How Is That Fair/Legal if You Live in an Apartment Building, You Can Only Get The Gas Supplier That The Building Is Locked to?

I was told that I can only get xxx gas company when I moved in couple of years ago. Looking at my bills recently, I am starting to think if that's really fair. There are other companies that give much better rates than my current one. I have the flexibility to change my Internet/Electricity companies, so why not gas?

I do understand that multiple companies can provide internet and electricity through same cables, but gas is a physical substance that needs to be transferred through pipes.

How does it work for switching gas for normal households? Do they disconnect your pipeline from current provider, and connect to their service? (not physically, but probably some switches?)

Internet I understand, my modem knows which company to connect to, and filter out the rest (assuming it's all being shared on same cable?). I could be wrong as last time NBN guy had to come and fix some issues by looking at building cables, not located in my apartment.

Electricity Meter, I really don't understand. I wouldn't think there is a different cable for each apartment… I would assume one big cable connecting to my whole building, and every company feeding to it, and then they read the meter and decide how much to bill you, even if I could be using electricity from a company my neighbour is using, and my neighbour could be using mine?

Why can't the same be done for Gas?

I really need to read and understand the way our infrastructure works.

I still think it's not fair I can't switch Gas.

Poll Options

  • 12
    I live/lived in an apartment and I can/could switch my Gas company
  • 19
    I live/lived in an apartment and I can't/couldn't switch my Gas company
  • 1
    I live/lived in an apartment and I don't know if I could switch my Gas company. I never tried.
  • 8
    I don't live or ever lived in an apartment, but I need to click on an option

Comments

  • Looks like you need to do more research on how gas is supplied in your building/city based on the details in the post.

  • Have you called another gas provider and see what they tell you?

    • +1

      Yes. My electricity company called me to switch gas with them and get a cheaper combined bundle. I mentioned that when I moved, I was told I couldn't switch my gas provider, and they knew what it meant. "Oh, you live in a building with embedded network. Alright, no worries."

  • Possibly specific to your particular complex. Have lived in several units in Sydney and have been able to choose any gas and electricity suppliers within the network. Am aware that some have embedded energy networks that may limit or preclude choice.

    • Thanks. I am located in Melbourne. I think you are correct, it may be specific to my complex.

  • +6

    Developer got kickback because gas companies profit off you.

    Most likely that the regulation was removed to make prices lower.

  • +1

    We have an embedded hot water service with Origin and can't switch to another provider, which sucks. I suspect we are all overpaying to some degree but there doesn't seem to be any way around this.

    The only gas in the apartments is for the cooktop, which is paid for by the body corporate. Looking at the AGM financials the cost is minimal relative to everything else.

  • +6

    Further joys of apartment living.

  • +1

    Cause developers are a***holes

  • Meters are being locked doors
    Strata only want to give keys to one company

  • +4

    I had a friend renting an apartment in an embedded network who wasn’t told when he signed the lease and then somehow managed to negotiate a rent reduction by proving how much cheaper his bills would have been had he been able to choose.

  • +1

    Yep embedded networks. Sold under the guise of better pricing because the entire building can 'bargain' their combined usage to get better rates, as well as a big kickback to the developer. Ultimately they really in increased prices because of no competition. Should be illegal imo, but it isn't.

    In regards to infrastructure, changing retailer results in no physical change to any equipment, it's purely a logical change in who bills you. The difference in your apartment is that there is a second network behind the feed coming in from the street that is owned by your current retailer, and that is why you are unable to switch to anyone else

  • +5

    Should be illegal

  • +1

    Cancel your gas and go all electric. That will mean you don't have to pay for the gas supply charge, or the inflated bills of the embedded network and be better for the environment.

    • My 'Gas' and 'Hot water bill' are combined. If I cancel my Gas, it also means I have to wash dishes and have showers in cold water. If I go electric, I have to also change the whole cooking equipment, but I am renting so it doesn't seem to be a good option.

      • If you owned the apartment you could change the hot water system to electric. But if you are renting I wouldn't worry about it (in terms of the unfairness of not being able to change providers), the extra you're paying in bills will probably only be a few hundred at most over a year or two and then you'll be living in a different place.

  • I live in an apartment block and can't choose the gas supplier too. But gas supply and usage is included in the quarterly strata already, so I've never actually seen a bill before.

  • Ha… Try living in the majority of WA.

    You can choose Synergy, or Synergy, up to you…

    • -1

      Not for gas though, we can choose gas.

  • +1

    My apartment was built in Dec. 2020 in Melbourne and has Origin energy as electricity provider, they have set-up the embedded network for electricity and I have no choice but to stick with them for life of the apartment.

    Out of context but posting just for FYI: The same is the case with Internet as well in most of the new apartment building in Melbourne. They are tied for life to this lightningbroadband.com.au internet provider. The residents in the apartment have no choice but to sign-up with them if they need a wired internet connection in the apartment. I complained regarding this to ACCC that this is a monopolist practice but they didn’t do anything.

    The fuc**** developers/builder sleep in the bed with such businesses as they provide the infrastructure for the apartment complex for free. The cost of which is paid by the residents for life.

    • Additional notes regarding Lighting broadband:
      A one-off $300 new development fee may apply on the initial connection of a property and will be confirmed upon sign-up.

      Meaning:
      Every apartment owner has to pay this fee once. Subsequent residents in the same apartment need not pay when they sign up with their own name.

    • +1

      Oh what? I have heard about Gas and Electricity, but never about internet.. that should be downright illegal.

      • If Gas & Electricity is legal, why not Internet. ACCC is a puppet to Developers/Builders in AU.

    • You forgot how the developers also set up a strata management company on a long contract with guaranteed yearly fee increases for the building they have developed.

  • Gas & electricity suppliers don't change. Retailers do.

Login or Join to leave a comment