Quotes attributable to Dr Brendan French, Energy Consumers Australia CEO:
"We welcome the AER’s draft decision on this year’s Default Market Offer. If adopted, default prices for households will drop 1 to 10% and small businesses on the DMO will save 7 to 21%. This will provide much-needed bill relief for consumers and small business at a time when concerns about energy costs are justifiably high.
"The price reduction reflects recent changes to the DMO framework that Energy Consumers Australia advocated for. The changes help ensure consumers can access a fair, trusted and reasonably priced electricity offer. ECA has consistently called for these reforms to the DMO, as it was not providing sufficient protection for consumers against high energy costs.
"We particularly welcome the AER’s draft decision to reduce retail margins for small business customers, limit customer acquisition and retention costs and to move to a lower wholesale cost allowance – all of which we advocated for in our submission to the AER. These are critical changes that will ensure consumers pay a fair price for energy.
"We acknowledge, however, the ongoing huge pressures people are facing with their electricity bills. Our research shows almost 1 in 5 Australians are currently experiencing, or are vulnerable to, energy hardship. Current challenges, including the ongoing Middle East crisis, are exacerbating cost of living pressures for consumers, especially for people in remote communities.
"We urge governments and market bodies to continue progressing the broader long-term reforms needed to ensure consumers pay a fair price for energy. On its own, the DMO can’t protect all consumers in a market that is growing ever more complex. It is increasingly important to provide supports for consumers experiencing hardship and vulnerability, while also enabling all consumers to electrify.
Energy Consumers Australia also responds to the release of the Solar Sharer Offer draft determination:
"We welcome the promise of the SSO to help households cut energy costs, use energy when renewable energy is abundant and assist those consumers facing barriers to accessing and directly benefitting from solar and batteries. Households who can shift consumption to the free period can benefit, but not everyone will be better off on the SSO. It is important that retailers clearly explain to consumers the best offer for their circumstances.
"Building and maintaining community confidence in the SSO and ensuring it ultimately delivers genuine benefits to all consumers is vital. Targeted support measures such as energy efficiency or appliance upgrades, as well as the increased acceleration of the smart meter rollout are needed to ensure renters, people in apartments and low-income households can benefit from the transition. ECA calls on all governments and the AER to ensure that the SSO’s promise is backed by other supporting reforms."
For interview requests, contact Stuart Turner on 0415 403 208
About Energy Consumers Australia
Energy Consumers Australia is the independent, national voice for household and small business energy consumers. We enable household and small business energy consumers to have their voices heard.
