Overview

The Victorian Government has asked the Essential Services Commission (via an order in council) to set a maximum price for exempt sellers. This will help Victorians in embedded networks get a fairer electricity price.

What is an embedded network and an exempt seller?

Some electricity sellers are exempt from requiring a retail licence. Generally exempt sellers buy electricity at a ‘gate’ meter, on selling it to individual customers. Exempt seller also refers to people who supply electricity in an embedded network.

Exempt sellers who sell electricity to residential and small business customers through an embedded network may include caravan parks, retirement villages, shopping centres, apartment buildings, rooming houses.

This is an image showing the links between the electricity grid and embedded networks such as retirement villages, apartment buildings, caravan parks and shopping centres. It shows how the grid feeds 'gate' meters than go on to feed individual customers within an embedded network.

How does this affect you?

The commission wants embedded network customers to have protections available to other customers. The Victorian Government recently froze the maximum price exempt sellers can charge embedded network customers at standing offer prices that applied in early 2019. These prices are usually higher than what other types of customers are paying. These standing offer prices apply until the commission sets prices that meet the requirements of the exemption order.

What are we proposing to do?

The framework proposed in the consultation paper builds on the consultation done by the commission for the setting of the Victorian Default Offer in 2019.

This paper proposes a framework for setting prices for embedded networks including:

  • The tariff structure of maximum prices, and
  • How to implement maximum prices for exempt sellers.

Have your say

The commission is currently seeking feedback on its consultation paper. You can provide your comments by:

  • providing general comments via the web form on this page, or
  • uploading a formal submission document on this page.

Submissions are open until 10 March 2020.

General comments

General comments

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Collection Notice

As part of making a submission, we need you to provide personal information, such as your name, email address, and postcode. We will use this information to send you updates about this review.

It is our policy to publish all submissions to reviews on the Essential Services Commission website. You can request anonymity by selecting the relevant tickbox.

When we publish a submission, we also include some details about the submitter (your name, not your address). We treat all submissions as public information unless the submitter has asked us to.

We may also collect personal information when you email us with a query. Aside from any exceptions in relevant privacy legislation, we will not use or disclose the information you provide for any purpose other than to progress and respond to your query.

You have the right to access personal information we hold about you. We may ask you to pay a small fee for this. You can also request that we correct your personal information in our records at no charge.

Read more information about our submissions policy.

Upload submission

Upload a formal submission

You have 255 characters left.

You will receive confirmation of your submission.

Refer to the Collection Notice on this page.

Collection Notice

As part of making a submission, we need you to provide personal information, such as your name, email address, and postcode. We will use this information to send you updates about this review.

It is our policy to publish all submissions to reviews on the Essential Services Commission website. You can request anonymity by selecting the relevant tickbox.

When we publish a submission, we also include some details about the submitter (your name, not your address). We treat all submissions as public information unless the submitter has asked us to.

We may also collect personal information when you email us with a query. Aside from any exceptions in relevant privacy legislation, we will not use or disclose the information you provide for any purpose other than to progress and respond to your query.

You have the right to access personal information we hold about you. We may ask you to pay a small fee for this. You can also request that we correct your personal information in our records at no charge.

Read more information about our submissions policy.

About us

The Essential Services Commission is an independent regulator that promotes the long-term interests of Victorian consumers with respect to the price, quality and reliability of essential services. The commission regulates certain Victorian energy businesses (including electricity generators, transmission companies, distributors and retailers) through a combination of legislation, licences, and codes and guidelines. View more on how we regulate.