The Australian Energy Markets Commission (AEMC) has introduced new measures aimed at improving support for households struggling to pay their electricity and gas bills. The reforms come after data from the Australian Energy Regulator (AER) revealed that approximately 150,000 customers with energy debt were not receiving any form of assistance, such as payment plans or hardship programs.
According to the AER, five percent of energy consumers had outstanding electricity or gas debts. While two-thirds of these customers were engaged in some form of support, about one-third lacked access to any payment difficulty protections. To address this gap, the AER requested changes to the existing regulatory framework, prompting the AEMC to act.
Under the new rules, energy retailers will be required to simplify eligibility criteria for customers experiencing payment difficulties. More importantly, retailers must proactively reach out to households at risk using at least two different forms of communication. This approach is designed to ensure that customers do not fall through the cracks due to ineffective contact efforts.
Although the rules do not mandate in-person visits, some energy companies may choose to send representatives to a consumer’s home if initial contact attempts fail. Such visits are currently permitted on a voluntary basis under the National Customer Code by some providers. AEMC Chair Anna Collyer described the initiative as a positive step towards stronger consumer protection.
Previously, households often needed to initiate contact to receive help from their energy supplier. Collyer emphasized the importance of retailers identifying early warning signs of payment stress and contacting customers proactively. “The earlier that they spot it and can help customers, the better the outcome for everybody,” she said.
The new measures reflect growing concerns about energy affordability and the risk of disconnection for vulnerable consumers, aiming to foster engagement between retailers and customers before financial difficulties escalate. Implementation details and timelines for the reforms have yet to be specified.
