Energy Glossary

The Australian Energy Regulator (AER) is a regulatory authority that oversees and enforces energy market rules to ensure the interests of consumers are protected. The AER regulates energy retailers, networks, and wholesale electricity and gas markets.

A Basic Plan Information Document (BPID) is a document that provides essential information about an energy plan. It includes key details such as contract terms, pricing, fees, and any additional conditions associated with the plan.

A benefit period, also known as a fixed benefit period, refers to the set time during which a customer receives particular benefits under an energy plan. For example, a discounted rate or promotion may be applicable for the first 12 months of the contract. If the contract is terminated during the benefit period, an exit fee may apply.

A conditional discount is applied to your energy bill based on certain conditions or agreements. For instance, if you pay your bill in full and on time, you may be eligible for a pay-on-time discount. 

A consumption charge, also called a usage charge, is the cost of the electricity or gas you consume. It is calculated based on the amount of energy used during a billing period. 

The contract term, also known as a fixed term or contract length, refers to the duration of an energy contract. It specifies the start and end dates of the agreement, commonly either a year or two years. 

Controlled load refers to a specific tariff or rate applied to certain appliances such as underfloor heaters, pool filters and electric hot water systems. The rate charged for controlled load appliances is usually lower because they operate during off-peak hours. 

By law, customers have a cooling-off period of 10 business days after signing up for a new energy contract to cancel the contract and not pay any exit fees. 

The Default Market Offer (DMO) is an annual electricity price cap implemented in New South Wales, South Australia, and South East Queensland. It sets a limit on the prices that retailers can charge customers on standing offers, ensuring protection against excessive prices. 

A demand charge is an additional component in an electricity plan that includes regular usage and daily supply charges but with demand charges added on top of these. 

A Detailed Plan Information Document (DPID) provides comprehensive information about an energy plan. It includes detailed terms, conditions, pricing structures, and other important details related to the plan. 

An electricity or gas distributor owns and operates the infrastructure, such as power lines, poles, and gas pipes, that delivers electricity or gas to homes and businesses. 

A company that produces electricity or gas. 

Energy ombudsmen in each state and territory provide a free and independent dispute resolution service for energy customers who have a problem with their gas or electricity provider. 

Many gas and electricity appliances have red and yellow energy rating labels on them. The label gives you an indication of how energy efficient the appliance is. 

The company you pay for the gas and/or electricity you use. Some customers have the same retailer for both electricity and gas. 

An exempt seller is a retailer who purchases electricity or gas from an authorised retailer and resells it to customers in multi-dwelling premises. Examples include caravan parks and multiple occupancy apartment blocks. 

An exit fee, also known as a cancellation fee, termination fee, or early termination fee, is a charge imposed when a customer terminates an energy contract before the agreed-upon end date.

A feed-in tariff (FiT) is an arrangement where customers with solar panels or other renewable energy systems can receive a credit or payment for the excess energy they generate and feed back into the grid. 

An Australian Government renewable energy accreditation scheme. It lets electricity retailers buy renewable energy for you or your business.

A discount that you receive automatically when you sign up for a plan. 

A program to help residential customers who are having difficulty paying their electricity and/or gas bills. All retailers must have a customer hardship policy. 

This is a form of renewable energy that harnesses the power of flowing or falling water to generate electricity. Hydroelectricity involves the use of water dams or reservoirs to create a controlled flow, which drives turbines connected to generators. 

An incentive is a benefit or reward provided to customers, often beyond monetary discounts, to encourage them to choose a specific energy plan or engage in certain behaviours. Incentives can include non-price benefits, one-time price reductions, or gifts aimed at attracting and retaining customers.

A kilojoule is a unit of measurement used to quantify the amount of gas consumed. It is equivalent to 1,000 joules and is commonly utilised in energy calculations and billing for gas usage. 

A kilowatt is a unit of measurement used to quantify the rate of electricity consumption or generation. It represents 1,000 watts and is commonly used to express the power output or demand of electrical devices and systems. 

A kilowatt hour is a unit of measurement used to quantify the amount of electricity consumed over time. It is equivalent to the consumption of one kilowatt of power for one hour, and serves as the standard unit for electricity billing purposes. 

Liquefied natural gas is natural gas that has been cooled to a liquid state for ease of transportation and storage. Market retail contract: A market retail contract is an electricity or gas contract offered by energy retailers that includes terms and conditions beyond those specified in standard contracts. These contracts may feature additional benefits, discounts, or unique pricing structures.

A megajoule is a unit of measurement used to quantify large amounts of gas energy. It is equivalent to one million joules and is commonly used in industrial and commercial applications where gas consumption is substantial. 

A megawatt is a unit of measurement used to express the rate of electrical power generation or consumption. It represents one million watts.