The JEP’s consumer column Fair Play this week uncovered a flaw in the company’s 1 January 2.5 per cent price rise.

It found the JEC had backdated the increase on everyone’s new year bill, applying it to electricity used before 1 January.

Some customers were even charged the new price on electricity used as far back as October – six weeks before the JEC officially announced the increase in the JEP notice’s column.

Initially the JEC said there was nothing it could do as they have to read 40,000 meters and doing them all in the first week of the year would have been too difficult.

The company, which recorded pre-tax profits of £7m, also said it was too difficult to create a computer system that would separate all of the electricity used before 1 January and all of the electricity used since 1 January and then apply the different charges.

But last night the company decided that it would refund the 2.5 per cent increase it applied to electricity usage before 1 January.

Every affected customer has been told they will receive a credit on their next bills.

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