Type
Sector
Electricity
Segment
Consumer matters
Retail
Issue date
AER reference
AC 051/13

The AER today released the revised Exempt selling (retail) guideline and accompanying notice of final instrument.

Under the National Energy Retail Law (Retail Law), a person wishing to sell energy must either hold a retailer authorisation, or a valid exemption from that requirement. The Retail Law commenced in the Australian Capital Territory and Tasmania on 1 July 2012 (although Tasmania did not adopt the AER’s exempt selling framework) and in South Australia, on 1 February 2013.  The Retail Law commenced  in New South Wales on 1 July 2013. Victoria and Queensland have not yet announced commencement dates.

The revised exempt selling guideline outlines classes of exempt selling activities – known as deemed and registrable exemptions - which will be exempt from the requirement to hold a retailer authorisation. Energy selling activities that do not fall within those classes may be eligible for an individual exemption. The guideline outlines situations where an energy seller should seek an individual exemption from the AER, and explains how to apply to the AER for an individual exemption.

The AER has recieved many enquiries from potential exempt sellers and other interested parties since the publication in December 2011 of the original guideline. As a result, we now have a better understanding of the type and extent of non-authorised energy selling in the community. We have therefore revised and restructured the guideline to address the issues that we have identified with the exemptions framework, and the guideline itself. Specifically, we have made the guideline clearer and more user-friendly, as well as amending several registrable and deemed exemption classes. We have also made minor changes to some of the conditions attached to class exemptions.

The AER has undertaken formal stakeholder consultation on the revised guideline in the form of written submissions. We have taken into consideration comments received during the consultation process in developing the revised guideline and determinations.

Exemptions which have been registered under the original guideline are still effective and current holders do not need to take any action.