Energy resellers - requirements and obligations

In this fact sheet:

  • Exemptions and how they apply
  • Deemed exemptions
  • Registrable exemptions
  • Individual exemptions
  • Requirements and obligations on exemption holders
  • What happens if I do not meet my obligations?
  • Can I lose my exemption?
  • For further information

Are you the owner or manager of a caravan park, retirement villageor apartment block and do yousell energy to your residents?

Under the National Energy Retail Law, if you sellenergy to your residents or tenants as a separatecharge you must have a retail exemption. TheAustralian Energy Regulator (AER) is responsible foradministering the retail exemption framework. Energyonsellers granted exemptions are calledexempt sellersand have a range of obligations and responsibilities totheir customers.

This pamphlet outlines the types of exemptionsavailable and your obligations and responsibilities asan exempt seller.

Exemptions and how they apply

There are three types of exemptions: deemed,registrable and individual. These exemptions onlyapply to the person engaged in onselling activities.

Deemed exemptions—if you are eligible you do notneed to apply to the AER as you are ‘deemed’ to fallinto this type of exemption. Eligibility will depend onthe type of exempt selling activity you undertake.

Activities that might qualify for a deemed exemptionare metered energy onselling in short term holidayaccommodation such as a caravan park.

Registrable exemptions—if you are eligible you donot need to apply to the AER; however, you mustprovide the AER with information about your activitiesso they can be included on the AER’s Public Register of Authorised Retailers and Exempt Sellers. Once youhave provided the information, your exemption willcome into effect.

Activities that might qualify for this exemption aremetered energy onselling to permanent residents of

caravan parks, residential parks and manufacturedhome estates residents.

The form for registering your activities can be found at

There are conditions attached to registrableexemptions and some deemed exemptions.

If you are unsure whether you are eligible for adeemed or registrable exemption check the AER’sExempt Selling Guideline as it provides details of alldeemed and registrable exemption categories andassociated obligations. The Guideline can be found at

Individual exemptions—if you do not meet thecriteria for a deemed or registrable exemption youcan apply to the AER for an individual exemption.

The AER takes a range of factors into account whendeciding whether to grant this type of exemptionand may impose conditions on the exemption. Youshould contact the AER to discuss your specificcircumstances if you are thinking of applying for anindividual exemption.

The AER does not provide advice on whether youronselling activities meet the criteria for a deemed orregistrable exemption. You should seek independentlegal advice before relying upon a deemed exemptionor seeking registration under a registrable exemption.

Requirements and obligations onexemption holders

Your obligations will depend on the type of exemptionthat you have. Generally, as an energy onselleryoumust inform your:

• customers of their rights and protections

• retailer and distributor if you have any life supportcustomers.

As an onseller you must charge:

• no more than the local retailer would under theirstanding offer (retail prices are no longer regulatedin Victoria, however there may be other jurisdictionallimitations on the price you can charge)

• fees that reflect your reasonable costs.

As an onseller you must provide your customers with:

• clear and transparent contracts with all terms andconditions, tariffs, fees and charges included

• an actual meter read and not an estimateunless there is a good reason to do so (such as

meter failure)

• a bill at least once every three months that showscosts and energy used and at least 13 days

for payment

• receipts upon payment of their energy bills.

As an onseller you must notify your customers:

• of any price changes

• of the process to resolve disputes, and advisecustomers of any dispute resolution bodies or

schemes in your state or territory that could help.

As an onseller you must:

• offer energy supply to any customer who falls intothe exemption class you are operating under

• provide flexible options if a customer tells you theyare experiencing trouble paying their bill and advisethem of any relevant government concessionsand rebates

• provide contact details for account andother enquiries

• maintain a record of all your customers.

As an onseller you cannot disconnect a customer:

• experiencing financial difficulties and is who isadhering to their payment plan

• without first giving them a reminder notice and adisconnection warning letter

• at certain times of the day or certain days of theyear (for example, weekends, public holidays and

extreme heat days)

• on life support.

As an onseller you cannot prevent your customersfrom buying energy from an authorised retailer, if that isan option available.

What happens if I do not meet myobligations?

You must comply with all the conditions of theexemption class or individual exemption youoperate under. If you breach any of these conditionsthen you may be liable for civil penalties under theRetail Law.

Can I lose my exemption?

Yes, the AER can remove an exempt seller’sdeemed, registered or individual exemption. Thismay occur if there has been a material failure by theexempt seller to meet their exemption conditionsand this has had a significant or widespread impacton their customers. The AER will advise you if itplans to remove your exemption.

For further information

This publication can be downloaded from the Australian Energy Regulator (AER) website:

Australian Energy Regulator Infoline

1300 585 165

Energy Made Easy

Visit Energy Made Easy to understand and make more informed choices about energy

Other contacts

Indigenous Infoline: 1300 303 143

For information in languages other than English call 13 1450 and ask for 1300 585 165

TTY users phone 13 3677 and ask for 1300 585 165 Internet relay users connect to the NRS

(see and ask for 1300 585 165

Australian Competition and Consumer Commission

23 Marcus Clarke Street, Canberra, Australian Capital Territory 2601

©Commonwealth of Australia 2012

Important notice

The information in this publication is for general guidance only. It does not constitute legal advice or other professional advice, and should not be relied on as a statement of the law in any jurisdiction. Because it is intended only as a general guide, it may contain generalisations. You should obtain professional advice if you have any specific concern.

The ACCC has made every reasonable effort to provide current and accurate information, but it does not make any guarantees regarding the accuracy, currency or completeness of that information.

ISBN 978 1 921973 12 3ACCC 07/12_47972_574