06 April 2023

Submission to the AER regarding the Draft Determination on Default Market Offer Prices 2023-24

Robust consumer protections such as the DMO are needed to safeguard consumers from unjustifiably high price increases.
Energy Consumers Australia

Energy Consumers Australia welcomes the opportunity to comment on the Australian Energy Regulator’s (AER) draft determination on the Default Market Offer (DMO) prices for 2023-24. The significant volatility occurring in the energy market has highlighted the need for robust consumer protections such as the DMO that safeguard consumers from unjustifiably high price increases.

Read our submission (PDF, 298.82KB)

In our submission we:

  • Highlight that consumers already concerned with energy affordability will struggle to absorb increases of around 20% to the DMO
  • Emphasise that the DMO’s function as a consumer protections tool must be prioritised
  • Acknowledge the impact of rising on wholesale costs on the DMO and broadly support the AER’s methodology for calculating wholesale costs
  • Reiterate that the retail margin is unjustifiably high.
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