As part of our wholesale pricing, we promised you that no matter what happens in the energy market, you would never pay more than our Bill Guarantee rates on average for each quarter. You can read more about our guarantee here.
However, when there are significant and widespread price spikes and volatility in the wholesale market, similar to what was experienced in July of 2024, we may process payouts for the billing quarter earlier than usual. We do this to help ease the financial strain our customers may be experiencing.
In the event of an early Bill Guarantee payout, if your account with us is already closed, we would process your full payout now, instead of after the quarter has concluded. If you are still a customer with us, and have not yet been billed for the entire usage period of the current quarter, we would apply a payout based on your current usage costs since the start of the quarter combined with forecasted usage costs in the wholesale market. The total amount that is credited depends on the timing of the calculations conducted by our Finance team. For example, an early payout made 6-7 weeks into a quarter would be ~50% of your total projected Quarterly Bill Guarantee credit.
As wholesale pricing may eventuate to be more favourable than the forecast over the remaining part of the quarter, this has the potential to lower your final bill guarantee credit. This is why we're unable to pay the full amount early. However, following the end of the quarter, we will apply an additional top-up credit if you are eligible.
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