AER Review of the minimum disconnection amount – Draft decision – May 2025

Following our Review of payment difficulty protections in the National Energy Customer Framework, we proposed to increase the minimum disconnection amount. On 15 May 2025, we published a draft decision that proposed a new amount of $500 (including GST). In proposing this amount, we considered:

• the long-standing principle that customers should not be disconnected for being one quarterly bill behind
• changes in the broader context of the energy market, including inflation, energy prices and estimated quarterly electricity costs
• implementation considerations, including the impact on retailer costs, customer awareness and engagement, and ongoing monitoring and compliance.

Consultation on the draft decision for the new amount closed on Wednesday, 18 June 2025. We aim to make a final decision on the new minimum disconnection amount in mid-2025.