AEMO freezes retailer
AEMO has suspended Maximum Energy Retail from trading in the National Electricity Market (NEM).
The suspension - under clause 3.15.21(f) of the National Electricity Rules - means
Maximum Energy Retail, classified as a Market Customer in the NEM, cannot trade or engage in any transactions until the Australian Energy Market Operator (AEMO) lifts the suspension.
In response to the suspension, the Australian Energy Regulator (AER) has activated the Retailer of Last Resort (RoLR) process to ensure continued electricity supply for customers affected by Maximum Energy Retail’s failure.
This process is designed to seamlessly transfer customers to stable retailers, thereby averting disruptions in service.
AGL, Origin Energy, and EnergyAustralia have been designated as the new retailers for the approximately 800 impacted customers across Victoria and South Australia.
These customers will receive direct communication from their new providers regarding the transition, available options, and further assistance.
Customers who rely on life support equipment are urged to promptly confirm their requirements with their new retailer.
Furthermore, customers who were previously receiving payment assistance from Maximum Energy Retail are advised to discuss new arrangements with their assigned retailer if they encounter difficulties in managing their energy bills.
The RoLR scheme, managed by the AER, aims to safeguard consumers against the risks posed by retailer failures, ensuring continuous access to essential electricity services.
The recent amendments to the National Energy Retail Law (Victoria) Act 2024 have expanded the AER's responsibilities to include overseeing these arrangements in Victoria, as well as other regions under the National Energy Customer Framework.
The suspension of Maximum Energy Retail raises questions about the robustness of compliance mechanisms and the overall stability of smaller energy retailers.