Embedded network tariffs including caravan parks

Victorian Default Offer

On 30 May 2019, the Victorian Government released its final decision regarding the Victorian Default Offer (VDO). 

The Victorian Government has decided that the VDO will not apply to exempt persons selling electricity in embedded networks as the new maximum rule at this time. This means that the maximum prices that embedded networks can charge in each distribution zone will not change from the levels published in standing offers on or immediately prior to 27 May 2019. 

The Victorian Government has more information about the VDO and who it applies to on its website.

The government has asked the Essential Services Commission to develop a new maximum pricing rule for exempt persons selling electricity to customers in embedded networks by 1 July 2020.

Maximum embedded network pricing

Under the General Exemption Order (a document that outlines embedded network rules), there are rules about the maximum pricing that an embedded network can charge a customer. The rule is that an embedded network can charge no more than the published standing offer of the local area retailer on or immediately before 27 May 2019. There are three local area retailers in Victoria: AGL, Origin Energy and EnergyAustralia.

To work out who is your local area retailer, you need to know who your distributor is. To do this, look up your address using the Victorian Government's website and then use the table below to confirm who your local area retailer is:

The most common tariff charged to customers in embedded networks are 'single rate' tariffs. These are also known as 'peak only' tariffs. Some customers may be charged on a 'two rate' tariff. This is also known as a 'peak and 5 day time-of-use off-peak' tariff. 

The Essential Services Commission does not currently regulate or set electricity prices for embedded networks.

Where to find the maximum prices

The standing offers for AGL, EnergyAustralia and Origin Energy in each distribution zone are located in the 'resources' tab on this web page. These standing offers were published by retailers in January 2019. We downloaded the offers from retailers' websites on 30 May 2019. The standing offers remain in effect until the Essential Services Commission sets a new maximum price embedded electricity networks can charge customers. 

Caravan parks

Long-term or permanent residents (and those with permanent sites) should discuss with their caravan park or site management whether charging to the maximum level is appropriate for their circumstances. There is no requirement to charge at the maximum level in all circumstances. Caravan park residents covered by the Residential Tenancies Act 1997 have protections relating to pricing, including eligibility for concessions.