http://vinnies.org.au/files/NAT/SocialJustice/August09CustomerProtectionsandSmartMeters-IssuesforVic

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Appendix 1: Summary of recommendations

which make them especially dependent on energy supply are included in the register. Such a register would be valuable to distribution businesses and retailers’ ability to deliver duty of care in relation to suitability of energy products (such as DLC and CPP) and prior to conducting remote disconnections for non-payment.

with ‘special needs’ (due to health and medical conditions).

Customers with specific reliance on electricity for health and medical purposes can be included in the register based on criteria such as medical certificates and/or access to particular concessions (i.e. the Medical Cooling Concession in Victoria).

34

N/A

Information provision Variance between network and retailer tariff shapes Because DPC and DLCC are new and complex retail products to customers, retailers offering these products should be required to provide the prospective customer with additional information in order to ensure that explicit informed consent is obtained.

Recommendation # 34 The SMI Part of the NERR should include an information provision stipulating that a retailer must disclose, at marketing stage, any variance between the network and the retailer’s tariff shape.

SMI Part of NERR

One particular issue that needs to be disclosed at marketing stage is offers with variance between network and retail tariff shape. Retailers can seek to maximise their profits by ensuring that a significant proportion of the household consumption does not attract off-peak rates. A competitive market with informed consumers should in theory make such gaming by retailers more difficult and an obligation to disclose of any variance between network and retail tariff shape, at marketing stage, will improve transparency and increase customer awareness. 35

NERR 404

Meter & infrastructure information As the distribution businesses own the meters and have been made the responsible party in Victoria for the rollout of SMI, the distributors should be required to inform customers about the meter type connected to a customer’s premises and its associated infrastructure and functionalities.

Recommendation # 35 That the NER Rules 404 and 410 are amended to include an obligation for distribution businesses to inform customers about the customer’s meter type, metering infrastructure and associated functionalities on request and at no cost to the customer.

NERR 404 & 410

36

NERR 206

Website reference to move-in customers The NERR states that the distributor must inform ‘move-in’ customers that they may have the ability to choose their retailer and that a list of retailers is available from the AER’s website.

Recommendation # 36 That the AER develops a comprehensive one-stop shop for consumer information on energy and that the NERR ensures that retailers and distributors inform customers about the website as appropriate.

NERR

The reference to an AER website could prove to be an important step to ensure that consumers are better informed about not just retail choice but also tariffs available and retailers’ standing and market offers. In consultation with stakeholders, the AER should develop a comprehensive one-stop shop for consumer information on energy

Customer Protections and Smart Meters – Issues for Victoria


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