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Energy distributor audits 2019

In 2019, we audited two energy distribution businesses for the second time: AusNet Services and Jemena Electricity Networks.

Overview

As part of our role to monitor compliance of licensed energy businesses, this year we audited two energy distribution businesses for the second time: AusNet Services and Jemena Electricity Networks. The audits followed up on partially compliant and non-compliant areas identified in 2017 audits.

What we audited

We re-examined AusNet Services’ and Jemena Electricity Networks’ systems and processes to comply with rules relating to:

  • life support customers
  • complaint handling
  • compliance systems
  • guaranteed service levels.

These rules are designed to protect consumers.

Key audit findings

The audits found both distributors improved their compliance by addressing areas of non-compliance that we identified in 2017.
We also identified ways these businesses could improve their internal processes to reduce the risk of not complying with key obligations.

Both businesses could do more to check their staff understand customer rights

Our audit found that both businesses should check customer service staff, including those in outsourced call centres, understand the businesses’ obligations to customers. The businesses could check staff are competent in this area once staff complete their compliance training on customer rights.

Both businesses could improve compliance reporting and monitoring processes

We also found that both businesses could improve the systems and processes they use to monitor and report on compliance results. Improving these systems enables the business to help correct potential breaches more effectively.

We will continue to monitor compliance

We will continue to monitor AusNet Services and Jemena Electricity Networks’ compliance with their obligations under our regulatory framework.

Relevant codes

Electricity and gas distribution licences require compliance by licensed distributors with the Electricity Distribution Code and the Gas Distribution System Code.

Purpose of audits

Audits provide a reasonable level of confidence that energy businesses have systems and processes in place to reduce their risk of breaching the rules. Audits are not designed to detect and investigate breaches of the rules.

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