Type
Sector
Electricity
Segment
Consumer matters
Retail
Issue date
AER reference
AC 56/22

The Australian Energy Regulator (AER) has released the results of its latest compliance audits under the National Energy Retail Law (Retail Law).

Alinta Energy, Simply Energy, ReAmped Energy and Powershop Australia each carried out an audit to assess the adequacy and effectiveness of their compliance policies, systems and procedures in relation to disconnection and hardship obligations under the Retail Law and National Energy Retail Rules (Retail Rules), as well as the obligation to submit compliance information and data to the AER under the AER Compliance Procedures and Guidelines.

The audits covered the period 1 March – 30 June 2021. The audits identified a number of areas in which businesses can strengthen and improve their processes to best support customers in financial difficulty. The AER is now working with each business to monitor the implementation of the recommendations.

Background

Retailers and distributors must establish and implement policies, systems and procedures to enable them to efficiently and effectively monitor their compliance with the requirements of the Retail Law and Retail Rules.

The Retail Law allows the AER to require a retailer or distributor to carry out a compliance audit in respect of its compliance with the Retail Law, Retail Rules and Regulations, or to engage an auditor to conduct an audit on behalf of the AER, and recover the cost of that audit from the relevant retailer or distributor.

Compliance audits are one of many compliance monitoring tools used by the AER to ensure energy consumers are receiving the protections they are entitled to under the Retail Law and Retail Rules. You can read more about our approach to compliance and enforcement in the AER Compliance and Enforcement Policy.