In 2006, the Victorian Government decided to roll out advanced metering infrastructure (AMI), or 'smart meters', to all Victorian residential and small business electricity customers. The regulatory arrangements relating to the roll out are set out in a November 2008 Order in Council (OIC) made under the Electricity Industry Act 2000 (Vic). The OIC prescribes the time frame for the roll out, as well as the new regulatory framework and the AER's responsibilities associated with the AMI roll out.
The AER will be responsible for decisions made under the OIC from 1 January 2009 to 31 December 2015 following the transfer of functions from the Essential Services Commission of Victoria (ESCV). This includes the Budget and Charges Determinations for the 2009-11 budget period and the 2012-15 budget period. After 31 December 2015 AMI will be regulated by the AER under the National Electricity Rules (NER).