The Justice and Equity Centre led a joint consumer and community response to the Australian Energy Market Commission’s Rule Change Proposal Consultation Paper on Improving the ability to switch to a better offer. The submission was co-signed by ten other community and consumer advocacy organisations.
The proposed rule change sought to require energy retailers to provide a streamlined process for customers to switch to their retailer’s deemed better offer as presented on the customers’ bill.
Our organisations broadly supported the intent behind this rule change proposal (as part of the broader package), in seeking to improve outcomes and processes for consumers making it easier (and more likely) for them to access the best offer from their retailer.
However, we highlighted our concerns that intention is unlikely to be substantively delivered because this rule change is narrowly focused on addressing a small aspect of a larger underlying issue (i.e. making the process of switching to an offer the retailer has identified as better, rather than examining how to ensure consumers are never left on poorer offers).
While our organisations support any measures to improve scope for better outcomes and support requiring retailers to create more streamlined processes for consumers to switch to their deemed better offer, there are more robust and durable reforms that would better achieve the desired outcomes in the long-term interest of consumers.
