Electricity distribution businesses Endeavour Energy and Ergon Energy have each paid a penalty of $20 000 for alleged breaches of the life support obligations under the National Energy Retail Rules.
In each instance customers unexpectedly lost electricity supply during planned works.
The AER issued the infringement notices because it had reason to believe the life support customer at each premise was not given the required notice of at least four business days, in writing, of a planned interruption to their electricity supply.
“Protecting customers requiring life support equipment is an ongoing priority for the AER,” AER Chair Paula Conboy said.
“Life support customers are particularly vulnerable. Any unexpected loss of supply can have potentially dangerous and even fatal consequences,” she added.
“The requirement to provide advanced notice of an interruption to their electricity supply is a critical protection as it gives customers time to make alternative arrangements,” said Ms Conboy.
“Our compliance and enforcement work is critical to ensuring all consumers are protected,” Ms Conboy said.
“All life support customers should have plans in place for alternative electricity supply in the event of an unplanned interruption,” she added.
Paying the infringement notice penalties does not mean Endeavour and Ergon have admitted to the contraventions. The AER can issue an infringement notice where it has reason to believe a business has contravened a civil penalty provision of the Retail Rules.
Background
Under the Retail Law and Retail Rules (which apply in New South Wales, the Australian Capital Territory, Tasmania, Queensland, and South Australia) energy retailers and distributors have important obligations to customers who are registered as requiring life support.
These include the provision of emergency contact details; information on how to prepare for an unplanned interruption and a minimum of four business days’ written notice of a planned interruption.
Life support customers need to provide their energy retailer or distributor with confirmation from a registered medical practitioner that someone residing at the premises requires life support equipment to be protected.
About the AER
The Australian Energy Regulator regulates energy markets and networks under national legislation and rules in eastern and southern Australia, as well as networks in the Northern Territory. Its functions include:
- monitoring wholesale electricity and gas markets to ensure energy businesses comply with the legislation and rules, and taking enforcement action where necessary;
- setting the amount of revenue that network businesses can recover from customers for using networks (electricity poles and wires and gas pipelines) that transport energy;
- regulating retail energy markets in Queensland, New South Wales, South Australia, Tasmania (electricity only), and the ACT;
- operating the Energy Made Easy website, which provides a retail price comparator and other information for energy consumers;
- publishing information on energy markets, including the annual State of the energy market report, to assist participants and the wider community.