Retail

The retail sector is the final link in the gas supply chain. It is where energy retailers provide energy services to end-use customers. The majority of gas customers – including industrial and commercial users – are supplied through an energy retail business.

Gas retail markets provide consumers with the ability to choose their gas retailer in all Australian states and territories.

AEMO operates the gas retail markets in Queensland, New South Wales, the Australian Capital Territory, Victoria and South Australia. AEMO manages the systems required for customer transfers (when a customer switches its retailer), delivery point management and balancing and reconciliation (managing the daily allocation of gas usage to retailers to enable the settlement of gas supply contracts).

The National Energy Customer Framework acts to protect small customers in their electricity and gas supply arrangements. Go to Energy retail markets for more information on the framework.

While energy retailers purchase most wholesale gas under bilateral contracts with gas producers, the eastern gas market has developed some wholesale gas markets. For more go to Natural gas markets.

The AEMC conducts reviews of the effectiveness of competition in energy retail markets. In past reviews we have found that in most jurisdictions consumers have benefitted from increasing choice in their retailer and the type of products available. We have also found that in most jurisdictions the number of consumers on regulated tariffs is steadily decreasing. Following our competition reviews in Victoria, South Australia, the Australian Capital Territory and New South Wales, we recommended that retail price regulation be removed in these jurisdictions.