Simon Birmingham (SA, Liberal Party, Minister for Education and Training) Share this | Hansard source

Under our plan, as recommended by the ACCC, the AER would be given the power to set a default market offer in each region. Customers who are on high-priced standing offers would see their electricity costs decrease as they move to the lower, default market offer.

The government would also simplify the confusing array of offers that are currently on the market by requiring retailers to use the new default rate as a reference point for all advertised discounts. This will give customers much greater clarity when they consider whether or not to switch energy plans and, if so, which energy plan to switch to. Limits will also be placed on the penalties that customers can face when they don't pay their bills on time and lose their discounts.

The government will work to ensure that states and territories act on this reform but, if they do not agree, will implement it through Commonwealth law because we are determined to make sure this new default offer applies from July 2019 at the latest to give certainty to consumers.