We have changed the energy retail code to specify which obligations apply to certain types of electricity sellers who are exempt from holding a licence under the general exemption order. These exemptions include many caravan parks, retirement homes, apartments, shopping centres and similar sites that have an embedded electricity network.

The Victorian Government has changed the rules that apply to electricity sellers in embedded networks to ensure that their customers have similar protections to other Victorian energy consumers. As part of this change the government asked us to specify which obligations in our Energy Retail Code should apply to exempt sellers.

Our final decision

After consulting with stakeholders on our draft decision, we released a final decision that detailed the obligations that will apply to exempt sellers from 1 January 2019. Where possible we have tried to align these obligations with the rules in other states and territories.

These obligations relate directly to provisions in the Energy Retail Code. They relate broadly to the following areas:

• explicit informed consent
• billing, including contents and information on bills, basis for bills, frequency of bills, payment methods, undercharging and overcharging, additional retail charges and merchant fees
• payment difficulties assistance and payment plan options
• restrictions on debt recovery for residential customers experiencing payment difficulties
• a prohibition on security deposits for residential customers
• general information about interpreter services
• provision of information to customers
• reminder notice and disconnection warning notice requirements
• disconnection and reconnection requirements
• life support equipment requirements.

This guideline sets out what retailers and distributors need to report to us. To help ensure we receive the correct information, we ask regulated businesses to use reporting templates we have created.

This review focused on amending the guideline to ensure that it aligns with the payment difficulty framework.

We updated the performance indicators and compliance obligations set out in the reporting guideline and also made a number of administrative changes.

View the latest version of the Compliance and Performance Reporting Guideline. 

Energy retailers are required to pay an energy customer a prescribed amount of money if they disconnect the supply of energy to that customer in breach of their contract (as per the Gas Industry Act 2001 and the Electricity Industry Act 2000). 

If the Energy and Water Ombudsman (Victoria) and an energy retailer are unable to agree about whether the retailer should make a wrongful disconnection payment in a particular case, the ombudsman can refer the matter to us for decision. We consider the ombudsman's referral and supporting material, as well as any submissions made by the retailer and determine whether the retailer needs to make a wrongful disconnection payment.

We may also make decisions in respect of disconnection matters that are reported to us by energy retailers or other sources. In these instances, we consider submissions and supporting materials provided by the retailer and may seek additional information from other relevant sources such as impacted customers, consumer groups and other relevant third parties.

Our decisions on such cases are published under the 'Decisions' tab of this page. Each case is assessed on its own merits, and cases are not treated as precedent.

Delays sometimes occur in connecting new housing developments to electricity. Since 2018, we have been working with stakeholders from the development industry and electricity networks to reduce these delays. 

We have worked to help ensure electricity connections in new subdivisions happen in a timely and transparent way, so that

• people can move into their new homes quicker
• developers are clear about the electricity distribution businesses processes for managing new connections.

2018 electricity connections process review

In 2018, the Victorian Government asked us to provide advice on ways to ensure new property developments receive electricity connections within certain time frames.

This followed concerns raised by the housing industry that costs and delays associated with connecting new developments, as well as disparate processes by electricity distribution businesses, are a barrier for delivering more affordable housing.

We worked with stakeholders from the development industry and electricity networks to identify what might be causing these delays.

Stakeholders told us there were a range of issues affecting the time taken to connect new developments including:

• the rapid growth in demand for new lots placing strains on resources across the sector
• the poor quality of some connection works
• an inadequate customer focus by distribution businesses
• auditing practices by distribution businesses
• the development industry's lack of understanding of the regulatory framework and how they can influence the decisions made under it.

Making the system work better

While our 2018 review concluded that the regulatory framework is not the main cause of delays, we identified ways to make the system work better including:

• support for a new service improvement commitment to improve response times, clarify expectations around the connections process and communication between the electricity networks and the development industry
• the networks and development sector establishing a governance committee to monitor their performance 
• a new feedback register where stakeholders can raise concerns.

The commission's role is to chair the governance committee and provide the complaints register. 

Electricity connections governance committee

We have established a governance committee to:

• monitor delivery of the Service Improvement Commitment and other initiatives
• give feedback where necessary to achieve elements of the Service Improvement Commitment  and other initiatives
• identify issues and risks that may affect implementation of initiatives.

The committee includes representatives from:

• AusNet Services
• CitiPower/Powercor/United Energy
• Jemena
• Property Council of Australia
• Urban Development Institute of Australia (Victorian Branch)
• Victorian Planning Authority
• Essential Services Commission.

View committee documentation in the 'resources' tab.

These reports are no longer the most up-to-date resource for information relating to retail electricity and gas pricing information, indicators of customer service and performance, and summaries of retailer’s compliance with obligations.

View our Victorian Energy Market Report, which replaced our energy retail performance reports. Written for consumers, the market report details the current state of the Victorian electricity and gas markets.

Unaccounted for gas (UAFG) is the difference between the measured quantity of gas entering the gas distribution system from various supply points and the gas delivered to customers. This review calculated new benchmarks for the calendar years 2013 to 2017.

The benchmarks apply to Envestra (now Australian Gas Networks), MultiNet and AusNet Services. The benchmarks commenced when they were declared by the Minister for Energy in an Order published in the Government Gazette.

Overview

We use information provided by energy businesses to monitor and produce reports on their performance and compliance with regulatory obligations. This guideline sets out what retailers need to report to us.

To help ensure we receive the correct information, we ask regulated businesses to use reporting templates we have created.

As of 1 May 2023, electricity reporting obligations as well as performance and compliance reporting templates for distributors can now be found on the Electricity Distribution Code of Practice page.

This policy outlines our approach to compliance and enforcement in the energy, water, transport and local government sectors, and the Victorian Energy Upgrades program.

It explains our:

• role and objectives
• compliance and enforcement roles, powers and pathways
• reporting on compliance and enforcement.

The original policy took effect on 22 July 2016. It applies to our full suite of enforcement powers as updated by the following resources:

Commissioner Sitesh Bhojani talks about our new policy

We updated the energy rules to better protect residential customers that are anticipating or facing payment difficulty. 

Support for residential customers having trouble paying their energy bills

The framework has three key objectives

1. To help residential customers avoid getting into debt with their retailer.
2. To make it easier for residential customers to pay for their ongoing energy use, repay their debt when they have missed a bill and lower their energy costs.
3. To ensure residential customers are only disconnected for non-payment of a bill as a measure of last resort.

How we've supported the framework's objectives

The changes we made to the Energy Retail Code in relation to the payment difficulty framework took effect on 1 January 2019.

The payment difficulty framework is the culmination of three years work which began with an inquiry into why thousands of Victorians were being disconnected. In late 2017, we finalised the energy rules that support customers with payment difficulties and ensure that disconnection is only ever a measure of last resort.

The energy rules and the process undertaken to develop them can be found in our final decision.

This is accompanied by a guidance note that helps stakeholders understand our approach to compliance and enforcement of the new rules.

We also worked with retailers to update their hardship policies during 2018. All retailers must have  a hardship policy that contains specific information about how they support residential customers in payment difficulty. These documents are approved by us, must be published on the retailer's website and sent to you when requested at no charge.

The Victorian Energy Market Report aims to build consumer understanding of how the market operates.

The report tracks energy retailer activity and consumer trends between April and June 2024, including articles covering:

Energy in Victoria (EiV)

• Compliance and enforcement activity – a summary of our compliance and enforcement actions between April and June 2024
• Wrongful disconnections – information about the number of self-reported wrongful disconnections, as well as total compensation paid to affected customers
• Customers experiencing payment difficulty – provides analysis of data and trends relating to customers who are experiencing payment difficulty
• Disconnections for non-payment – provides an update of data relating to customers who are disconnected for non-payment
• Market entry and exit – an update on licences granted, the regulatory sandboxing framework and electricity licence exemptions activity

Victorian Energy Market Dashboard

With the Victorian Energy Market Report, we also publish the Victorian Energy Market Dashboard. The dashboard brings the data we previously published as Microsoft Excel tables into a more usable and interactive format.

The dashboard offers graphical representations that provide a quick overview of the essential trends in the energy market. It includes summaries of customer statistics, such as the number of customers and the types of contracts they are on. Additionally, it provides information on customers receiving assistance for bill payments, government concessions, and Utility Relief Grants. The dashboard also presents customer service performance metrics, including call waiting times, abandoned calls, and customer complaints. Furthermore, it covers disconnections for non-payment.

The Victorian Energy Market Dashboard enhances accessibility and facilitates a comprehensive understanding of key insights within the energy market.