INDEPENDENT PRICING AND REGULATORY TRIBUNAL OF NEW SOUTH WALES

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1 INDEPENDENT PRICING AND REGULATORY TRIBUNAL OF NEW SOUTH WALES QUALITY OF SERVICE INDICATORS FOR NEW SOUTH WALES ELECTRICITY RETAIL SUPPLIERS to INTRODUCTION New South Wales is a member of the Steering Committee on National Regulatory Reporting Requirements (SCONRRR) which is a part of the Utility Regulators Forum. The Utility Regulators Forum is involved in regulatory alignment. SCONRRR has developed consistent quality of service reporting requirements for electricity licensees that are being adopted by South Australia, Victoria, Tasmania, Queensland, Western Australia, the ACT and New South Wales. The collective jurisdictions agreed to begin implementing the SCONRRR reporting requirements during however it will be a number of years before the individual jurisdictions are consistent. The reporting requirements have been outlined in a template (refer attachment one). As part of the implementation process each jurisdiction is expected to publish the quality of service data for its electricity retail suppliers. 2 STRUCTURE The quality of service data for NSW electricity retail suppliers will be presented in the format required by the SCONRRR retail quality of service reporting template. 2 The retail quality of service reporting template outlines the minimum reporting requirements for electricity retail suppliers. Individual jurisdictions may stipulate that additional data be provided. This document compares the SCONRRR reporting requirements with the current NSW reporting requirements to allow accurate evaluation of the NSW data with the data of other jurisdictions. 1 NSW is not able to publish annual compliance data until it has been tabled in parliament by the Minister for Energy, Utilities and Sustainability. The Electricity Distribution and Retail Licensees Compliance Report for has not yet been tabled. 2 The NSW reporting requirements are not yet consistent with the SCONRRR regime. This will be indicated where appropriate.

2 The template is divided into three sections: Affordability and access Customer service Supporting information 2.1 Affordability and access The affordability and access measures are: Payment plans Direct debit defaults Disconnections Reconnections in the same name Refundable advances (security deposits) Payment plans The SCONRRR definition of a payment plan is an arrangement between a retailer and a customer for the customer to pay arrears and continued usage on their account according to an agreed payments schedule and capacity to pay. The measure is provided as the number and percentage of residential and non residential small retail customers using instalment plans. NSW does not currently have a definition of payment plans. The measure is provided as the percentage of residential small retail customers paying off billing arrears under an instalment payment plan. NSW does not collect non residential small retail customer data and does not report customer numbers. Payment plans - NSW residential small retail customers Australian Inland Country Energy EnergyAustralia Integral Energy na na na

3 2.1.2 Direct debit payment defaults SCONRRR has not yet determined an acceptable definition of a direct debit payment default. Retailers can volunteer a definition but regulators will assess this having regard for the use of the measure as an indicator of payment difficulties. The measure is provided as the number and percentage of residential and non residential small retail customers who default on direct debit payments. NSW retailers do not report direct debit default data. They do report the use of direct debit arrangements. NSW does not have a definition of a direct debit arrangement. The existing measure is provided as the percentage of residential small retail customers using direct debit arrangements to pay their bills. Direct debit arrangement - NSW residential small retail customers Australian Inland Country Energy EnergyAustralia Integral Energy na na Disconnections SCONRRR has left the definition of a disconnection of supply for failure to pay to the discretion of the individual jurisdictions. The measure is provided as the number and percentage of residential and non residential small retail customers disconnected for failure to pay. The NSW definition of a disconnection is each instance that supply is discontinued for failing to pay an amount due to the licence holder. This includes discontinuing supply to vacant premises. The measure is currently provided as the proportion per 1000 residential and non residential small retail customers who had their supply discontinued for failing to pay an amount due. To comply with the national regulatory reporting requirement the measure has been converted to a percentage. Disconnections - residential small retail customers Retailer 1998/ / / / /03 % % Australian Inland Country Energy EnergyAustralia Integral Energy

4 Disconnections - non residential small retail customers Retailer 2000/ / /03 Australian Inland Country Energy EnergyAustralia na Integral Energy na Reconnections in the same name The SCONRRR definition of a reconnection in the same name is where a reconnection of supply is re-established in the same name, at the same premise, within seven days of the disconnection. The measure is provided as the number and percentage of residential and non residential small retail customer reconnections in the same name within seven days of disconnection. The NSW definition of a reconnection in the same name is each instance where a reconnection of supply is re-established in the same name after being disconnected. There is no timeframe for reconnection in the same name. The measure is provided as the proportion per 1,000 residential and non residential small retail customers disconnected and then reconnected in the same name. To comply with the national regulatory reporting requirement the measure has been converted to a percentage. Reconnections in the same name - NSW residential small retail customers Retailer 2000/ /02 % % Australian Inland Country Energy EnergyAustralia na 72.4 Integral Energy Reconnections in the same name NSW non residential small retail customers Retailer 2000/ /02 % % Australian Inland Country Energy EnergyAustralia na 67.2 Integral Energy na na

5 2.1.5 Refundable advances (security deposits) The SCONRRR definition of a refundable advance or security deposit is a monetary advance by the customer to the retailer to secure connection or reconnection to supply. The measure is provided as a percentage of residential and non residential small retail customers paying refundable advances is collected. NSW does not currently define a security deposit. The measure is provided as the percentage of residential and non residential small retail customer security deposits held as at 30 June each year. This measure is not reflective of the total number of security deposits required to secure connection or reconnection to supply within the period as it does not include those deposits held during the period but released prior to 30 June. Refundable advances - residential small retail customers (at 30 June) Australian Inland Country Energy EnergyAustralia na na 11.7 Integral Energy Refundable advances - non residential small retail customers that had security (at 30 June) Australian Inland Country Energy EnergyAustralia na na 19.4 Integral Energy Customer service The customer service measures are: Customer complaints Billing or account complaints Other complaints Telephone inquiries and service Customer complaints The SCONRRR definition of a complaint is a written or verbal expression of dissatisfaction about an action, or a failure to act, or in respect of a product or service offered or provided by an electricity entity. The measure is provided as the number of residential and non residential small retail customer complaints. The NSW definition of a complaint is a written or verbal expression of dissatisfaction about an action, a proposed action, or a failure to act by a Licence Holder, its employees, agents or contractors. This includes failure by a Licence Holder to observe its published or agreed

6 practices or procedures but does not include a complaint made about the Licence Holder to any other body. The measure is currently provided as the proportion per 1,000 residential and non residential small retail customers complaining about retail supply matters. To comply with the national regulatory reporting requirement the number of residential and non residential small retail complaints complaining about retail supply matters has been provided. Customer complaints - residential small retail customers Retailer 1998/ / / /02 No No No No Australian Inland 38 na Country Energy ,928 1,514 EnergyAustralia na na na 2,244 Integral Energy na na 10,516 4,098 Customer complaints - non residential small retail customers Retailer 1998/ / / /02 No No No No Australian Inland 2 na 0 0 Country Energy EnergyAustralia na na na 396 Integral Energy na na Billing or account complaints The SCONRRR definition of a billing or account complaint includes complaints about, but not limited to; a difficulty in paying accounts, overcharging, prices, payment terms and methods and debt recovery practices. The measure is provided as the percentage of residential and non residential small retail customer billing or account complaints. NSW reports two complaint sub categories; billing and other matters. These sub categories are reported using the Energy and Water Ombudsman of NSW methodology for allocating issues into complaints. The measure is provided as the percentage of complaints from small retail customers that were related to billing matters. There is no breakdown between residential and non residential. Billing or account complaints - small retail customers Australian Inland Country Energy EnergyAustralia na Integral Energy na

7 2.2.3 Other complaints The SCONRRR defines other complaints as any other complaints related to the quality and timeliness of retail service. The measure is provided as the percentage of residential and non residential small retail of other complaints. NSW reports two complaint sub categories; billing and other matters. These sub categories are reported using the Energy and Water Ombudsman of NSW methodology for allocating issues into complaints. The measure is provided as the percentage of complaints from small retail customers that were related to other matters. There is no breakdown between residential and non residential. Other complaints - small retail customers Australian Inland Country Energy EnergyAustralia na Integral Energy na Telephone inquiries and service The SCONRRR definition of a telephone inquiry is all customer contacts to a retailers call centre, whether by operator or IVR system. The measures that are provided are: the number and percentage of calls answered within 30 seconds of a customer being connected to a complaint or inquiry line the average waiting time before a call is answered the number of overload events the percentage of calls abandoned The NSW definition of a telephone inquiry is all calls made to a telephone service that operates during business hours on which a person can be connected for not less than the price of a local telephone call and that can receive notice of, and give information concerning, customers bills and customer connection services arranged by the suppler. An automated answering service satisfies this requirement only if it makes provision for the transfer of calls to a human operator. The measures that are provided are: the percentage of calls answered within 30 seconds the percentage of calls abandoned There is no current requirement to report the number of overload events or the average waiting time before a call is answered. Where possible the SCONRRR required information has been provided.

8 Telephone inquiries and services - calls answered within 30 seconds Retailer 2000/ /02 No ( 000) No ( 000) Australian Inland na na Country Energy EnergyAustralia Integral Energy 1, Telephone inquiries and services calls answered within 30 seconds Retailer 2000/ /02 % % Australian Inland na na Country Energy EnergyAustralia Integral Energy Telephone inquiries and services - calls that dropped out or abandoned Retailer 1998/ / / /02 % Australian Inland na na na na Country Energy EnergyAustralia Integral Energy Supporting information The supporting information measures are: customer numbers customer inquiry and complaints Customer numbers The SCONRRR definition of a customer is that a customer is equivalent to an account. The measure is provided as the total number of residential and non residential small retail customers. In NSW customer numbers are currently collected on a confidential basis Customer inquiry and complaints The SCONRRR definition of a customer inquiry or complaint is all contacts with a retailers call centre or inquiry line. The measure is provided as the total number of residential and non residential small retail customer contacts with a call centre or inquiry line. The NSW definition of a telephone inquiry is all calls made to a telephone service that operates during business hours on which a person can be connected for not less than the price of a local telephone call and that can receive notice of, and give information concerning,

9 customers bills and customer connection services arranged by the suppler. An automated answering service satisfies this requirement only if it makes provision for the transfer of calls to a human operator. The measure is provided as the total number of calls from small retail customers to a call centre or inquiry line. Customer inquiry and complaints - number of calls answered Retailer 1998/ / / /02 No ( 000) No ( 000) No ( 000) No ( 000) Australian Inland 0 na 26 na Country Energy 1,059 1,309 1,264 1,128 EnergyAustralia 1,680 1,592 1,589 1,444 Integral Energy 1,117 1,611 1,314 1,314 3 SCONRRR RETAILING QUALITY OF SERVICE REPORTING TEMPLATE Data Field Indicator or definition To be analysed Affordability and access and provided as Annual Note data is to be disaggregated into business and residential customer. Data is for < 160 MWh (200 MWh in Qld). Payment plans Direct payment defaults debit Disconnectionsreconnections in the same name An instalment payment plan is defined for the purposes of this m easure as: an arrangement between a retailer and a customer for the customer; to pay arrears and continued usage on their account; according to an agreed payments schedule and capacity to pay. Retailer may volunteer a definition but regulators will assess this having regard to the fact that it is intended as being a leading indicator for payment difficulties. It is likely that defaults or rejections in successive payment periods would be a minimum acceptable reporting standard. There are disconnection rules in each jurisdiction which define the conditions under which a customer can be disconnected. Number and % of customers on instalment plans Number and % of customers who default on direct debit payments Number and % of customers disconnected for failure to pay amount due. Refundable advances domestic Reconnections a reconnection is relevant where supply is re-established in the same name at the same premises within 7 days of the disconnection. The disconnection having been made for failure to pay an amount due. The total number of domestic customers who have paid a refundable advance (security deposit) to secure connection Number and % of reconnections at the same premises in the same name within 7 days of disconnection (% of total number of customers disconnected for failure to pay the amount due). % of customers paying refundable advances

10 Data Field Indicator or definition To be analysed number or reconnection to supply. Includes refundable advances paid by multi-residential customers. and provided as Annual Data Field Indicator or definition To be analysed Customer Service and provided as Annual Customer complaints Billing or account complaints Other complaints Telephone inquiries and service Complaint is a written or verbal expression of dissatisfaction about an action, or a failure to act, or in respect of a product or service offered or provide by an electricity entity. All complaints to the account line or menu option. This will include but is not limited to: difficulty in paying accounts overcharging prices payment terms and methods debt recovery practices. Deduced from previous data but one would expect it to come forward with some explanatory analysis of trends and categories. Includes any other complaints about the quality and timeliness of retail service. This data relates to all customer contacts through the entity call centre, whether by operator or IVR system. Number of retail customer complaints As % of total complaints As % of total complaints Number and % of calls responded to within 30 seconds from when a customer is connected to a complaint/inquiry line. Average waiting time before a call is answered. Number of overload events. Supporting Information Customer numbers Customer shall be regarded as equivalent to an account. Thus where there are multiple accounts in a single name, the number of accounts will be taken to be the number of customers. % of calls abandoned. Total residential Total business Customer inquiry and complaints This shall include all calls to a call centre or inquiry line. This gives an insight into overall customer contact activity and the degree to which matters are or become complaints. Total number of contacts with call centre or inquiry line.