Estimated Annual Consumption (EAC)
The EAC is the estimated number of kWh a standard electricity meter uses in a year.
What it is
Estimated Annual Consumption (EAC) is the industry's estimate of how much electricity a meter will use in a year, in kWh. It applies to meters that are not read half-hourly. The Data Collector works it out from your meter readings, and it is updated as new actual readings arrive.
Where you will see it
- On your electricity bill or renewal letter, often as estimated annual usage.
- On quotes, where suppliers price your contract using it.
Why it matters
EAC affects quotes and how electricity is allocated in settlement. If it is too high, you may be quoted for use you do not have. If it is too low, you can be caught out later when it is corrected. It can also decide how you are treated: under 100,000 kWh a year can help you count as a microbusiness.
Regular meter readings keep the figure close to reality. After a big change, such as closing a unit or adding equipment, tell your supplier so the figure can be reviewed.
Example
A shop's EAC is 22,000 kWh, but after fitting LED lighting and closing the upstairs room its real use is about 15,500 kWh. Without new readings the estimate will lag. At the DESNZ Q2 2026 non-domestic average of 24.51p/kWh, the 6,500 kWh gap is worth 6,500 x £0.2451 = about £1,593 of difference in a quote. Our business energy cost calculator helps you check this with your own figures.
Related terms
Profiles and settlement are explained under profile class, and the gas equivalent is the annual quantity.
Common questions on this topic
Sources
General information only. Energy prices, rules and supplier terms change; check the latest position with your supplier, Ofgem or the Energy Ombudsman before you act.