Rule Change: Open
Overview
On 19 June 2025, the Australian Energy Market Commission (AEMC) made a more preferable draft retail rule (draft rule). This is in response to a rule change request from the Hon. Chris Bowen MP, Minister for Climate Change and Energy, as Chair of the Energy and Climate Change Ministerial Council (ECMC) to improve customers’ ability to switch to a better offer.
Our draft determination seeks to increase the number of customers who switch by:
- increasing visibility of the potential savings customers can access through switching to a new offer with their retailer, and thus
- engaging customers on more expensive plans to switch to cheaper deals and improving competition in the market.
This draft rule has been informed by market research and stakeholder engagement. This engagement has identified that the primary opportunity for improving switching by customers to better priced plans in the retail market is to increase visibility of the ‘better offer message’, which alerts consumers to opportunities to save.
The ’better offer message’ is an effective mechanism for highlighting to customers that they could be on a lower priced offer or can visit Energy Made Easy to compare offers from other retailers. However, many customers do not open and read their energy bills, meaning they miss the message. This draft rule would result in retailers presenting the ‘better offer message’ in communications, particularly cover emails and bill summaries. This would encourage customers who do not open their bill to engage in the retail market.
Background
The rule change request forms part of the broader ECMC consumer rule change package submitted on 12 and 29 August 2024. The package includes seven rule change requests that together seek to help households access cheaper energy deals, increase support for people experiencing hardship and deliver more protections for consumers.
Assisting hardship customers and Improving consumer confidence in energy retail plans rule changes published final determinations on 19 June 2025.
We received 17 submissions to the consultation paper on 6 February
On 15 May 2025, the Commission extended the period of time for making the draft determination to 19 June under section 266 of the NERL.