• Home
• Customer stories
• Embedded Networks

Embedded Networks

Billing: Embedded network customer disputes high bill for bundled hot water and cook top gas charges

A customer moved into an apartment building with an embedded network. The customer opened an account with the retailer in July 2018 after receiving an invoice addressed to the ‘Unit Occupier’. The bill was for the energy used to heat the hot water and supply charges for unmetered cook top gas. The customer then received a re-issued bill covering the period from the date of connection (March 2018). The customer complained to EWON, via an interpreter, that she felt the re-issued bills were too high. The customer was also concerned that the payment she made of $368.10 was not noted on the bill.

The customer contacted the retailer which advised her that the billing was based on digital meter data and was correct. The customer was confused about what charges (electricity, hot water, or cook top gas) were contributing to the higher than expected bill. The customer agreed to have her complaint referred to the embedded network retailer at a higher level, knowing she could return to EWON if an agreed outcome could not be negotiated (#324804). The retailer notified EWON that it responded to the customer’s complaint by email on 9 October 2018.

The customer contacted EWON again on 19 October 2018 to advise that she had not received a response from the retailer. The retailer advised EWON that the customer’s payment of $368.10 was received on the same day the bill was issued. The retailer also advised EWON that it had engaged the meter data provider to investigate the meter readings following the customer’s complaint.

The meter data provider provided a photograph of the customer’s meter which confirmed the correct billing of the account. The retailer noted that more information could have been provided to the customer at the first point of contact about how its hot water billing worked. The customer contacted EWON again on 29 January 2019 to advise that the retailer had contacted it and resolved the complaint.

Category: Level 2 Investigation
Issue: Billing
Outcomes: Facilitated resolution

Added May 2019

Billing: Exempt retailer refuses to refund security deposit as required by the AER Exempt Selling Guidelines

When an embedded network customer moved into her apartment, she was charged a security deposit by the exempt seller. The customer was told that the security deposit was payable because she was a tenant rather than an owner occupier. The customer noted that she had paid her monthly energy bills on time for 12 months and recently asked the exempt seller to refund the security deposit. She complained to EWON that the exempt seller refused to refund the security deposit until the customer’s tenancy had ended.

As the embedded network was not a member of EWON, we provided the following information to help the customer resolve the dispute directly with the exempt retailer:

• Under Condition 7 of the AER (Retail) Exempt Selling Guidelines – security deposits charged by exempt retailers must be applied in accordance with the National Energy Retail Rules governing the application of security deposits under a standard retail contract.
• Rule 45 of the National Energy Retail Rules allow the customer to request a refund of the security deposit when they have completed one year’s payments by the pay-by dates on the retailer’s bills.

The customer contacted EWON again later to advise that she had received a refund of the security deposit and thanked EWON for the information we provided. The customer noted that most of the residents in the complex were renting through the government’s National Rental Affordability Scheme and this information would also help other tenants access their security deposits.

As the operator was not an EWON member, its details were passed onto EWON’s membership team for processing.

Category: Complaint enquiry
Issue: Billing
Outcomes: No further investigation

Added May 2019

Billing: Billed twice for service availability charges

The customer lived in a residential park established as an embedded network. On 19 January 2019, the residential park operator sent all permanent residents a letter advising that the calculation of their electricity charges would change. The customer explained to EWON that the new rate for each kWh charged to residents would now be based on the charges the operator received for the total kWh used by the whole residential park for each billing period. She also noted that the park operator would continue to charge residents for service availability (SAC) separately.

The customer complained to EWON that the new method for calculating their charges included charges that the park operator has paid for access to the network. Therefore, she considered they are being charged twice for supply charges. EWON provided advice to the customer on the current rules for charging residential customers. We invited the customer to send in a copy of her most recent bill so her charges could be reviewed. The case was closed pending the customer’s return to EWON.

Category: Complaint enquiry
Issue: Billing
Outcomes: No further investigation

Added May 2019

Customer service: Park resident living in an embedded network has no access to solar feed-in tariffs

A customer moved into a residential park and enquired about installing solar panels on his new home. He was told that he could find his own energy provider and obtained permission from the residential park operator to install the solar panels. The customer then contracted an installer to carry out the work. The customer only found out that the residential park was an embedded network after the installation of the solar panels was complete. The customer complained to EWON that he was now waiting for a new meter to be installed by an electrician at his own cost, and that even after the meter is installed, the park operator said it is uncertain that he will get any credits for the solar energy that is exported to the embedded network.

EWON provided the customer with information about his rights as a customer of an embedded network and the park operator’s obligations under the AER’s network and retail exemption framework. The customer was satisfied with this and agreed to continue negotiating with the park operator. As the operator was not an EWON member, its details were passed onto EWON’s membership team for processing.

Category: Complaint enquiry
Issue: Customer service
Outcomes:No further investigation

Added May 2019