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Double-billing of network charges
SI/2007/33
An existing retirement village established an embedded network for electricity. 23 of the residents decided to stay with their previous electricity retailer, rather than sign up to the embedded network operator. These customers were on gazetted retail tariffs that included usage and network components. However, the residents were also being billed the same network charges by the embedded network operator.
The double billing arose from several factors, including the absence of regulation or standard industry practice for such sites, and the way the network had been established.
We received multiple complaints and advised the Essential Services Commission (ESC) of the issue.The affected retailer worked with the embedded network operator. The billing process between them was restructured. This meant that the embedded network operator would no longer bill those residents that had decided to stay with their previous retailer.
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