Consumer Engagement Report
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Consumer Engagement report 2020 Report This communication extends to involving customers in planning for the future grid and empowering them to have more control over their energy use. INTRODUCTION Energy networks are the connective tissue that link our customers to electricity and gas supplies. While we are not named on bills and customers don’t pay us directly, our team members have more face to face time with customers than any other part of the industry. When there’s an upgrade to the network, cutting back trees or repairing outages, our teams are communicating with customers and our crews are working on the ground. Andrew Dillon We are constantly striving to innovate to not only improve the value of the CEO, Energy Networks connections we supply, but also how we communicate important information Australia to customers. This communication extends to involving customers in planning for the future grid and empowering them to have more control over their energy use. The future grid will mean connecting record levels of solar and other renewables into areas of the network not originally designed for two-way electricity flows. Blending of hydrogen into gas networks will mean more clean energy options for customers. Electricity and gas networks are the platforms enabling Australia’s low-emissions energy transition, while keeping supplies safe, reliable and affordable. The evolving, smarter grid will offer cheaper power prices at different times of the day to allow customers to use technology to save on their electricity bills. Critical to this process will be ensuring networks and customers continue to communicate, which is why Energy Networks Australia (ENA) has partnered with Energy Consumers Australia (ECA) to compile this report. The 2019 Energy Networks Consumer Engagement Award was presented to Jemena by then ECA CEO Rosemary Sinclair, in recognition of the gas networks deliberative forum in NSW and its electricity network people’s panel in Victoria. Jemena was chosen by a panel of judges comprising consumer advocates, non-network industry professionals and representatives from the Australian Energy Regulator and the Australian Energy Market Commission. This process highlights the value networks place on customer input and how organisations like ECA reward innovation in the customer engagement space. 1 CONTENTS JUDGES REPORT 3 Ausgrid: Revised Regulatory Proposal Engagement 10 – delivering long term customer outcomes AusNet Services: GoodGrid Residential Demand Management Program 13 Energy Queensland: Electricity and water don’t mix 16 – the Townsville Monsoon Event Horizon Power: Solar Incentive Scheme 19 Jemena Gas Networks: 2020-25 regulatory proposal 22 Jemena Electricity Networks: People’s Panel 27 Powerlink: Revenue Determination Process Engagement 31 Co-Design Workshop SA Power Networks: Setting tariffs that will help in transitioning 35 to a new energy future TasNetworks: emPOWERing You Trial 42 Western Power: Perenjori BESS customer and stakeholder 45 engagement project 2 JUDGES REPORT “They provided If you meet consumers where they are; if you create an environment where they are comfortable to express their values and the outcomes that are 25 recommendations, important to them in their own words; you will get the most extraordinary 13 directly related and nuanced feedback. to Jemena’s pricing The quality of applications continues to improve in the third year of the and services; our Award as we considered the 10 applications from nine networks across six customers became Australian states. decision-makers.” The Award allows electricity and gas network businesses to showcase the Jemena Electricity Networks’ results of their innovative and genuine approaches to consumer engagement. Award submission. While the standard of engagement varies across network businesses, emerging in this year’s group of applications are clear signs that a cohort of network businesses are now moving away from introductory engagement involving information and education campaigns, to more dynamic conversations where consumers have a valued say in network projects. For this to happen, network businesses from the CEO to the employees on the front line are engaging with consumers and taking risks that are delivering better consumer outcomes. Real, authentic and effective consumer engagement connects companies through the diverse interests of consumers and the community. Through this Award, we want to recognise those businesses that can see and are acting on the value of genuine and authentic engagement with consumers. We congratulate the industry leaders who are continuing to push the frontier forward on consumer engagement. 3 The New Frontier feedback on this year’s applications In the 2018 Judges’ Report, we said that we wanted Joint winners for 2019: Jemena Electricity Networks to see 2019 engagement projects that: and Jemena Gas Networks » demonstrated consumer values embedded in key Jemena won the ENA/ECA Energy Network business documents; Consumer Engagement Award for its Gas Networks » showed evidence of material changes in Deliberative Forum in New South Wales and its the business stemming from the consumer Electricity Network People’s Panel in Victoria. engagement activity; » provided clear examples of impact and outcomes Together, Jemena won the Award for these from consumer engagement; engagement processes because: » demonstrated “The Benefit Equation” – what is » it met consumers where they are – tailoring the demonstrated benefit to consumers from the engagement to them, ensuring that translators engagement? were on hand, childcare was available, and transport was provided to ensure that no one was undertook consumer engagement, even when it » left out of the conversation; wasn’t prescribed or required; » with the support of the Board and its CEO, it saw network businesses designing and » engaged in this conversation in an authentic and implementing solutions as seen through the respectful way; and consumer lens; and » it was ambitious about the conversation it wanted demonstrated network businesses leading, guiding » to have with its customers. and mentoring other networks based on their own learning and experiences. The finalists We saw that consumer engagement in 2019 included many of these elements in the context of: In addition to the Jemena applications, the » regulatory proposals; Horizon Power, SA Power Networks and Powerlink applications were shortlisted as finalists. We explore » technical projects including trials and innovative why below: solutions for individual communities; » Horizon Power: for its Solar Incentives Scheme, » crisis event management; and Horizon Power worked with eight Aboriginal » tariff design. communities as partners in change. Together, over 12 months, they co-designed a program that addressed community concerns to deliver cleaner and more affordable energy. » SA Power Networks: for its community engagement on its tariff structure statement as it worked together with consumers to create tariffs that work for households and businesses in a new normal, transition to a new energy future. » Powerlink: which “handed over the keys to the car” to consumer advocates to build an engagement process for its 2023-27 revenue determination. Powerlink was clear-eyed about risks: expectations that can’t be met; the resourcing needed for front-ended engagement; and having less control around a critical business initiative. 4 Highlighting the positives from across the “Handing over the keys to the car” applications Some network businesses took risks this year by The applications demonstrate that consumer engaging with consumers in novel ways. The best engagement is an activity that can be undertaken processes put consumers in the driver seat from the for many different types of network projects. The beginning, allow them to have a say about ‘how’ the applications that stand out are those that clearly engagement would run, how investment strategies outline the ‘why’, ‘what’ and ‘how’: were designed, and how community energy solutions » ‘why’ did the business engage with consumers and could be developed. for what purpose? These are risks that paid off and resulted in » ‘what’ were the key issues that they sought to agreement, understanding, trust and a way forward. explore? For the sector, these examples have debunked the » ‘how’ did they engage, outlining the risk-myth associated with dynamic engagement. methodologies and approaches? The value of consumer engagement embedded in Meeting consumers where they are the business Some of the applications this year demonstrated We are encouraged to see examples of businesses the importance of meeting consumers where they that have responded to consumer engagement are. This means representatives from the network through structural and cultural change. businesses taking the time to go to consumers in their communities rather than bringing consumers to them. Businesses have created new executive roles aimed at This approach makes it easier for a wider range of ensuring the business strategy is customer focused, consumers to participate and places a high value on a number have joined The Energy Charter and consumers’ time and convenience. consumer outcomes are being considered by some Boards on a routine basis. Some network businesses went further to maximise accessibility and inclusiveness and break-down barriers to real and meaningful dialogue. This included providing transport, interpreters, childcare assistance, independent experts and other resourcing that would