Audits

Under the National Energy Retail Law and the National Energy Retail Rules, the AER may carry out a compliance audit or require a retailer or distributor to carry out a compliance audit. Compliance audits must be carried out in accordance with the AER Compliance Procedures and Guidelines. The AER has also released a Practice Guide for Compliance Audits to supplement the information on compliance audits in the Guidelines.

Details of specific audits and results are below.

2017

Disconnections Audit

Five energy retailers participated in the audit with respect to provisions around disconnections and compliance with the AER Compliance Guideline.

In conducting the audit, the auditor was required to assess the businesses compliance with the Retail Rules relating to disconnections using a ‘traffic light’ approach.

Under this approach:

  • ‘green’ indicates a level of general compliance and that all or most requirements of the obligation have been met.
  • ‘yellow’ indicates partial compliance and that some requirements of the obligation have not been met.
  • ‘red’ indicates non-compliance and that the obligation has not been met or could not be demonstrated.

Summary templates for each retailer that participated in the disconnections audit

2018

Hardship audit

Four energy retailers participated in the audit with respect to protections for hardship customers. The hardship audits targeted businesses’ systems and process for managing relevant obligations and compliance with the AER Compliance Guideline.

In conducting the audits, auditors were required to assess the businesses’ compliance using a ‘traffic light’ approach.

Under this approach:

  • ‘green’ indicates a level of general compliance and that all or most requirements of the obligation have been met.
  • ‘yellow’ indicates partial compliance and that some requirements of the obligation have not been met.
  • ‘red’ indicates non-compliance and that the obligation has not been met or could not be demonstrated.

Summary templates for each retailer that participated in the hardship audit

Life support audit

Energex participated in an audit of its systems and processes for managing compliance with obligations to life support customers, including its obligations to provide notice of planned interruptions and to maintain a register of life support customers. The audit also considered compliance with the AER Compliance Guideline.

In conducting the audit, the auditor was required to assess the businesses’ compliance using a ‘traffic light’ approach.

Under this approach:

  • ‘green’ indicates a level of general compliance and that all or most requirements of the obligation have been met.
  • ‘yellow’ indicates partial compliance and that some requirements of the obligation have not been met.
  • ‘red’ indicates non-compliance and that the obligation has not been met or could not be demonstrated.

Summary template for life support audit