as soon as possible.
If you are on the priority services register, they have to provide you with alternative facilities.
If your supply is cut off for 24 hours, you could be compensated, but the amount you get varies depending on how long it was cut off for.
How do I claim compensation?
If your power cut was cut due to bad weather, or you are on the priorities service register, you won’t have to claim compensation so it should be paid to you automatically.
However, if you notice that you haven’t received it, you should take action to make sure you get your compensation.
In the scenario that it wasn’t caused by bad weather or if you aren’t on the priorities service register, this is how you claim.
Remember that these companies aren’t your energy suppliers, but they are responsible for distributing your electricity or gas to your home.
Your electricity distributor or gas transporter will probably send the payment to your energy supplier. They should inform you of this.
Then, your energy supplier should credit this amount to your account. If your distributor or transporter has your details, they might be able to pay you directly.
When you will be paid
You will typically be paid:
- After you claim, it can take around ten days
These kinds of time frames don’t, however, apply when your power cut is due to bad weather. In this scenario, you’ll be paid as soon as possible.
If you aren’t paid during this time, you should be able to claim another £30.
Did you know that you could be saving up to £500 on your energy bills every year?