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Submission to the AER Consultation on the Default Market Offer

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Energy Consumers Australia

The development and implementation of the 2020-21 Default Market Offer (DMO) is an important opportunity to lock-in the downward trend in energy prices. We are seeing a small but material uptick in consumer satisfaction with energy services and getting the settings right for the second year of the DMO is critical for further progress.

We are pleased to see the Draft Determination will deliver lower prices for South Australia and South East Queensland customers, but are concerned about the potential increase for those in New South Wales. Recent analysis by the Australian Energy Market Commission (AEMC), and endorsed by the Energy Security Board, shows expected market offers in each of these jurisdictions decreasing from 2019/20 to 2020/21.

The 2020-21 DMO is a key opportunity to continue the good consumer outcomes that are beginning to emerge in the energy market. We expect the energy businesses to continue to work together, to strive to meet consumer expectations on affordability and to rebuild trust in the sector.

The full submission can be read here.

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