The Essential Services Commission’s annual report for 2023–24 reflects a year of regulatory outcomes that have supported Victorians to access essential transport, local council, water and energy services, with a focus on protecting consumers experiencing vulnerability.
Essential Services Commission CEO Sarah Sheppard says the annual report highlights the commission’s continued focus on delivering improved consumer outcomes.
“Across the broad spectrum of our work, which includes compliance and enforcement, regulation and pricing in the energy, water, local government and transport sectors, the commission has remained steadfast in its commitment to promoting the long-term interests of Victorian consumers.”
The commission sought feedback from a diverse range of stakeholders in performing its work developing and implementing codes of practice, standards, and licencing decisions that regulated businesses in Victoria must follow.
This culminated in key regulatory outcomes including: a new enforceable Land Access Code of Practice; an amended Gas Distribution Code of Practice; updated Water Industry Standards; and the issuing of 18 licences for the generation, wholesale, transmission or retail sale of electricity.
Compliance and enforcement activities continued to be a focus, and the commission deployed the full spectrum of available tools to hold regulated entities that did the wrong thing to account.
The commission initiated four civil penalty proceedings against two electricity retailers in the Supreme Court of Victoria for alleged contraventions of Victoria’s energy rules, including not complying with best offer obligations and disconnecting customers who were receiving payment assistance.
In addition, energy businesses paid almost $2.75M in penalties for alleged breaches of Victorian energy rules and not meeting their liabilities under Victorian Energy Upgrades (VEU) program rules, and the commission accepted four court enforceable undertakings to improve the conduct of energy businesses.
In significant pricing decisions, the commission: set the Victorian Default Offer electricity price to apply from 1 July 2024; approved the 2023–24 tariffs for 16 Victorian water businesses; and completed a review of the pricing proposals for Goulburn-Murray Water and Greater Western Water, approving the maximum prices they may charge from 1 July 2024.
The commission implemented significant legislative reforms to VEU program to strengthen protections for Victorians using the program, including new accreditation processes, new fees and strengthened powers for the commission. The commission also released publications to help consumers understand their rights and the process to report breaches of new telemarketing and doorknocking bans.
In reflecting on the commission’s achievements in 2023–24, Ms Sheppard acknowledged the significant contributions of all those who engaged with the commission in the reporting period.
“I thank every stakeholder who participated in our consultation processes, roundtables and forums, all of which helped shape the regulatory decisions and outcomes we delivered over the year.
“We farewelled our former Chairperson Kate Symons and Commissioners Sitesh Bhojani and Simon Corden, all of whom were instrumental in strengthening the commission’s reputation as a consumer focused regulator that works productively with government, industry, community services and consumer groups.
“Under the leadership of our recently appointed Chairperson Gerard Brody, with Commissioners Rebecca Billings, Jess Young and Elly Patira, and ably supported by the commission’s dedicated and skilled workforce, I look forward to another year of collaborative and productive outcomes in the long-term interests of Victorian consumers,” Ms Sheppard said.
