The Australian Energy The Australian Energy RegulatorRegulator
Service provider consumer engagement guideline
30 April 2013
Progress to dateProgress to dateConsumer forums held in MarchInput included:
◦greater levels of consumer engagement◦best practice principles ◦commitment to continuous improvement◦integration of consumer engagement
throughout the organisation
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Guideline objectiveGuideline objectiveAligning network services with long term
interests of consumers
◦Consumer engagement ‘...is an important tool in increasing the accountability of network businesses to the community they serve...’
◦The AER wants to be ‘confident that a business’s proposal will deliver the services consumers want’. Consumers need a real opportunity to affect that proposal.
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Quotes from AER Chairman, Andrew Reeves speech to CEDA, 23 April 2013
Guideline overview*Guideline overview*Four ‘components’
1. Best practice principles2. Targeting engagement3. Delivery4. Results
* Please note that this is preliminary work and the guideline is still under development. The guideline and
explanatory statement will require AER Board approval. Therefore, all preliminary work and drafts may be subject to change.
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Best practice principlesBest practice principlesDraft version of principles attachedSupporting elements reflect at a practical
level the objective of each principle
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Targeting engagementTargeting engagementExamples include:
◦Price v. reliability tradeoffs◦Tariff setting and tariff design (incl. Time of use
and critical peak tariffs)◦Setting reliability targets/standards◦Demand hot spots◦Alternatives to capital investment
• Prioritising consumer and business issues within operating environment
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DeliveryDeliveryHow consumers will be engaged
◦Action plan or engagement strategy
◦Communication with consumers
◦Align plans with best practice principles and
target areas
◦Monitoring and reporting arrangements
◦Evaluation and review
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ResultsResultsHow the business will use information from
consumersEvidence of consumer engagement in:
◦ Regulatory proposal/access arrangement
◦ Business as usual processes/operating environment
◦ Application to....?
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Next StepsNext StepsConsumer Reference Group – MayPublish draft guideline and explanatory
statement – June/July
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Questions?Questions?
Feedback and comments are invited. Please email:
[email protected] Or phone Moston Neck on 07 3835 4669
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