Update on Consumer Choice, Competition and Innovation (CCI) WG Rosemary Sinclair.
Energy Efficiency Council Rosemary.pdf · Microsoft PowerPoint - Sinclair Rosemary Author User...
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Partnering with consumers to deliver security, affordability reliability 20 November 2017 Rosemary Sinclair CEO Energy Consumers Australia
Transcript of Energy Efficiency Council Rosemary.pdf · Microsoft PowerPoint - Sinclair Rosemary Author User...
Partnering with consumers to deliver security, affordability reliability
20 November 2017
Rosemary Sinclair
CEO Energy Consumers Australia
Australian Energy Update, Figure 3.6 http://www.environment.gov.au/en
ergy/publications/australian-
energy-update-2017
Now…household energy price index
2
Affordability: no silver bullet.
3
Affordability as a constraint
4
“Gentleman, we’ve run out of money. It’s time to start thinking.”
Ernest Rutherford
Consumers as…
5
Pariahs Pawns Partners
How to partner
1. Respect2. Recognise3. Reward
6
Respect: from pass-through to outcomes
7
“Now, with the retailers, we know that millions of Australian families are paying more than they need for their electricity. They are on plans that have run out, discounted plans that have run out and they are now on a standard offer and paying too much for their electricity. They have got people that are on the wrong plans.”
Prime Minister, 9 August 2017
Respect: consumers are taking steps to manage their use
47
71
57
42
2619
25 2726
1018
32
01020304050607080
Monitor temperaturesettings on appliances
to be more efficient
Switch off lighting andappliances when not in
use
Use appliances lessfrequently
Switch appliance use tooff-peak times
Reducing energy use – small business
Already do this Don't do it, but planning to Not planning to
8Source: Energy Consumer Sentiment Survey, November 2017 (early results)
Recognise: meeting consumers where they are, and as they are.
10
Recognise…need to adapt approaches
11
Recognise what works – average daily household use per initiative
12
Reward – the community wants to partner
43 4439
47
40
5458
37 38
28 2925
2932
25 25 25
35
19 17
24
1316
12 12
25
1211 10 12 11 139
6
13 15
0
10
20
30
40
50
60
70
NSW VIC QLD WA SA TAS ACT SE QLD Business(All)
Willingness to reduce use during high demand period i.e. hot weather
Reduce usage without incentive Reduce usage if incentivised Not change usage Not sure
13Source: Energy Consumer Sentiment Survey, November 2017 (early results)
“I would prefer my six cents of power, sorry my units of power, which aren’t six cents, to go into my community. I get six cents from [energy retailer], but if I get 25 cents because I gave it to you because you have fallen on hard times, well I’m delighted.”
Attendee, ECA Regional Listening Tour April-June 2016
Reward – I want to trade, share, gift…
Keeping sight of the WHY…
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Energy efficiency improvement
Asset values
Energy savings
GHG
emissions
Energy security
Energy delivery
Energy prices
Macro-economic impacts
Industrial productivity
Poverty alleviation
Health and well-
being
Employment
Local air pollution
Resource management
Public budgets
Disposable income
ECA work on the WHY
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Summing up
Three take-aways
1. We need to think about affordability not only as an outcome, but a constraint.
2. To deliver the affordability, security and productivity outcomes we’re chasing, we need to partner with consumers.
3. Respect, recognise, and reward…
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