In recent days, the sharp increase in fees after Chongqing switched to new smart gas meters has sparked an outcry on the internet. The authorities’ investigation results did not provide a reasonable explanation, instead raising more concerns among the public. People are worried that after the collapse of local government land finance, more public services may see price hikes.
Experts point out that with the current economic downturn in China, the public is anxious and reluctant to consume. The authorities should have been reducing the cost of living and encouraging production and consumption. However, the current approach has been the opposite, with reductions in social security, increases in medical insurance expenditures, and rising prices of essentials like coal, gas, water, and electricity.
According to reports from mainland media, as early as the second half of 2023, Chongqing residents had been complaining on various platforms about the sharp increase in gas fees after switching to new smart gas meters. Complaints have been steadily increasing since February this year, with a total of 7362 consultations and complaints received by April 12th, and the issue gaining traction on the Douyin platform in April.
Residents of Jiangshanyue Community on Kangmei Street complained that their household, which only has two occupants, saw their gas bill surge to 270 yuan in March 2024, compared to an average monthly gas bill of around 50 yuan last year. They questioned the validity of such a significant increase in gas costs.
Ms. Shen from Jiayi Wutongju Community in Jiulongpo District of Chongqing shared her gas payment records, indicating that their costs rose sharply from 150.89 yuan and 131.76 yuan in May and July 2023, to 259.13 yuan and 272.3 yuan in January and March 2024. She expressed confusion over why they were being charged significantly more for gas this year, despite no change in household occupancy.
Another homeowner, Ms. Wang, noted that during the hot weather last August when her family took daily showers, their gas bill was only 118 yuan. However, in April this year, they were charged 278 yuan, causing further concern among residents about the accuracy of the gas meters.
Residents have raised suspicions about the gas meters. A resident of a community in Jinkai Avenue, Yuyang Street in Chongqing’s Liangjiang New Area, filmed a 65-second video showing the gas meter with the last three red digits displaying “169”, followed by the number “9” gradually jumping up and completing a cycle of increase.
She recorded the video around 10:50 am on April 11th, mentioning, “No one is living in our house, nothing is turned on, yet the meter is slowly rotating, moving very slowly, which is quite eerie.”
Chongqing Gas Group’s response to this was that old meters had aged, leading to a perception of a drastic increase in gas usage after the switch to new meters, delayed data transmission from the old meters, a price adjustment by the Chongqing Development and Reform Commission, and minor leaks at some users’ gas pipes and joints.
However, these explanations have raised further doubts among the public:
1. The probability of older gas meters, within their lifespan, exhibiting a significant and widespread measurement difference of approximately double that of the new meters is extremely low.
2. Delayed data transmission from old meters by two months leading to concentrated meter readings in April implies that gas fees for the previous months were either zero or significantly lower. Still, most complainants reported gas fees not being zero for the prior months.
3. The Chongqing Development and Reform Commission’s price adjustment only affected non-residential gas prices, not residential gas prices.
4. The simultaneous occurrence of widespread leaks in gas pipes and joints during the city-wide gas meter replacement that correspond to double the original gas usage and leakage is practically impossible.
Chongqing Gas’s financial report for 2023 revealed an over eleven-fold increase in operating profit in the fourth quarter of 2023, with a 1127% year-on-year increase in net profit attributable to shareholders and an 824% rise in net profit.
Ms. Yin from Chongqing expressed that there had always been rumors of adjustments made to water, electricity, and gas meters, but gas meters were the most pronounced – a sudden and substantial increase in charges. When the public voiced concerns about the gas meter billing, they were told it was based on the meter readings, and if there were issues, they could take the meters to a third party for inspection. Now, everyone knows there’s a mechanism inside the meter. Information leaked internally suggests remote control manipulation of the readings; otherwise, where is the excess money coming from?
Ms. Yin said, “I was lucky; I received a notice to change the meter a few months ago. Notices were posted at the elevator entrance, requiring someone at home during the replacement. Since I wasn’t home, my meter wasn’t changed, and I escaped.”
As public suspicions grew regarding the gas meters causing the sharp increase in fees, Chongqing Gas released a clarification statement on April 12th, stating no inaccuracies were found in the reviewed gas meters. On April 13th, a joint investigation team led by the Chongqing Market Supervision and Administration Bureau was formed with multiple units participating in the investigation.
During a news conference on April 19th in Chongqing regarding the gas investigation, the joint investigation team attributed the issue to the gas company overcharging gas fees, acknowledging errors in meter readings and improper estimations, leading to the dismissal of Chongqing Gas Group’s Party Secretary and General Manager, Che Dechen. However, they stated that no issues had been found concerning gas meter measurements, quality, gas quality, or remote-controlled alterations of gas meter readings.
The authorities’ investigation results largely support the statements from Chongqing Gas. Initially, Chongqing Gas vehemently denied any problems with the gas meters, only admitting to billing errors under public pressure, promising refunds. Netizens have criticized the blame being shifted onto meter readers without any background investigation.
“After the task force intervened at Chongqing Gas Group, they are not dealing with significant individuals, pretending to calm public anger and then refunding money. How the refunds are being processed is unclear. I asked those who were overcharged, and they all said they were not sure, just that refunds were mentioned,” added Ms. Yin.
American economist Davy J. Wong stated that the current explanations from the authorities are vague and fail to address the core issue. He speculated that the problem likely involves remote control manipulation to increase revenue. If the fees had been raised by 5% or 10% each month, it may have gone unnoticed. Still, such a sudden and significant increase clearly indicates a problem.
Renowned economist residing in the US, Li Hengching, mentioned that if everything from the meters to the gas is accurate, why should refunds be issued? Nowadays, most public services in China are state-owned, and there’s a basic principle that must not be violated, which is committing fraud. Otherwise, the government would lose credibility.
Following widespread protests, the gas meters in Chongqing did start to show slower readings, but a netizen posted on Weibo: “Good news, the gas meter in my house has been visibly slowing down since yesterday, and the flame is now a lovely blue. But the bad news is it’s so scary. The meter’s speed adjusts based on needs, just like controlling network bandwidth. High technology is being used here; it’s incredible. Now that things are back to normal, will the meters slowly speed up again once the dust settles unnoticed?
Some netizens remarked, “Chongqing Gas is too mysterious! The gas meters have slowed down on their own without any physical intervention; there must be remote control manipulation, much like internet bandwidth control—quite impressive. After this blows over, could they secretly speed things up again, once everyone calms down?”
Wong remarked, “Initially, they blamed it on wrong readings, and suddenly the gas meters’ speed and charges decreased. This situation is quite abnormal. Some suspected that a nozzle-like device had been installed on the gas meters to increase the speed. Subsequently, when it was discovered that the meters had not been physically changed, and the readings slowed down, returning to normal, it indicates likely remote control issues. Currently, electricity meters, water meters, and gas meters are generally controlled via the internet of things.”
After searching for “IoT gas meters,” it was found that these intelligent meters have features such as “periodically reporting gas consumption data (automatic meter reading)” and “remote valve control for unexpected incidents or defaulting customers, allowing for remote valve closure.”
Media investigations also revealed the shareholders behind Chongqing Gas, with the original controlling shareholder, Chongqing Energy, undergoing restructuring in 2022 due to debt issues. Consequently, Chongqing Gas was transferred to the state-owned enterprise China Resources under Huar