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Handling Inflated or Inaccurate EACs 📊⚠️

Category: Sales Procedures
Last Updated: October 2025
Applies to: All Brokers

Table of Contents 📑

1. Overview
2. When EAC Data May Be Inaccurate
3. Our Advice on High-Consumption Sites You Think Are Inaccurate
4. Why This Policy Exists
5. What You Should Do
6. Red Flags - When to Question EAC
7. Important Reminders
   • Data Accuracy Disclaimer
   • Verification Process
8. Examples
9. The Double Standard (Let's Be Honest)
10. Summary Table
11. Final Note

Overview 📋

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Estimated Annual Consumption (EAC) data from lookup tools may sometimes be inaccurate or inflated. This guide explains how to handle high-consumption sites where you suspect the EAC is questionable.

Important: Many high-consumption sites (400k+ kWh) have been renewed year after year with no issues - these are typically legitimate, especially if they're with residual suppliers who verify usage regularly. This policy is specifically for meters where you think the EAC looks dodgy.

When EAC Data May Be Inaccurate 🔍

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Common scenarios where EAC/AQ figures are unreliable:

• Historical data 📅 - Previous tenant had higher usage
• Estimated readings 🔢 - Supplier calculated EAC from estimates, not actual meter readings
• Outdated records 🗂️ - Business reduced operations but EAC never updated
• Data lag ⏳ - Supplier systems haven't refreshed with current usage patterns
• System errors ❌ - Incorrect data entry or calculation errors
• The famous Kraken EDF upgrade! 🐙 - When EDF migrated to Kraken systems, numerous EAC records became corrupted or inflated

Our Advice on High-Consumption Sites You Think Are Inaccurate 🚨

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Threshold Rule

Any site with EAC above 150,000 kWh that you suspect may be inaccurate should follow the residual payment process.

Note: If you've dealt with the same meter before, it's been renewed multiple times at high usage, and there's a track record of accuracy - proceed as normal. This advice is for questionable EACs, not all high-consumption sites.

Recommended Process ✅

1. Do NOT submit for upfront commission payment ❌
2. Place with BGB on residual payment terms 📝
3. Payment released based on ACTUAL verified usage 💰
4. Proof required before commission release 📄

Why This Policy Exists 🎯

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Protection for Everyone 🛡️

• Suppliers will request consumption proof during onboarding anyway
• Deals fall apart if EAC doesn't match actual usage
• Wasted time ⏰ for broker, admin team, and client
• Payment disputes if commission paid on inflated figures

Fair Process ⚖️

• If the EAC is accurate → You get paid based on actual usage (potentially more!) 📈
• If the EAC is inflated → You're protected from clawbacks 🔒
• Residual payment ensures everyone gets paid correctly ✅

What You Should Do 💡

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Option 1: Get Proof First (Recommended) ⭐

Before submitting the deal:

• Request 12 months of actual bills from the client 📑
• Verify true consumption levels 🔎
• Quote based on REAL usage, not lookup EAC
• Submit with supporting documentation 📤

Benefits:

• Faster commission payment 💸
• No surprises during supplier onboarding
• Client gets accurate quote
• Deal progresses smoothly 🚀

Option 2: Use Residual Payment 🔄

If you can't get bills upfront:

• Submit to BGB with residual payment terms
• Commission calculated on actual usage once verified
• Payment released after consumption confirmed
• No upfront payment without proof

Benefits:

• Deal can proceed without delays ⏩
• You're protected if EAC is wrong 🛡️
• Fair payment based on real consumption 💯

Red Flags - When to Question EAC 🚩

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Be cautious when you see:

• 🚨 EAC above 150,000 kWh for small premises
• 🚨 Consumption seems too high for business type (e.g., small office showing 400k kWh)
• 🚨 Client says usage is lower than lookup data
• 🚨 Recent business changes (downsizing, reduced hours, equipment changes)
• 🚨 Newly occupied premises with historical tenant's usage data
• 🚨 Cos Mr Singh said so 😏

Important Reminders ⚠️

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Data Accuracy Disclaimer 📜

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As per our Terms & Conditions:

"Data accuracy: Information provided may differ from supplier records or point-of-sale data. We are not liable for discrepancies."

Understanding Data Accuracy: 📊

Both we and suppliers license EAC data from industry databases. Suppliers work to ensure this data is as accurate as possible, and 95-98% of the time, it is accurate.

However: That 2-5% margin exists because:

• Data comes from multiple sources
• Updates don't happen instantly
• System migrations cause errors (remember Kraken!)
• Premises changes aren't always reflected immediately

The Reality:

• 95-98% of lookups are accurate ✅
• Brokers are happy and quiet during the 95-98% 🤐
• Brokers cry foul on the 2-5% when it's not in their favor 😤

This means:

• Lookup data is a starting point, not guaranteed truth
• Always verify with actual bills for high-value deals 💼
• You are responsible for accurate quoting
• Don't expect perfection on 100% of lookups - no data provider achieves that

Verification Process 🔐

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If we suspect foul play, we will request proof before releasing payment on:

• Any site >150,000 kWh with questionable EAC
• Deals where consumption seems unusual
• Sites with large discrepancies between lookup and client claims

Note: Usually the supplier will request this during onboarding. But if they don't and we suspect something dodgy, we will verify before releasing commission.

There's no point submitting deals with known bad data - suppliers will catch it anyway. 🎯

Examples 📚

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✅ Good Practice

Scenario: Lookup shows 450,000 kWh EAC
Action: Broker requests bills, actual usage is 200,000 kWh
Result: Quote based on 200k kWh, deal placed with accurate data, smooth processing 🎉

✅ Acceptable Alternative

Scenario: Lookup shows 350,000 kWh EAC, client can't provide bills immediately
Action: Broker places with BGB on residual terms
Result: Deal progresses, commission paid after actual usage verified ✅

✅ Legitimate High Usage

Scenario: Lookup shows 400,000 kWh EAC, same meter renewed 3 years in a row, always with residual supplier, no issues
Action: Broker proceeds as normal - track record proves accuracy
Result: Deal processes smoothly, everyone happy 🎉

❌ Bad Practice

Scenario: Lookup shows 500,000 kWh EAC, broker suspects it's wrong
Action: Broker submits anyway hoping to "get away with it"
Result: Supplier requests bills, actual usage is 180k kWh, deal falls apart, time wasted, potential clawback 💥

⚠️ Real-World Timing Risk

Scenario: You make a sale today with 50,000 kWh EAC to go live in 6 months time. Tomorrow the premises closes for a refurb to reopen in 5 months 3 weeks 5 days time. Sale goes live in 6 months.

What happens?

• EAC payout = 0 kWh! ❌
• Why? Usage during supply period shows ZERO consumption
• The supplier is king 👑 - they pay on ACTUAL usage, not historical EAC
• You get nothing because the meter recorded no usage during the contract period

Lesson: EAC is historical data. If circumstances change between sale and go-live, your commission reflects ACTUAL usage during the supply period, not what the lookup showed. Always check if the client has any planned closures, refurbishments, or changes coming up! 🏗️

📊 The Double Standard (Let's Be Honest)

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We've noticed a pattern in how brokers react to EAC vs Actual usage:

When EAC is LOWER than actual usage:

• Actual consumption: 300k kWh
• EAC was: 200k kWh
• Result: Bigger commission! 💰
• Broker's reaction: crickets 🦗 "Thank you very much, no complaints here!"

When EAC is HIGHER than actual usage:

• Actual consumption: 100k kWh
• EAC was: 200k kWh
• Result: Smaller commission
• Broker's reaction: "This is UNFAIR! The lookup tool was WRONG! You OWE me! I want to speak to management!" 😤📞

⚖️ The Reality Check

Let's be clear about how this works:

The supplier always pays on actual usage. Always. That means:

• Sometimes you win (usage exceeds EAC) 📈
• Sometimes you lose (usage below EAC) 📉
• It balances out over time

You can't have it both ways! 🎯

If you're happy to take the upside when usage exceeds EAC, you have to accept the downside when it doesn't.

You don't get to:

• ❌ Keep the wins and dispute the losses
• ❌ Demand payment based on lookup data only when it suits you
• ❌ Ignore actual consumption when it's inconvenient
• ❌ Cherry-pick which deals get paid on EAC vs actual usage

💡 How to Protect Yourself

If you're unsure about an EAC:

1. Verify it BEFORE submitting - request bills from client
2. Use residual payment terms - get paid on actual usage, no surprises
3. Don't gamble - if it looks dodgy, it probably is

Don't gamble on questionable data and then cry foul when the bet doesn't pay off. 🎲

If you think an EAC looks too good to be true, verify it first. That's why we have the residual payment option - to protect YOU from these situations.

Remember: The supplier is king 👑 - they pay on what the meter actually records, not what a lookup tool estimated 12 months ago.

Summary 📝

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EAC Level
Action Required
< 150,000 kWh 💚
Standard processing (trust lookup data)
> 150,000 kWh + proven track record 💚
Standard processing (meter has history of accuracy)
> 150,000 kWh + questionable 🟡
Get bills OR use residual payment
Any level + client disputes data 🔴
Always get bills first

Final Note 📝

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This guide covers everything you need to know about handling questionable EACs.

The rules are clear:

• EAC looks dodgy? Get bills or use residual payment.
• High usage with proven track record? Proceed as normal.
• Unsure? Refer back to this guide - all scenarios are covered above.

Don't overthink it. If you've read this guide and still think the EAC might be wrong, you already know what to do: verify it first or use residual payment.

The supplier pays on actual usage - always. Plan accordingly.

Related Articles:

• 📖 Understanding EAC vs Actual Consumption
• 💷 Residual Payment Terms Explained
• 🔧 Using the Broker Lookup Tool Responsibly