The National Housing Federation claims 5 million people should receive up to £70 in fuel rebates. It comes after Ofgem published its investigation into the energy market last week.
The watchdog proposed a series of measures including banning unfair price differences, such as those between direct debit and prepayment metres. The report followed an eight-month probe into the gas and electricity markets.
The NHF says that customers should be given a rebate and has written to Ofgem claiming that customers that have been penalised by the differences should receive £193m.
Accordiing to Ofgem’s report, EDF Energy is the only major energy supplier that has now been overcharging customers.
Last week, Consumer Focus, the new consumer watchdog, called on utility companies to boost their social tariffs or risk facing Government legislation (MW last week). The lobby group, which has replaced Energywatch, Postwatch and the National Consumer Council, says EDF Energy and Scottish & Southern Energy, are the only companies from the “big six” energy suppliers that offer the best tariffs possible to fuel poor consumers.
Ofgem has given energy companies until December 1 to voluntarily drop prices for prepayment customers.