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Tariffs are what you pay for each unit of electricity used. The network tariff is incorporated into the amount your retail company charges you on your bill.
What is a network tariff?
You may notice in correspondence issued by your distribution company a reference to network tariffs.
- Your distribution company owns the infrastructure, such as electricity poles, wires and meters. You cannot choose your distribution company as it is based on your property’s location.
- Network tariffs are based on the configuration and set up of your meter and eventually all smart meters will be assigned a Time of Use (TOU) tariff.
- Network tariffs enable the distributors to pass on the wholesale cost of electricity to the retailers.
What is a retail tariff?
- Your retailer is the company that issues your bills.
- A retail tariff includes the wholesale distribution costs in addition to the retailer mark-up.
- If you enter into a 'market contract' with the retailer, you will be required to agree to the charges applied. For example, if you signed a contract, or entered into a verbal contract over the telephone, you will have entered into a market contract.
- Every retailer has a number of available market contracts that may be more suitable to your situation and usage patterns.
- If you don't select a market contract you will be placed on a 'standing contract' which consists of default rates.
- You can choose your retailer and can change to another company if you find a better retailer tariff.
Do your invoices show peak and off peak rates?
- If your network tariff is going to change, your distributor will inform you and your retailer of any changes.
- If your existing retail tariff is changed you will be advised by your retailer.
- Once you have a smart meter installed you may still be able to receive off-peak rates from your retailer.
- Contact your retail company to ask about the available retail tariffs or to discuss any other billing concerns.
What is a Time of Use (TOU) tariff?
- This is a tariff that is based on the time of day that usage occurs.
- Usually this would mean a lower rate during the night when there is less demand for electricity and higher rates during the day when there is more demand for electricity.
- Many people are already being billed using this TOU tariff.
- TOU is different from traditional off-peak in that all electricity usage is charged according to the time it is used, not just related to the usage of a dedicated appliance.
- Some people will be better off with TOU tariffs, and some will be worse off depending on their ability to shift usage to lower priced usage periods.
Charges
- It is likely that most people will be paying more for electricity.
- There will be the additional charge for the rollout of smart metering from January 2010.
- Rates and tariffs may change to TOU tariffs which may be better for some people and worse for others.
- Want further information on how to choose a retailer?
- The regulatory body, The Essential Services Commission, recommends that consumers visit Your Choice, or call 1300 134 575 for further information about billing options and how to choose a retailer.
Multiple and Estimated Billing
Have you received more than one bill for the same usage period?
- If your retailer is provided with an estimated or substituted meter read from the distribution company it will be stated on your bill.
- If the actual meter reads can be recovered the next time the meter is read, the actual usage information will be provided to your retail company.
- All retailers are obligated to issue bills with the most accurate information available. Your original estimated bill will be canceled and replaced with a bill based on actual usage.
Here is an example of an account reconciliation which includes a reissued bill. The estimated bill was canceled following the billing based on an actual meter read (highlighted).
| From |
To |
Days |
Usage
Kwh |
Daily Avg
Kwh |
Read |
Amount |
| 1-Jan-09 |
1-Apr-09 |
90 |
1234 |
14 |
Actual |
$ 150.00 |
| 2-Apr-09 |
1-Jul-09 |
90 |
1567 |
17 |
Estimated |
$ 200.00 |
| 2-Apr-09 |
1-Jul-09 |
90 |
1432 |
16 |
Actual |
$ 170.00 |
| 2-Jul-09 |
1-Oct-09 |
91 |
1345 |
15 |
Actual |
$ 160.00 |
| 2-Oct-09 |
1-Dec-09 |
60 |
1122 |
19 |
Estimated |
$ 250.00 |
I still have questions, who do I talk to?
- Any questions about the physical meter exchange, including safety issues or scheduling an appointment to have the meter changed, can be directed to your local distribution company.
- If you have any questions about your billing or the rates and tariffs that you will be charged, contact your retailer.
- If you need further assistance understanding your bills, or meter readings, your retailer will be able to provide further assistance.
- Review all retailer and distributor contact details.
- If you want more information about why you need to have a smart meter installed at your property, you can contact the Department of Primary Industries for further information.
- If you have contacted your retailer or distribution company and have not been able to resolve your concerns directly, you may contact EWOV for further assistance. EWOV's services are free and available to everyone.
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