Rebuilding trust in the Victorian energy market

Victorians are continuing to feel the effects of the coronavirus pandemic, with thousands of households and small businesses facing large amounts of energy debt.

For example, as our recent analysis of 12-months of coronavirus data showed, average energy debt increased between 19 and 35 per cent for households on payment plans between April 2020–21.

At the same time, disconnections are again on the rise after being on hold for much of 2020.

Consequently, protecting consumers, especially those experiencing vulnerability, was front of mind in setting our energy compliance and enforcement priorities for this year.

Our priorities for 2021–22 are therefore focused on upholding the requirements of the Energy Retail Code relating to consent and the payment difficulty framework, and protecting the rights of embedded network customers and those experiencing vulnerability.

The six priorities are:

• ensuring explicit informed consent is obtained before signing a customer to a new deal
• ensuring disconnections always follow the rules
• ensuring customers are offered help as required by the payment difficulty framework
• ensuring customers are billed appropriately for their energy use
• ensuring embedded network operators comply with the Energy Retail Code
• protection for people experiencing vulnerability.

You can read our compliance and enforcement priorities for 2021-22 on our website.

A level playing field

When talking about our annual priorities, it is important to keep in mind the purpose of our compliance and enforcement activities.

We are working to restore trust in the Victorian energy market by promoting and enforcing compliance in these key areas.

By holding those who do the wrong thing accountable, we are sending a message to consumers and the rest of the energy market they can trust in the even playing field. I believe this is critical for the energy market to work well.

If you’re having a problem with your energy provider you should contact them in the first instance to try to resolve the issue.

If you can’t, go to the Energy and Water Ombudsman Victoria (www.ewov.com.au or call 1800 500 509) who are there to resolve complaints with electricity, gas or water companies.

Energy providers following the energy rules will also feel frustration when they notice other providers apparently not following the energy rules and getting away with it. They clearly have an interest in a level playing field where all providers play by the rules. We encourage them to reach out and let us know when they have genuine concerns that another energy provider is not following the energy rules.

You can also report concerns about misbehaviour via the complaints form on our website at esc.vic.gov.au or call us on 1300 664 969.