FREQUENTLY ASKED QUESTIONS

What happens if i change energy retailers?

All you will notice is a change of name at the top of the energy bill. The service you will receive now in regards to blackouts, supply issues, maintenance of poles/lines etc…remains the same.

What are the problems of traditional tendering?

Traditional tendering tends to be a blind process. The energy retailers are unaware of what prices other retailers are offering and as such can often miss out of supplying a more competitive deal. Via the reverse auction platform, energy retailers are put together and given the opportunity to see each others offers straight away. It is much easier and faster for both you and the energy retailers to do business.

When should i secure the next energy contract?

Many company’s only look at securing the next energy contract quite close to the contract expiry date. Energy market prices are volatile and there often is much financial opportunity in securing the next energy contract many months in advance of the expiry date.

Why are energy prices increasing?

There are many reasons for the increasing cost of energy. The biggest factor is supply versus demand. As a nation, Australia is using more and more energy each year. We have a limited amount of supply and as such different areas of energy production are being looked at.

What contract length should i look at?

Most organizations take a long-term approach when it comes to energy contracts. As energy prices are increasing, energy contracts of 2-5 years are usually secured. This allows for greater pricing security and provides a shield against future energy cost increases.

How long does an auction run for?

Auctions run for 10 minutes. If however a bid id received any time in the last 3 minutes of an auction it automatically extends for another 5 minutes. This will continue to occur until the best deal is drawn out

How is EnergyAction remunerated?

To secure an energy contact, EnergyAction receive a commission that is paid directly by the energy retailers. This commission is 1.5% of the ‘energy-only’ component of the contract and is exclusive of network and market changes.

Why does the reverse-auction work?

Simply, energy retailers complete on the auction platform to win business, not just to provide an offer which you may or may not accept. By doing all of the work on your behalf, as well as the energy retailers, it purely comes down to price and which energy retailer can provide the best price. It is an open and transparent system with no hidden agendas designed to save you time, effort and money.

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