This article is relevant for customers outside of Victoria only.
If you are in Victoria, see alternative article here.
Amber’s wholesale pricing model means that we pay you the true wholesale value of your exports if you export electricity to the grid from your solar and/or battery. If you export at times when the wholesale price is high you’ll earn a lot, but if you export at times when wholesale prices are low you’ll earn less.
When we apply our Quarterly Bill Guarantee at the end of each quarter, if you have earned more than 3.3 c/kWh on average for your exports across the period we will take this into account when evaluating your average usage cost and any payments you may be eligible for under this guarantee.
What is Amber’s Quarterly Bill Guarantee?
Like other retailers, we publish regulated Energy Factsheets which clearly state our promises around usage prices.
Because our wholesale pricing model is a little bit different from regular retailers, our energy factsheets also represent our guarantee. We guarantee that your total quarterly bill with us will never be more than the prices quoted in your applicable Energy Factsheet. We run this comparison for you at the end of each quarter and credit your account with the difference if necessary.
We'll take you through a few examples of how this guarantee works if you have solar and/or a battery below.
To read more about our Quarterly Bill Guarantee click here.
How does the Quarterly Bill Guarantee work with solar?
Let’s go through a couple of examples showing how we’d compare two different hypothetical customers’ quarterly bills against our guarantee at the end of the quarter. You can use these principles to calculate how you’re stacking up against our guarantee at any point during your time with Amber.
Example 1 - Customer with solar but no battery
Sudeep lives in postcode 2042 (Newtown, Sydney) so is on the Ausgrid network.
Sudeep lives in a big house with a small solar system. He doesn’t have a battery, so he can only use and export to the grid solar energy during the day when prices are normally low, and has to rely on the grid at the most expensive times of the day. His household consumed 1,250 kWh from the grid over the quarter at an average wholesale price of 40.0¢/kWh and a daily supply charge of 94.7¢/day. Sudeep also exported 250 kWh to the grid over the quarter at an average wholesale feed-in-tariff of 2.0¢/kWh.
Sudeep’s usage amount with Amber is calculated as follows:
= ⚡️ Usage charges + 📆 Daily supply charges + 💳 Subscription fees
= (⚡️ 1,250 kWh x 40.0¢/kWh) + (📆 $0.947/day x 91 days) + (💳 $22/mth x 3 mths)
= ⚡️ $500.00 + 📆 $86.18 + 💳 $66.00
= 🧾 $652.18
Sudeep has also earned money from his solar feed in:
☀️ 250 kWh x 2.0¢/kWh
=☀️ $5.00
So Sudeep’s total bill is his usage - solar feed-in, for a total of $647.18.
Now let’s compare this with Amber’s guarantee:
At EOFY we compare Sudeep’s quarterly bill to what it would have been on the prices outlined in his applicable Energy Factsheet. The daily supply charge for Sudeep’s energy plan with Amber is 94.7¢ and the maximum average usage charge is 35.8¢/kWh (example rate, this changes quarterly).
Sudeep’s quarterly usage guarantee is calculated like this:
= ⚡️ Factsheet usage charges + 📆 Factsheet daily supply charges + 💳 Subscription fees
= (⚡️ 1,250 kWh x 35.8¢/kWh) + (📆 $0.947/day x 365 days) + (💳 $22/mth x 3 mths)
= ⚡️ $447.50 + 📆 $86.18 + 💳 $66.00
= 🧾 $599.68
Sudeep has also earned less than the expected amount (3.3 c/kWh), so his bill guarantee will be calculated solely on usage.
Sudeep’s quarterly bill for usage at the end of the quarter ($647.18) was higher than it would have been on the prices quoted in his applicable Energy Factsheet ($599.68) so Sudeep would receive a payment of $47.50 ($647.18 - $599.68) to bring their quarterly bill in line with our quarterly bill guarantee rates.
Example 2 - Customer with solar and a battery
Michelle lives in the same area as Sudeep. However, her energy usage from the grid is much lower than Sudeep’s (300 kWh to his 1,250 kWh) and Michelle’s household has solar and a battery, allowing her to store excess solar energy and export it back to the grid at peak times when the price is higher. Over the quarter Michelle has exported 1,000 kWh to the grid at an average wholesale feed-in-tariff of 12.0¢/kWh. Having a battery means Michelle can avoid using energy from the grid when the prices are highest, but her average wholesale usage price is still 37¢/kWh.
Michelle’s quarterly bill with Amber is calculated as follows:
= ⚡️ Usage charges + 📆 Daily supply charges + 💳 Subscription fees
= (⚡️ 300 kWh x 37.0¢/kWh) + (📆 $0.947/day x 91 days) + (💳 $22/mth x 3 mths)
= ⚡️ $185.00 + 📆 $86.18 + 💳 $66.00
= 🧾 $337.18
Michelle has also earned money from her solar feed in:
= ☀️ 1,000 kWh x 12.0¢/kWh
=☀️ $120.00
So Michelle’s total bill is her usage - solar feed-in, for a total of $217.18
Now let’s compare this with Amber’s guarantee:
At the end of the quarter we compare Michelle’s quarterly bill to what it would have been on the prices outlined in their applicable Energy Factsheet. The daily supply charge for Michelle’s energy plan with Amber is 94.7¢ and the maximum average usage charge is 35.8¢/kWh (example rate, this changes quarterly).
Michelle’s quarterly bill guarantee is calculated like this:
= ⚡️ Factsheet usage charges + 📆 Factsheet daily supply charges + 💳 Subscription fees
= (⚡️ 300 kWh x 35.8¢/kWh) + (📆 $0.947/day x 365 days) + (💳 $22/mth x 12 mths)
= ⚡️ $107.40 + 📆 $86.18 + 💳 $66.00
= 🧾 $259.58
Based solely on usage, Michelle would receive a payment of $77.60 ($337.18 - $259.58) to bring her quarterly bill in line with our quarterly bill guarantee rates.
However, Michelle has also earned more than the expected amount (3.3c/kWh) from her solar, so her additional earnings here would offset the guarantee.
Expected solar earned
☀️ 1,000 kWh x 3.3¢/kWh
=☀️ $33.00
So Michelle’s total guarantee is her guarantee usage - guarantee solar feed-in, for a total of $226.58
Michelle has actually ended up benefiting from higher prices through really high solar FiT ($87 more than the expected level). Taking solar into account, Michelle’s quarterly bill at the end of the quarter ($217.18) was lower than it would have been on the prices quoted in her applicable Energy Factsheet ($226.58) so Michelle would not be eligible for a payout as she is better off than our quarterly bill guarantee rates.
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