Transition Rebate/Electricity Tariff Adjustment Scheme

The Queensland Government has announced an initiative to assist regional businesses transitioning from obsolete to standard, cost-reflective electricity tariffs where they will have significant increases to their electricity bill costs.

What is ETAS?

  • Obsolete tariffs ended on 1 July 2021 and customers are being moved to a suitable alternative tariff.
  • If this causes a significant increase in your electricity bill, you could be eligible for a Queensland Government transition rebate for up to nine years, to partially offset increased bill costs.
  • This transition rebate is the ETAS transition rebate.

Am I eligible for ETAS?

Yes, if you are an Ergon Energy Retail customer AND:

  1. You have a NMI/s with obsolete tariffs 20 (Large), 21, 22 (Large), 37, 62, 65 and 66 – as at 1 January 2021,  AND
  2. After ETAS assessment, you are facing an increase in annual electricity charges of more than 5% and $500 for that NMI when transitioning from an obsolete retail tariff to a standard retail tariff (ex GST and based on the same usage levels).
  3. You are not a federal or state government body.
  4. You have not switched to Tariffs 62A, 65A or 66A or a non-standard ICC tariff on that NMI as per Ergon Energy Network’s Tariff Structure Statement 2020-2025.

Do I have to do anything to get my ETAS?

No, customers do not need to do anything.

When will I know?

By the end of July 2021, Ergon Energy Retail will have written to all eligible customers (after assessment).  If you have not received a letter from us by mid-August 2021, then you are ineligible for ETAS under the Queensland Government’s criteria.

Ergon Energy Retail will determine all customers’ eligibility, assess their electricity bill impacts and calculate their annual transition rebates by 31 December 2021. You can request a reassessment up until 31 December 2021.

How do I lose eligibility?

A customer will lose their Queensland Government ETAS transition rebate when:

  • Your ETAS rebate amount for the year is less than $500 (ex GST), except in the first year of the scheme.
  • You are no longer the account holder for that NMI/s (if you sell your business the new owner and/or account holder does not receive ETAS) and/or you are no longer a customer of Ergon Energy Retail.
  • You switch your NMI/s to tariffs 62A, 65A or 66A (these tariffs are not available to all customers) or to a non-standard ICC network tariff as per Ergon Energy Network’s Tariff Structure Statement 2020-2025.

See detailed sections below for more information including Drought Relief from Electricity Charges Scheme (DRECS).

More on ETAS eligibility

ETAS eligibility does not affect:  

  • Receiving other electricity rebates or concessions, such as the Drought Relief from Electricity Charges Scheme (DRECS).  If your NMI/s are eligible for both DRECS and ETAS, you receive the full benefit of the DRECS waiver and if the ETAS transition rebate is greater than the DRECS waiver, the difference will be paid under ETAS.  For example, if you are on quarterly billing, and your DRECS benefit for that quarter was $300, and your ETAS transition rebate payment for the same quarter was $600, you would receive $600 made up of $300 for DRECS and $300 for transition rebate.
  • Participation in the Queensland Government Large Customer Adjustment Trial/Program (LCAT/LCAP).

What are the detailed eligibility criteria?

To be eligible for ETAS, a NMI must:

  • Be held by a customer of Ergon Energy Retail and have one or more of the following obsolete retail tariffs – Tariff 20 (Large), 21, 22 (Large), 37, 62, 65 and 66 – as at 1 January 2021,  AND
  • Be assessed by Ergon Energy Retail as facing an increase in annual electricity charges of more than 5% and $500 (ex GST) for that NMI when transitioning from an obsolete retail tariff to a standard retail tariff.  This assessment is based on your usage during 2020-2021.
  • Not be a federal or state government body customer.
  • Not switched to Tariffs 62A, 65A or 66A or a non-standard ICC tariff on that NMI as per Ergon Energy Network’s Tariff Structure Statement 2020-2025.

How many NMIs are eligible for ETAS in regional Queensland?  

There are approximately 1,000 NMIs assessed as eligible for ETAS by Ergon Energy Retail.

Around one third of those customers will likely be eligible for ETAS for only the first year of the nine-year Queensland Government scheme.

The majority of Ergon Energy Retail customers currently on obsolete tariffs won’t be eligible for ETAS as their bills will not increase at all, or their bills will increase only slightly (less than 5% and $500 difference annually).

More on the ETAS assessment process

Do Ergon Energy Retail customers need to apply for ETAS?

No, customers do not need to apply for ETAS – there are no forms to fill out.  Ergon Energy Retail will assess your eligibility based on the Queensland Government criteria listed in the Gazette and notify you during July 2021.  ETAS transition rebates will be automatically applied to your bill.

How will you notify me if I’m eligible?

Ergon Energy Retail sent emails and letters at the end of June 2021 to notify you of the changes to your tariffs.  These emails and letters will also let customers know which of their NMIs are ETAS eligible.

If you have NMIs eligible for ETAS, you will be receiving a further letter or email during July 2021 with a statement of your NMIs, your Year 1 ETAS subsidy amount(s), and the scheme terms and conditions.

What do I do if I don’t get notified that I’m eligible?

The majority of Ergon Energy Retail customers currently on obsolete tariffs won’t be eligible for ETAS as their bills will not increase at all, or their bills will increase only slightly (less than 5% and $500 difference annually).  So if you haven’t received eligibility notification you will most likely not be eligible for ETAS.

If you believe this assessment is in error, see how to get your circumstances reassessed below.

How can I get my circumstances reassessed?

If you have checked your accounts and believe there is an error or you had atypical levels of usage during 2020-2021 financial year, you can call our business support team to discuss your options.

Before calling us, check the previous three years’ usage on that NMI.  If 2020-2021 usage was at least 15% lower than either of the other two years (2018-2019 or 2019-2020), then your NMI is eligible to be reassessed.

If you are unsure whether one or more of your NMIs are eligible, we highly recommend that you use My Account and Energy Analysis to check your predicted bills based on your new tariff/s. This will help you understand your eligibility and give you the opportunity to make sure your business is on the tariffs that are right for you.

If you'd like to talk to us about your previous three years’ usage, you can call our business support team on 1300 554 029, Monday – Friday 8.00am – 5.00pm.  Press ‘2’ for business and then provide your ABN/ACN number if you have it handy.

Customers have until 31 December 2021 to request their reassessment.  We will get back to you within 45 calendar days after your reassessment request is lodged.

Is there a cut-off date after which you can no longer begin getting the rebate?

By the end of July 2021, Ergon Energy Retail will have assessed and written to all eligible customers.  If you have not received a letter from us by mid-August 2021, then you are ineligible for ETAS under the Queensland Government’s criteria.

Ergon Energy Retail must determine all customers’ eligibility, assess their electricity bill impacts and calculate their annual transition rebates by 31 December 2021.

Customers have until 31 December 2021 to request their reassessment.  We will get back to you within 45 calendar days after your reassessment request is lodged.

If you'd like to talk to us, you can call our business support team on 1300 554 029, Monday – Friday 8.00am – 5.00pm. Press ‘2’ for business and then provide your ABN/ACN number if you have it handy.

More on how ETAS is calculated and paid

Is ETAS calculated on my whole bills, across all my sites?

ETAS transition rebates are individually calculated for each customer NMI and the rebate is automatically applied to your bills.

What is the calculation method?  

A customer’s NMI will be eligible for the rebate if there is a minimum increase in your ‘baseline’ electricity costs of 5% AND $500 ex GST per annum based on the same usage levels.

Your ‘baseline’ electricity cost is calculated on your 2020-2021 financial year electricity usage under the pricing structure of that NMI’s obsolete tariff.

This baseline amount is then indexed by 5% and compared to the forecast cost for that NMI under a new standard tariff charged at the relevant 2021-2022 Gazetted rates.

Can you give an example of a customer ETAS calculation?  

Step 1 - Ergon Energy Retail will assess eligibility of a customer and their NMI/s –

  1. In the 2020-2021 financial year, the total obsolete tariff charges for your NMI were $10,000 (your Obsolete tariff baseline cost ex GST).
  2. Based on exactly the same usage levels from the 2020-2021 financial year, your 2021-2022 tariff charges are calculated at $15,000 (ex GST) based on the appropriate standard tariff.
  3. This means the charges for that NMI are forecast to be $5,000 (and 50%) higher under the standard and that NMI would be eligible for ETAS.
  4. Ergon Energy Retail will write to you in June and July 2021 to advise that you are eligible.

Step 2 – Ergon Energy Retail will calculate an eligible customer’s ETAS transition rebate payments (all figures are GST exclusive) -

  1. The 2020-2021 Obsolete tariff cost ($10,000) is multiplied by 1.05 (or increased by 5%) to get your Year 1 Obsolete tariff baseline: $10,000 x 1.05 = $10,500
  2. The Year 1 transition rebate amount is the difference between your standard tariff cost based on 2021-2022 usage ($15,000) and the Year 1 Obsolete tariff baseline cost ($10,500): $15,000 - $10,500 = $4,500
  3. In Year 2 of the scheme, the Year 1 Obsolete baseline cost ($10,500) is multiplied by 1.05, giving you a new Year 2 Obsolete tariff baseline of $11,025.
  4. Your Year 2 transition rebate is the difference between the 2021-2022 equivalent standard tariff cost ($15,000) and the Year 2 Obsolete tariff baseline: 15,000 - $11,025 = $3,975.
  5. This same method is applied for the nine years of the scheme, so your annual ETAS subsidy decreases over time as shown in the table below.
  6. Once the rebate amount gets below $500, that NMI will no longer be eligible for ETAS.

Example ETAS transition rebate payment schedule for a customer -

YearAnnual Indexed Baseline (multiplied by 1.05 or 5% each year based on the previous year’s baseline)Equivalent Cost-Reflective Tariff CostRebate Amount (Equivalent CRT Cost – Indexed Baseline Cost)

Initial Figures

$10,000

(your 2020-2021 FY costs)

$15,000

(your 2021-2022 FY costs based on CRT and same usage)

N/A
1

$10,500

$15,000

$4,500

2

$11,025

$15,000

$3,975

3

$11,576.25

$15,000

$3,423.75

4

$12,155.06

$15,000

$2,844.94

5

$12,762.81

$15,000

$2,237.19

6

$13,400.95

$15,000

$1,599.04

7

$14,071

$15,000

$929

8

$14,774.55

$15,000

$0 ($225.45)*

9

$15,513.28

$15,000

$0 (-$513.28)*

*No longer eligible for ETAS, this amount will not be applied to your bill.

How is ETAS paid to my account?  

Your specific transition rebate has been calculated for you and is being automatically applied across the financial year to your bills.  For example, if you receive monthly bills, your total transition rebate payment for that financial year will be paid across the 12 months.  You can identify your rebate on the back of your bill as the “Transition Rebate”.

The amount of your annual transition rebate is divided into daily amounts and multiplied by the number of days in your billing cycle, and then paid to your account.  For example,

  1. If your annual ETAS payment is $730,
  2. That is divided by 365 days,
  3. To give $2 per day.
  4. That is then multiplied by the number of days in the billing cycle,
  5. Meaning a 90-day billing cycle equals 90 days multiplied by $2,
  6. Giving $180 paid as the transition rebate for that 90-day billing cycle.

If there is a delay in providing you with your transition rebates after 1 July 2021, or your transition rebate amount is revised, the full amount of transition rebate not paid to you during the delay is paid as credit on the next electricity bill we send to you.

How long does ETAS run for?  

The scheme runs for nine years until (whichever comes first):

  • the nine years ends;
  • your rebate drops below $500 ex GST, except in the first year of the scheme;
  • you are no longer the account holder;
  • you move to T62A, 65A,66A or a non-standard ICC tariff on that NMI as per Ergon Energy Network’s Tariff Structure Statement 2020-2025.

Note that your ETAS payment schedule is set at 1 July 2021. It will not change over the nine years of the scheme (assuming you remain eligible for the entire nine years).  So, if your usage on that NMI changes, or you change tariffs (excluding 62A, 65A, 66A and non-standard ICC network tariffs), the ETAS payment schedule will not change.

More about Energy Analysis

What can Energy Analysis via My Account do to help me manage my electricity costs?  

Ergon Energy Retail’s My Account with Energy Analysis is your one stop shop to see your energy usage, change a tariff, model different tariff options, update your contact and payment details, and you can do this, all for free, 24 hours a day, 7 days a week.

Business customers with single or multiple sites can:

  • See the best value tariff for your premises based on your usage history
  • Find the best value tariff for the future by changing usage scenarios
  • Monitor demand and power factor to reduce your costs and make your operations more efficient
  • Set benchmarks and keep on top of your budget, energy usage and demand by setting up alerts straight to your phone or email
  • Track the performance of your solar system
  • Keep track of your usage with reports emailed regularly
  • Easily check your past bills or usage history
  • Easily request an extension to your payment due date (small businesses only)
  • Keep track of your CO2 outputs
  • Quickly kick off a tariff change online
  • Update your account details online with a few clicks
  • 24/7 anytime, anywhere access.

To access these powerful tools, including online tutorials to guide you, simply login or register for My Account

Where to get more information

  1. The Queensland Government website has more information.
  2. We have also provided ETAS information to industry peak bodies so that they can help support you with the rebate.
  3. The Ergon Energy Retail website has information regarding obsolete tariffs, new tariffs, My Account including Energy Analysis, tariff facts, case studies, tariff suitability comparisons, and frequently asked questions.

Want to talk to us?

If you'd like to talk to us, you can call our business support team on 1300 554 029, Monday – Friday 8.00am – 5.00pm. Press ‘2’ for business and then provide your ABN/ACN number if you have it handy.

Alternatively, you can send your enquiry via our online contact form.

Are your tariffs right for your business?

We encourage you to make sure your tariffs are right for your business.

To understand your tariff options, we recommend using our Energy Analysis tool which is located within our My Account self-service portal.

There you can do your own tariff comparison and even request a tariff change.  It's a straightforward process and you'll get lots of helpful information and analysis about your tariff suitability and usage patterns as well as the ability to manage your bills and accounts in one place