more efficient allocation of network costs, and potentially reduced capital and operating network costs being passed through to all consumers, as more tariff structures are developed. an improved service in of quality, reliability and security of supply, through the ability for network businesses to use additional meter functionality. End use customers may face additional metering service costs for an advanced meter compared to the charges for their existing accumulation meter. However, additional costs are expected to be minimised because: retailers have an incentive to minimise the costs of metering services procured for their customers, otherwise their price offers become uncompetitive, and/or in making a decision to switch to an advanced the customer considers that additional benefits will outweigh additional costs. The AER will also retain the ability to regulate the metering fees of an LNSP, for example where the AER considers that there is not yet competition which would constrain the fees charged by the Metering Coordinator business unit of an LNSP. Retailers and third party energy service providers Retailers and third party energy service providers are likely to benefit from the proposed Rule in the following ways: the opportunity to customers an increased range of pricing offers and DSP products, the opportunity to fill the new role of Metering Coordinator to organise metering and related services on behalf of customers. the availability of a range of competitive offers to provide metering services, leading to increased innovation and lower costs. certainty about exit fees when replacing an existing LNSP responsible person’s meter. LNSPs Local network service providers would: no longer have the exclusive right to provider provide type 5, 6 or 7 metering services, unless other arrangements are specified by a jurisdiction. be required to compete with other accredited metering service providers to supply metering services to small customers. have minimal stranding risk on their existing metering assets given an appropriate exit fee that has been approved by the AER.
a Metering Coordinator is engaged directly by the customer; or a jurisdiction prescribes that a Metering Coordinator, or a class of Metering Coordinators, are exclusively responsible for coordinating metering services in a particular network area. When changing a meter, the Metering Coordinator should only be required to inform the FRMP where the change in meter results in a material change to the services, costs, or contract terms. However, the Metering Coordinator would be required to inform the customer. Where the FRMP has engaged the Metering Coordinator, the FRMP may request its Metering Coordinator for a metering installation to change the features of that metering installation. A Metering Coordinator must not unreasonably block a request so long as functions being used by other parties remain available. Where a FRMP has engaged the Metering Coordinator, the Metering Coordinator must inform the FRMP of the functions required in a meter in that jurisdiction, and the circumstances in which the metering installation must be upgraded to provide those functions. Relationship between the FRMP and a customer in regard to metering services Where a FRMP has requested a change to a metering installation as at 2.16, and the change has not been requested on behalf of the FRMP’s customer, the FRMP must: where there is no change to the costs charged to the customer or the services available to the customer, adequately inform the customer of the change, in writing prior to the change, or where the change results in changes to the costs charged to the customer or the services available to the customer, obtain the prior consent of the customer to the change. A FRMP must action a request by its customer to change the features of a metering installation for the FRMP has engaged the Metering Coordinator. In this case the FRMP: must request that the Metering Coordinator change the features of the metering installation, must inform its customer of any additional cost resulting from the customer’s request, and obtain the customer’s consent to the additional costs prior to instructing the Metering Coordinator to proceed with the change, and may recover any additional cost from its customer in a transparent manner.