About the Industry
Choosing an energy retailer
It’s important you feel that you have the best possible offer from your energy retailer. A good checklist should be:
- Will I pay more if I want 100% renewable or green energy?
- Is my green energy derived from 100% renewable sources?
- Is my current retailer 100% Australian owned and operated?
- What rates am I being charged?
- Am I locked into a fixed term contract?
- Are there any exit fees?
- What special offers are available, along with discounts and concessions?
- How often will I be billed?
- Does the discount apply to the entire bill or only some charges?
- Are there any conditions attached to the discounts I receive?
- What payment options are available?
For more information visit the Essential Services Commission’s website at http://www.esc.vic.gov.au/public/
Brief history of the retail energy markets
Competition commenced in the retail electricity market in Victoria in 2002 and in South Australia in 2003, enabling customers to choose an electricity retailer. Prior to this, you could only buy electricity from one company which meant there was no retail competition and no choice between prices and services.
Gas competition was introduced on 1st October 2002 and now some retailers (like Red Energy) can provide you with both fuels.
Difference in Retailer/Network
Before deregulation, you could only buy electricity from one company. This company also managed the poles in your street and the infrastructure in your suburb.
The industry is now split up into network providers and retailers:
- The network provider maintains the poles and infrastructure in your area.
- The retailer provides you with electricity. Red Energy is a retailer. So if you have a power fault, your network provider is the person to contact.
