Articles

Jun92026 by Connor JamesNo Comments

Victoria consults on lower prices for embedded network customers

Client Updates

The Victorian Government has opened consultation on proposed pricing reforms for embedded networks, following its announcement that it intends to require lower energy prices for households and small businesses in those networks. The consultation is relevant to residential and small commercial embedded network customers, embedded network operators, exempt sellers and suppliers, licensed retailers operating in embedded networks, owners corporations, retirement villages, caravan parks, shopping centres and providers of bundled energy-related services such as bulk hot water, centralised heating and cooling. The reforms have not yet been introduced as a Bill. At this stage, the process is a policy consultation led through the Department of Energy, Environment and Climate Action (DEECA), with feedback intended to inform later policy and regulatory decisions. KEY DATE: Consultation closes at 11:59 pm on Thursday 2 July…

May162026 by Connor JamesNo Comments

Energy Retailer Assurance Audits in 2026: An Australian Guide

AU Energy Compliance

Assurance audits used to be a tick-the-box exercise. They are not anymore. With the Australian Energy Regulator (AER) refreshing its Compliance Procedures and Guidelines and releasing an updated Practice Guide for Compliance Audits last year energy retailers in Australia are operating in a sharper, more evidence-driven assurance environment than at any point in the National Energy Retail Law's history. This post explains, in plain English, what an assurance audit looks like under the current settings, where the AER is looking hardest in 2025/26, and how Australian energy retailers can prepare without burning out their compliance teams. What is an assurance audit, in the AER's words? An assurance audit is an independent review of an authorised retailer's compliance policies, procedures and systems and a sample of their operation in practice. The AER may either carry…

Mar12026 by Connor JamesNo Comments

Embracing the uncertainty of rapid advancement and adoption of general artificial intelligence for energy businesses

Client Updates

The way businesses and professionals interact with artificial intelligence has changed. Over the past two months, we have observed a shift across our client base and the broader regulatory and legal community that goes beyond curiosity or experimentation. Professionals who were previously sceptical are now actively engaging with AI tools. Those who were already experimenting are finding that the tools have become materially more capable than they were even six months ago. The cause is straightforward: AI models have increased in capacity and usefulness at a pace that has caught many off guard. The implications for energy retailers, compliance professionals, and every individual working in a regulated industry are worth examining carefully. AI capability is advancing rapidly and unevenly. The organisations and individuals who experiment safely and strategically now will…

Jan82026 by Connor JamesNo Comments

The AER’s Independence: Understanding What the Structural Separation Means for Energy Businesses

AU Energy Compliance

On 1 July 2026, just months from now, the Australian Energy Regulator (AER) will formally separate from the Australian Competition and Consumer Commission, ending a longstanding administrative relationship that has defined energy regulation in Australia since the AER's establishment. 🔑 KEY TAKEAWAY: The AER's structural independence strengthens its regulatory focus and creates opportunities for enhanced engagement with energy businesses. Whilst the separation is primarily administrative, it signals the AER's evolution into a fully independent, specialised energy regulator with dedicated resources, expertise, and strategic priorities focused solely on energy market regulation. While the AER's fundamental legal powers and regulatory mandate remain unchanged, the context within which the regulator exercises those powers is evolving in ways that warrant attention from regulated entities. The Historical Context of AER-ACCC Integration Understanding why separation is…

Jan72026 by Connor JamesNo Comments

How Regulatory Constraints Spark Innovation: Turning Compliance Challenges Into Competitive Advantages

Uncategorized

Conventional wisdom suggests that regulation stifles innovation. The narrative is familiar: compliance requirements drain resources, create bureaucratic friction, and constrain creative problem-solving. Yet the reality is far more nuanced. Throughout history, some of the most transformative innovations have emerged not despite regulatory constraints, but because of them. Understanding how constraints drive innovation can help compliance professionals and business leaders reframe regulatory obligations from burdensome requirements into catalysts for competitive advantage. The Paradox of Constraint-Driven Innovation Research into the relationship between regulation and innovation reveals a paradox. While overly restrictive or poorly designed regulations can indeed hamper progress, well-crafted regulatory constraints often stimulate innovation by: - Defining clear problems to solve: Regulations establish specific challenges that require creative solutions - Creating market differentiation: Organisations that solve compliance problems elegantly gain competitive…

Oct222025 by Connor JamesNo Comments

October 2025 Energy Regulation Update: Consumer Protections and Embedded Networks

Uncategorized

Changes in Victoria From the start of October 2025 regulators in Australia have rolled out new consumer protection measures and signalled further reforms for embedded network customers and exempt energy sellers. The Essential Services Commission’s (ESC) stage‑one decision on energy consumer reforms means that from February 2026 retailers will need to display the Energy & Water Ombudsman Victoria (EWOV) contact details on the front page of every bill and automatically switch customers experiencing payment difficulty onto their best available offer. Other stage‑one changes include improved access to concessions, easier switching to cheaper plans, stronger protections for customers on legacy contracts and a higher debt threshold of A$1 000 before disconnection. EWON complaint trends The Energy & Water Ombudsman NSW (EWON) used its 2024‑25 annual report to reveal that the organisation managed 27 588 complaints,…

Oct202025 by Connor JamesNo Comments

Navigating the AER Retailer Authorisation Process: How Compliance Quarter Can Help

AU Energy Compliance, Compliance

If you're planning to enter Australia's energy retail market, obtaining a retailer authorisation from the Australian Energy Regulator (AER) is not just a regulatory formality—it's a comprehensive assessment of your business's readiness to operate in one of the country's most heavily regulated sectors. Under the National Energy Retail Law, any business selling electricity or gas to customers must hold either a retailer authorisation or a retail exemption, and the authorisation process is designed to ensure only capable, well-resourced, and suitable businesses enter the market. The authorisation process can take a minimum of 12 weeks from the time all required information is submitted, though in practice it often takes considerably longer (6-12 months). This is because the AER's assessment is thorough and multifaceted, examining everything from your financial capacity and organisational…

Aug132025 by Connor JamesNo Comments

ACCC’s 2025 Report on the National Electricity Market

AU Energy Compliance

On 1 August 2025, the Australian Competition and Consumer Commission (ACCC) published its 13th annual report on prices, profits, and margins in the supply of electricity in the National Electricity Market. For the first time, the ACCC undertook analysis of customer outcomes and competition for so-called new energy services, which the ACCC identified as an area of rapid growth and an important part of the energy transition. To inform the publication of the report, the ACCC collected billing data from retailers covering 97% of residential customers and 90% of business customers in New South Wales, Victoria, South Australia, and South-East Queensland. Some of the main findings from the ACCC as published in their annual report are set out below: Firstly, the ACCC found that when measured on an annualised basis,…

Jun292025 by Connor JamesNo Comments

Outcome of Ergon Energy’s Challenge of the AER’s Overcharge Investigation Notice

AU Energy Compliance

In January 2025, our clients were advised of Ergon Energy's commencement of proceedings in the Federal Court seeking to set aside a notice it received from the Australian Energy Regulator (AER). This notice, issued on 7 November 2024 under section 206(1) of the National Energy Retail Law, called for the production of information and documents relevant to the AER’s regulatory functions. We have followed this matter with interest because it also relates to the application of Rule 31 of the National Energy Retail Rules (NERR) which regulates how retailers must deal with overcharging. At the heart of the dispute was the AER’s ongoing investigation into possible breaches by Ergon Energy of Rule 31 of the NERR and section 273 of the National Energy Retail Law. These alleged breaches relate to…

May12025 by Connor JamesNo Comments

Key Reporting Obligations for Australian Electricity Retailers under the ERA’s 2025 Performance Indicators Handbook

AU Energy Compliance

The Economic Regulation Authority (ERA) of Western Australia has recently published its updated "Performance Indicators and Definitions Handbook – For Electricity Retailers" (April 2025). This significant regulatory document establishes comprehensive reporting requirements for electricity retail licence holders operating within Western Australia. As legal practitioners specialising in energy regulation, we believe it is crucial for electricity retailers to understand these obligations thoroughly to ensure compliance with their licence conditions. The handbook, which has undergone several modifications since its previous iteration, outlines the performance data that must be reported annually to the ERA. This article examines the key aspects of these reporting requirements, potential compliance challenges, and important deadlines that electricity retailers must observe. Regulatory Context and Purpose The ERA administers the licensing scheme under Part 2 of the Electricity Industry Act…