If a matter cannot be resolved via negotiation or informal mediation, the Energy Ombudsman may decide to make a determination (binding decision) against an energy supplier to resolve the matter.
Prior to the Energy Ombudsman making a final decision, a draft decision will be circulated to all affected parties for consideration and comment. The consumer can choose within 21 days of receiving the decision to notify the Energy Ombudsman in writing if they accept or do not accept the final order.
If the consumer does not notify the Energy Ombudsman within 21 days, the decision becomes final and the consumer and energy supplier are bound by it. If the order is accepted, the energy supplier can seek a review under the Judicial Review Act 1991. If the consumer elects not to accept the order, the order will not take effect.
The Energy Ombudsman must give the energy supplier a written notice about whether or not the order has been accepted. The consumer may file the accepted final order in a Magistrates Court. Alternatively, the Energy Ombudsman may file the order on behalf of the consumer. Once filed, the order is taken to be a judgment of that court for the stated amount in favour of the consumer, against the supplier.
If the energy supplier does not comply with a final order, a maximum penalty of 100 penalty points (one penalty point is $75) may be applied. In addition, non compliance may be referred to the appropriate regulator under an energy Act.
The Energy Ombudsman can order energy suppliers to:
- pay compensation to the consumer (if no amount is prescribed, an amount of $20,000, or if all parties have agreed, an amount of no more that $50,000)
- provide a non-monetary solution to remedy the dispute
- end a negotiated contract with a consumer
- amend a stated charge under the Energy Ombudsman Act 2006, and/or
- carry out corrective work.
Binding decisions made by the Ombudsman
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0 | No binding decisions have been made by the Energy Ombudsman at this date. | 0/07 | PDF |
