I have queried this a few time in the last few months but remain at a distinct loss on the mathematics invovled in BILL SMOOTHING.
It is supposed to be an average of your forecasted consumption that I get.
What I dont get is how the forecast is calculated? If it using your past consumtion? I have analysed my past bills from 4th Decmber 2015 until 29 January 2018. I was charged $4592.17 for the joy of having electrity for a period of 1151 days. AGL in their mathematical genius have indicated that for the next 12 months I will be charged a bill smoothing amount fo $392 per month. This is a $4704 for 365 days. Now the question is have they increased their fees by 200% (cause I havent increased my consumption by 200%).
They keep saying its correct, but I an astounded at the amount.
I would love to see the actual formula used for this calculation.
Yes - a little more analysis has revealed the following -
If I divided the figure of $4592.17 into 1151 days, the average daily rate is $3.99.
If I divided the figure of $4704.00 into 365 days, the average daily rate is $12.89.
I think that this is a failry substantial increase in anyones books?
Good morning, Graham!
Thank you for your post!
I'm sorry to hear that you've been hit with this steep increase! To clarify, we do not go as far back as a number of years when calculating Bill Smoothing amounts. This is for the simple fact that we understand that over the course of a number of years, our customers households and lifestyles can change dramatically. More or less people may be living in the household, employment situations may have changed resulting in residents spending more or less time within the property etc. Typically speaking, only the previous twelve months of billing are taken into consideration when we quote for a Bill Smoothing plan.
If you'd like us to take a second look at your Bill Smoothing amounts, you're always welcome to get in touch with our web chat team here.
I'm afraid that makes it worse
3 Aug to 31 Oct 2017
5 May to 2 Aug 2017
4 Feb to 4 May 2017
6 Nov to 3 Feb 2017
If I look at the billing for the last year (see table above) it still does not make any sense to me. The forecast for $4704 for the year 2018 does not seem to be related in any part to historic trends. I would understand a charge of $280, as a spread over for the year (this would tally to $3360) which would allow you to recoup my consumption, with an increase of 10% and buffer for any change in circumstances.
Looking at the forecast I was supplied in December last year, I compared the Nov 17 - Jan 18 values against the actual consumption. There is a variation of $593.84 in the the favour of AGL. This would imply that the forecast is out by over 30%.
In any case I will let it run for the next few months, while I obtain quotes from other providers, whom I can only hope have a firm grasp on reality.