We are undertaking work to reduce the allowable back-billing period for retail energy customers from nine months to four months.
Changes to the back-billing rules 2020
Draft decision28 February 2020
Submissions close27 March 2020
Final decisionJune 2020
Rule changes take effect1 January 2021
We are undertaking work to reduce the allowable back-billing period for retail energy customers.
An electricity or gas customer may be back-billed if they have been undercharged on previous bills.
Currently, customers can be back-billed up to nine months by their retailer if they have been undercharged, unless the customer was at fault.
There are no current explicit restrictions on the length of time that distributors can back-bill retailers for undercharged, or not charged, network charges.
Proposed changes to the back-billing rules
In December 2019, we received terms of reference to implement the government's commitment to reduce the allowable back-billing period for retail energy customers to four months.
To ensure customers are not back-billed for more than four months when they are not at fault, we are proposing to make equivalent obligations for energy distributors and retailers.
Key facts from our draft decision
New back-billing rule for retailers
Retailers would only be able to recover any amount undercharged in the four months before they notify the customer, unless the undercharging was a result of the customer’s fault or unlawful act or omission.
New back-billing rule for distributors
An electricity or gas distributor would not be able to recover charges from a retailer if the retailer is unable to recover those charges from a customer.
View our draft decision
Our draft decision sets out our proposed amendments to the energy codes to implement the government's commitment.
Feedback on our proposed approach closed on 27 March 2020.