The Independent Competition and Regulatory Commission (ICRC) has released Version 4.0 of the ACT Retail Electricity (Transparency and Comparability) Code Guideline, effective November 2024. The Code sets out requirements for National Energy Retail Law (NERL) retailers operating in the Territory.
The Code requires retailers to show how their electricity prices compare to a reference price for small customers. These comparisons must be expressed as percentage differences from the reference price in all marketing and customer communications. Retailers must also provide information to assist customers in selecting electricity contracts.
Version 4.0 removes the transitional better offer check arrangements and retains the requirement to maintain records for six years. The calculation methodology for comparison percentages now incorporates half-hourly usage profiles for time-of-use tariffs, replacing the previous system of designated usage amounts for peak, off-peak, and shoulder periods.
Under the Code, retailers cannot use headline percentage discounts in advertising and must include specific customer type and distribution region information. The Code also sets out requirements for displaying conditional discounts and bundled offers, with specific rules for green energy products.
The Code applies to all small customers of NERL retailers, including residential customers and business customers who consume electricity below the upper consumption threshold of 100 MWh per year. For embedded networks, the Code applies only if the network is operated by a NERL retailer rather than an exempt retailer.
Marketing materials must clearly state the percentage difference between the reference price and the offer price, excluding conditional discounts. Any conditional discounts must be stated separately as a percentage of the reference price. The lowest possible price for a representative customer must also be included.
Retailers must implement these requirements from November 2024. The Code operates alongside the Australian Consumer Law and retailers remain subject to those general requirements regarding advertising and consumer protection.
The Code does not apply to general brand advertising where no specific prices or offers are mentioned. It also excludes certain communications such as bills (unless advertising other tariffs), late payment notices, and messages about account maintenance where no offers are made.
This article is not a substitute for obtaining independent compliance and legal review. We recommend that you reach out to us to discuss the Codes’ requirements and to ensure that your existing marketing and advertising in the ACT is compliant.
