Australian energy retailers have 12 months to ensure customer plans are fair, with new Government-mandated rules set to kick in on July 1 next year.
Energy and Climate Change Minister Chris Bowen said the Australian Energy Market Commission (AEMC), on behalf of the nation’s energy Ministers, would implement new rules targeting electricity and gas retailers who lured customers with cheap deals, only to move them onto higher cost plans or impose hidden fees and charges.
Minister Bowen said retailers would no longer be allowed to increase prices more than once a year and customers would not be able to be charged more than the standing offer price, if their initial low-cost offer changed or expired.
He said the new rules would also ban excessive retailer charges, like late payment fees, and ensure all consumers would be entitled to a fee-free payment method, as well as ensuring vulnerable Australians were receiving the best offer from their retailer, placing a stronger onus on retailers to assist hardship customers.
“We’re strengthening protections for energy consumers. Today’s announcement ensures consumers get the discounts they’re entitled to, and boosts protections to ensure no one pays more than they should.”
Minister Bowen said the “improving consumer confidence in retail energy plans” rule change would come into effect on July 1, 2026, and the “assisting hardship customers” rule change from December 30, 2026.
