Ergon Energy Queensland
Pty Ltd
Hardship Policy
1 July 2015
Table of Contents
Purpose ....................................................................................................................................................... 1
Policy statement ...................................................................................................................................... 1
Hardship program overview ............................................................................................................ 1
Objectives .............................................................................................................................................. 1
Hardship Customer Definition ....................................................................................................... 2
Eligibility for Customer Assist Program ..................................................................................... 2
Participation in Customer Assist Program ................................................................................ 2
Graduation Conditions ..................................................................................................................... 3
Staff training ........................................................................................................................................ 3
Implementation ....................................................................................................................................... 4
Identifying customer experiencing payment difficulties due to hardship ..................... 4
Early response to hardship ............................................................................................................. 4
Flexible payment options ................................................................................................................ 5
Customer case management ......................................................................................................... 6
Security deposits ................................................................................................................................ 6
Late fees and charges ...................................................................................................................... 6
Government concession programs .............................................................................................. 6
Financial counselling services ........................................................................................................ 7
Programs/Initiatives to assist Hardship Customers ............................................................... 7
Energy efficiency improvement programs ............................................................................... 7
Complaints management ................................................................................................................ 8
Contact us............................................................................................................................................. 8
Privacy ................................................................................................................................................... 8
References ................................................................................................................................................ 8
Definitions ................................................................................................................................................. 9
Governance .............................................................................................................................................. 9
Continuous improvement /performance audits .......................................................................... 9
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Purpose
Ergon Energy Queensland Pty Ltd (Ergon Energy) is committed to providing
effective assistance to customers who are experiencing difficulty paying their energy
bills in a timely manner and has established the Customer Assist Program for this
purpose.
Policy statement
Hardship program overview
The Ergon Energy Customer Assist Program offers a range of services and products
to assist vulnerable customers to manage energy usage and payments, through
customer case management, flexible payment arrangements as well as community
and government partnerships. The aim is to provide a socially responsible program
that prevents further financial hardship for the customer whilst being economically
sustainable for Ergon Energy.
Ergon Energy recognises that customers require access to electricity as an essential
service that facilitates the social and economic inclusion of all of our customers. As
such, Ergon Energy considers that customer disconnection as a response for
outstanding debt recovery is a last resort option and is therefore committed to
minimising customer disconnection activity by supporting vulnerable customers who
comply with program requirements, to meet their energy usage debts on a
sustainable and independent basis.
Communication and promotion of the Customer Assist Program is actioned through
various channels including marketing brochures, bill messages, Contact Centre
scripting, Ergon Energy internet site and community group partnerships and
interactions.
Objectives
The key objectives of the Customer Assist Program are
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To facilitate the vulnerable customer’s ability to manage their energy usage in
an affordable and sustainable way
To support customers to close the gap between energy usage and financial
capacity by providing energy efficiency education
To raise the criticality of the energy bill in customer financial commitment
scale
To encourage self-help strategies that are based on a shared responsibility
model
To deal with customers empathetically, respectfully and fairly
To provide a low customer effort experience that equips and educates
customers to be in a position that prevents the need for future assistance
To recognise distinct hardship segments – short term, medium term, and long
term.
To respect the privacy and the personal information of our customers in accordance
with the Privacy Act 1988 (Cth) and the Australian Privacy Principles.
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Hardship Customer Definition
Ergon Energy defines a Hardship customer as a residential customer who has the
willingness to pay their energy bills as they fall due but has been either identified or
presents as not having the financial capacity to keep to standard payment terms or
payment plan terms over a sustained period i.e.at least two consecutive billing
cycles.
Eligibility for Customer Assist Program
Eligibility for the Customer Assist Program will be limited to the current account of
residential customers for their primary place of residence. Ergon Energy recognises
three time-based hardship segments, and tailors products and services according to
the relevant segmentation. During the initial discussion with the customer, an
assessment will be undertaken to determine whether the customer’s circumstances
would be best served by short, medium or long term assistance. Short term
assistance will generally be handled at the first point of contact and will usually be in
the form of, a payment plan and the forwarding of an application form for the State
Government Home Energy Emergency Assistance Scheme. Medium term and long
term assistance will be provided via dedicated case management in the form of
tailored payment plans, energy audit plans, financial counselling referrals, specialised
government subsidy advice, together with ongoing supportive monitoring of usage
and payment commitments.
Participation in Customer Assist Program
Ergon Energy has developed entry criteria, participation responsibilities, exit and
graduation conditions for the Customer Assist Program.
Entry Criteria – includes the assessment of both circumstantial indicators and
financial capacity of the customer.
Circumstantial Indicators –
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The customer has a current account which is in arrears for their primary place
of residence,
The customer has the willingness to pay their energy bills by their due date
and has been, either identified or presents, as not having the financial capacity
to keep to standard payment terms or payment plan terms over a sustained
period i.e. at least two consecutive billing cycles, and
The customer is experiencing financial difficulties as a result of experiencing
life changing events or ongoing embedded disadvantage.
Financial Capacity
The financial capacity of the customer is measured by the ability of the customer to meet the
value of the regular payment to cover the expected future usage plus the amount required to
clear outstanding debt within the timeframe of the payment arrangement.
Participation Responsibilities
Customers are advised of and must agree to their participation responsibilities upon
acceptance into the program –
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To work with Ergon Energy to determine customer capacity to pay and to develop an
agreed payment plan
To pay the amounts set out in the agreed payment schedule on the due dates
To advise Ergon Energy of any change in circumstance that may impact customer
ability to make payments
To keep Ergon Energy updated with latest phone and email contact details
To contact Ergon Energy when required to review the Customer Assist package
To complete an energy audit of premises as requested
To complete a financial assessment audit if required
Participate in Government financial assistance schemes
Close the gap between energy usage and financial capacity
Exit Conditions
A customer may be removed from the Customer Assist Program where there is noncompliance with the participation responsibilities as above. (i.e. absence of
reasonable attempts to meet responsibilities). The Customer Assist Program officers
attempt to contact customers who are at risk of exiting the program via telephone,
mail (unable to contact letter) and email (if applicable). In the event that none of
these channels are successful, a further letter is sent advising of their removal from
the program and that the customer will be responsible for managing their own
payments and will be subject to the normal debt collection processes. Where a
customer has been removed from the program for non-compliance, the customer
may still be eligible for a payment plan. Ergon Energy reserves the right to limit reentry to the program where customers have a history of non-compliance with the
Customer Assist Program participation responsibilities.
Re-entry conditions
Where a previously exited Customer Assist Program customer re-applies for
participation on the program, the Customer Assist team will assess whether the
customer meets the entry criteria and whether the customer has committed to a
regular payment method, such as Centrelink or direct debit. Ergon Energy strongly
encourages re-entry customers to keep in contact with us to ensure tailored support.
Graduation Conditions
All actions of the Customer Assist Program will be focused on supporting hardship
customers to graduate from the program equipped to understand the high priority of
the energy bill and to implement strategies that ensure their energy bills are
sustainably affordable. Graduation occurs when a customer has a nil or credit
balance and /or is in a position to meet current and future commitments to energy
consumption as indicated by payment history. Customers will be advised by a
congratulatory letter once they have reached these milestones and encouraged to
maintain their focus on matching their usage with their affordable payments.
Staff training
The Customer Assist team have fully documented procedures supporting the Ergon
Energy Queensland Pty Ltd Hardship Policy and participate in a range of training
courses covering general hardship awareness, communication and empathy skills,
energy efficiency and relevant legislative changes. The team also receive refreshers
to assist with their personal resilience.
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Implementation
Identifying customer experiencing payment difficulties due to
hardship
Ergon Energy encourages customers who are experiencing financial difficulties to
self-identify directly or indirectly via community agencies.
Retailer Identification
For those customers who do not overtly self-identify, Ergon Energy also uses a number of
indicators to identify those customers who display characteristics of a customer experiencing
financial difficulties. These indicators include
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Customer requests for consecutive payment arrangements
History of unpaid bills which may be at the point of imminent disconnection
History of dishonoured direct debit payments
Cancellation of Centrepay arrangements
Requests for Home Energy Emergency Assistance scheme forms
Front line staff are also trained to initiate conversations with customers in a way that will raise
awareness of our program and offer participation in the program.
Any Customer will be provided with a copy of Ergon Energy’s Hardship Policy on request and
at no charge. Customers identified as hardship customers will be informed of the existence of
the Hardship policy as soon as possible after identification as a Hardship customer
Customer Self Identification
Ergon Energy aims to promote a dialogue with our customers to explore their capacity to pay
for their ongoing energy needs. We support this by:
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Access to our program through calling our Contract Centre 131046 or seeking a
contact through our email address [email protected] or via our online
contact form
Ensuring our staff provide an environment that encourages customers to discuss their
concerns in a non-judgemental way
Ensuring our staff use open ended questions that allow customers the opportunity to
share information
Conducting empathy training and hardship awareness training for our staff, assisting
them to identify the triggers of hardship and how to work with customers
experiencing hardship
Providing information about our hardship program to customers through multiple
communication channels
Providing information about our hardship program to external NGOs and government
agencies
Providing information about our hardship policy to card-operated meter customers
Engaging in referrals from a financial counsellor, a community support worker or a
member of the community who is assigned by the customer as advocating on their
behalf.
Early response to hardship
Ergon Energy provides early response interventions to customers experiencing
hardship. These include –
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Immediate removal from any disconnection or debt recovery actions while the
customer participates in the program
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Immediate removal from the shortened collection cycle
Provision of information about the availability of government-funded rebates,
concessions or relief schemes
Within 48 hours of hardship customer identification, customer is contacted to
discusso Our Hardship policy
o A capacity to pay assessment process
o Available products and services
Flexible payment options
When customers are accepted on the Customer Assist Program, their account is
quarantined from debt collection activity, including disconnection
Ergon Energy offers a number of flexible payment options tailored to the customer’s
capacity to pay. These includePayment plans – regular instalments, agreed with the customer, and established
having regard to the customer’s capacity to pay, any arrears owing by the customer
and the customer’s expected energy consumption needs over the following 12 month
period.
Incentivised payment plans – Ergon Energy may provide an incentive payment
(partial or full debt waiver) in specific conditions where the customer has reached
the financial position of meeting their energy usage. This incentive payment serves
to incentivise customers to maintain their payment plans after graduation from the
program.
Ergon Energy accepts and facilitates a number of payment methods for which
assistance is provided in the setting up. These include –
Centrepay - CentrePay is a free service for customers who are in receipt of Centrelink
benefits and this service allows customers to pay bills as regular deductions from
their Centrelink Payments. As part of the Customer Assist program, this service can
be arranged over the phone in consultation with the customer.
Direct Debit – set up through the account or via a customer’s financial institution
Bpay – details provided on the bill
Cash or credit card via Australia Post – through post office centres and agents
Credit card – via telephones
Cheque or money order from a financial institution- via post
A key objective when setting up payment plans or arrangements with customers is
to keep the customer connected and committed to working towards long term
energy bill management. Ergon Energy takes into account the customer’s capacity
to pay, outstanding debt, and customer’s estimated consumption over the next 12
months.
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When assessing the customer’s capacity to pay, Ergon Energy encourages
conversations that reach realistic and achievable payment amounts that are tailored
to be considerate of customer circumstances as well as commercial obligations. In
line with privacy requirements, the Customer Assist team will seek an understanding
of the current or changed life circumstances relating to health, employment and
family to negotiate an affordable payment. Financial counselling information (where
available) or community group referral information is also considered in determining
a sustainable payment that does not negatively impact the maintenance of a basic
standard of living.
Customer case management
Once the customer has been identified as eligible to participate in the Customer
Assist program, the Customer Assist officer will verbally advise the customer of their
responsibilities as a program participant and seek their consent to comply with these
requirements. The customer is also advised of the range of assistance that will be
provided by the program.
These details are formally posted to the customer in a Customer Assist Welcome
Pack, which includes details of the agreed payment plan or arrangement, Customer
Assist brochure (which covers energy usage advice including running costs of all
main electrical appliances), applicable information on available rebates and
concessions, contact details of Community groups and Financial Counselling
services.
In this package, customers are advised to contact the Customer Assist officers when
their next bill is received to review the adequacy of the payment plan. We also
advise customers in this package to contact us if their circumstances change so that
the payment plan can be adjusted. On-going reviews are also conducted to enable
the customer to re-negotiate their payment plans to accommodate changing
circumstances related to employment status, family or health. The reviews may be
initiated by Ergon Energy (i.e. scheduled according to milestone, missed payment,
higher consumption, account in credit) or by customers themselves.
The Customer Assist officers strive to provide support in a respectful manner and
stress the importance of the customer contacting them when required.
Security deposits
A hardship customer will not be required to provide a Security deposit and any
previously paid security deposit will be credited against current debt.
Late fees and charges
Ergon Energy does not charge late payment fees. A waiver of other incurred
charges, such as disconnection/reconnection fees, will be considered on a case by
case basis.
Government concession programs
There are a number of Government concession programs that are available to
customers experiencing payment difficulties or hardship. Ergon Energy discusses
the government assistance programs with customers in the Customer Assist
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Program during the initial referral to the program and provides application forms or
access details for various programs, as determined applicable to the customer’s
circumstances.
The range of programs is as follows
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Queensland Government Electricity Rebate Scheme (Pensioner Rebate)
Home Energy Emergency Assistance Scheme
Electricity Life Support Concession Scheme
Medical Cooling and Heating Electricity Concession Scheme
Disaster relief funding grants and Drought relief payments
Financial counselling services
Ergon Energy has established partnerships with various accredited financial
counselling community agencies that offer their services at no cost to Customer
Assist customers, including specialised no interest loan scheme referrals. The
Customer Assist Program officers facilitate access to these services.
Programs/Initiatives to assist Hardship Customers
Customers entering the Customer Assist Program are advised of the full range of
program products and services that are available to them whilst participating in the
program. These include –
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Case management including tailored payment arrangements/plans
Energy usage audit service – either self-assessment or collaboratively
Financial counselling referral, including specialised no interest loan scheme
referrals
Centrepay set ups
Rebate knowledge, assistance and referrals, including access to Government
financial concession schemes
Community group referrals (local contacts)
Protection from disconnection
Security deposit waiver or refund; reconnection fee waiver
Specialist home energy savings scheme referrals
Ergon Energy discusses these products and services with customers in the Customer
Assist Program during the initial referral to the program and provides application
forms or access details for various programs, as determined applicable to the
customer’s circumstances
Customers are also advised of their responsibilities upon entry to the Customer
Assist Program. Customers are expected to comply with these responsibilities and
are advised at the point of entry to the program that access to the benefits of the
program will be jeopardised in the event of non-compliance.
Energy efficiency improvement programs
During the initial telephone contact with customers, Customer Assist Program
officers help customers understand where energy usage could be reduced and how
this would progress customers towards sustainable energy affordability. In the
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Customer Assist Program package, energy efficiency brochures are provided, as well
as references to Ergon Energy on line audit tools. Where it is considered that energy
usage is excessively above average usage for the customer demographic profile, a
meter test will be recommended. In these circumstances, a more intensive premise
energy audit is offered by a specialist energy advisor through an on line tool as well
as a referral to a specialist home energy scheme agency officer. At program
milestones, customers will provide self reads to gauge the effectiveness of energy
efficiency interventions.
Complaints management
Ergon Energy manages complaints in accordance with AS/NZS I 10002:2014 –
Guidelines for complaints handling in organizations and aims to resolve customer
complaints at the first point of contact between the Customer Assist Program team
and the customer. However, where this has not been achieved, the customer is
offered the opportunity to escalate their concerns to our internal escalated
complaints team via email [email protected].
The external escalation opportunity to Energy and Water Ombudsman Queensland
(www.ewoq.com.au ) will be offered to the customer if the matter has not been
resolved internally.
Contact us
For more information about how Ergon Energy can assist with bill payment
difficulties please call the Customer Assist team 13 10 46 or contact us via email
[email protected].
If assistance is required with language or interpretation, please call our Interpreter
Service 13 14 50.
Ergon Energy also provides a National Relay service for TTY/voice calls 13 36 77 as
well as Speak & Listen services 1300 555 727
Privacy
Ergon Energy is committed to protecting the personal information of our customers
in accordance with the Privacy Act 1988 (Cth) and the Australian Privacy Principles.
References
National Energy Retail Law
National Energy Retail Rules
National Energy Retail Law (Qld) Regulation 2014
Guidance on AER Approval of Customer Hardship Policies
Privacy Act 1988 (Commonwealth)
AS/NZS10002:2014 Guidelines for complaints handling in organizations
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Definitions
All terms defined in body of policy.
Governance
Under National Energy Retail Law, energy retailers must develop, seek approval of,
maintain and implement a customer Hardship Policy. The Customer Assist Program
has been developed to support customers experiencing financial hardship in
accordance with this Hardship policy and the overarching obligations of Ergon
Energy’s Retail Regulatory Compliance framework.
The Hardship program documentation including this Hardship Policy document is
subject to an annual audit to ensure currency and completeness.
Continuous improvement /performance audits
Ergon Energy monitors the performance of the Customer Assist program and
benchmarks its performance against other retailers through the Australian Energy
Regulator Hardship Performance Indicators.
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