Energy fraud is not a term you hear every day. The common types of fraud – finance, identity, credit card – are better known and more commonly discussed, but energy fraud is something that shouldn't be ignored.
Energy fraud involves the meter that you use in your business to record your company’s electricity and gas usage. Here, we are going to tell you everything you need to know about energy fraud and how to report it if you or any of your employees see something suspicious.
What is energy fraud?
Energy fraud is the crime commited when a person has tampered with their meter to feedback false results in order to pay a lot less - or nothing - for their gas or electricity. When a person commits energy fraud, they are essentially stealing energy from those who are supplying it. It’s fraud because by disrupting the meter, the amount of energy being used is not recorded properly and is charged incorrectly as a result.
How is it done?
Energy fraud is done by tampering with the gas or electricity meter, usually by tampering with the wires and connectors. The meter will then no longer be able to record the energy units efficiently and which usually leads to cheaper bills and a percentage of the energy used going unpaid.
Why do people commit energy fraud?
People steal energy to get cheaper bills and avoid paying for their usage. For businesses, this is can be more common due to the perception that business owners won’t notice because of their large footfall and energy usage. Whatever the reason, energy fraud is illegal, dangerous and the consequences can be fatal.
What are the risks?
Energy fraud is extremely dangerous. The act is perceived as a victimless crime, but it can cause serious damage to the people and the property involved and for businesses this can put employees’ lives at risk. The financial implications can also be severe, with energy fraud costing taxpayers an estimated £440 million per year.
It also puts people at risk of injury. Meters that have been tampered with can short-circuit, leading to to electrical shocks, fires, gas leaks and in severe cases explosions.
What are the signs of energy theft?
Energy theft can be difficult to spot but it is important to report anything that seems suspicious or out of place. Some of the more common signs of energy theft include:
- Numbers on the meter running backwards or not visible
- The smell of gas near the meter box
- Smoke or sparks coming from the meter box
- Meter shows credit has run out but gas is still available
All employees who work in the building should also be aware of the signs of energy fraud, as just one report could prevent danger or injury. Make sure all employees are aware of fire safety regulations and what to do in the case of a fire in the event of sparks or flames. Personal safety is of the utmost importance and vigilance is key.
Should you report it?
A tampered meter is unsafe for those in the building, surrounding buildings and even the wider community. If you are aware of meter tampering it is your duty as a responsible citizen to report it. If you suspect that someone you know has committed energy fraud, then you should report it as soon as possible, so it can be investigated.
You can do this easily online at Stay Energy Safe or by calling 0800 023 2777.
Can you report fraud anonymously?
You can report energy fraud anonymously online at Stay Energy Safe and your report will be handled confidentially. You do not have to provide personal details, and phone calls are not recorded.
What happens after a report has been made?
After you report suspected Energy Fraud, the relevant energy supplier will be notified who will then investigate following their own procedure. The meter in question will need to be looked at by a professional and potentially replaced if it is deemed unsafe.
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