Legislative Council - Fifty-Fifth Parliament, First Session (55-1)
2023-11-28 Daily Xml

Contents

Answers to Questions

Energy Retailers Pricing Structure

304 The Hon. R.A. SIMMS ().27 September 2023). Can the Minister for Energy and Mining advise:

1. Are energy retailers in South Australia able to recoup the following from customers through their pricing structure?

(a) Lobbying

(b) Public relations spending

(c) Trade association fees

(d) Political advocacy

2. Are energy retailers in South Australia able to include any of the above costs in their retail allowance?

The Hon. C.M. SCRIVEN (Minister for Primary Industries and Regional Development, Minister for Forest Industries): The Minister for Energy and Mining advises:

Unfortunately, the energy system in South Australia was privatised by the Liberal government of the time. Consequently, the government of South Australia has no oversight of the business decisions made by privately owned energy retailers.

These retailers are subject to the same set of laws and regulations as any other privately owned business selling goods and services to consumers, including but not limited to the Commonwealth's Corporations Act 2001 and the Competition and Consumer Act 2010.

In addition, in the energy market, retailers are obliged to operate under the National Energy Retail Rules. The Australian Energy Regulator is responsible for monitoring and enforcing these rules. Provided they do not breach any applicable laws and regulations, how costs of doing business are recovered are matters for the retailers.