Radian Energy Not Processing/Honouring Contracts for Customers That Signed up before They Blocked Sign-Ups

rossgeller on 09/06/2022 - 18:11
Last edited 10/06/2022 - 16:45

Edit: I didn’t post this to sound like a whinger, I just wanted to share and see if other people had had a similar experience trying to find a better energy deal.

Radian, who sent me a energy contract after I applied to switch to on the 25th may, have didnt to actually switch me onto their plan. They told me on the phone 2 weeks later, when I called them to check, that they had intentionally not processed any their new customers they had sent contracts to recently, because of the wholesale price and what it would cost them vs the rate on the contract. This was days before they stopped taking on new customers and days before ReAmped asked there customers to buzz-off.

If you have issues with your energy supplier I suggest you contact your state energy ombudsman.

I would like to hear from anyone else who have been dealing with them. PM

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Comments

  • dtc on 09/06/2022 - 18:30
    +1

    Its not a contract until Radian have agreed to it. Its an invitation to treat. Until Radian came back and confirmed (or in your case, didnt confirm) then no contract was created.

    Does that help you? No. Its just where you are legally. Its not legally dodgy. Maybe morally.

    • rossgeller on 09/06/2022 - 18:39

      They did, they sent me a email welcome pack with the terms and rates. I have a account number and online login. I wouldn’t post this if I had any doubts. This sign up was over 10 days ago.

      Here’s an except.

      Thank you for choosing Radian Energy for your electricity supply.

      Attached you will find everything you need to know about Radian Energy and the Energy Plan you have chosen, including:

      Your welcome letter, your Energy Plan details (including your Offer Summary).
      Your General Terms, Product Disclosure Statement, Fee Schedule and cooling off notice.
      We suggest you save a copy of these documents in a secure place for future reference as they include details relating to your agreement with Radian Energy.

      • dtc on 09/06/2022 - 21:25
        +1

        Ok, that does sound like acceptance. Can probably justify a complaint at least, maybe they get a fine or a slap. Probably won’t get you much/anything but you never know.

  • Luo18740 on 09/06/2022 - 18:46

    Perhaps they have exercised the 10 Business day cooling-off period.

    • rossgeller on 09/06/2022 - 19:02

      I considered that, but surely that’s for consumer protection, and only applies for the customer. After all wasn’t that introduced to combat pushy door-to-door sales? If it does work both ways, they gotta call me, just like I would have to call then if I wanted to exercise it. I wouldn’t get away with changing my mind and not telling them expecting them to know.

      • Luo18740 on 09/06/2022 - 19:07

        I was only being half serious. But I guess somewhere in the documents they sent you there is a get out clause they have used.

        You said you spoke to them, so you must have called them. Perhaps you could have asked them to explain it in more detail?

        • rossgeller on 09/06/2022 - 19:29

          Thanks, they were very vague and unsure, and and didn’t explain how they had were allowed not to honour the contract, even though I asked and said I suspect they weren’t considering my consumer rights. If they were sure they were allowed to, I would have expected much stronger, clear language from them, directing me to the terms.

          They asked if I wanted to be have the contact processed starting when I signed up, I just said, “well yeah up until now I’ve assumed I was a already your customer until you go bust or I leave”. It’s a bit unusual to have to clarify that.

          They did say they are unsure about the future of their company though, and apologised that they “did me wrong”.

          • Luo18740 on 09/06/2022 - 19:36

            @rossgeller: They may have sounded vague, but the reason they have not processed your transfer is because their wholesale rates have increased and they would lose money if they honoured those rates. It won't just be you, it will be everyone who tried to join them after a certain date.

            What consumer rights do you think you have in this case, by the way?

            • rossgeller on 09/06/2022 - 19:46

              @Luo18740: My biggest gripe is that I wasn’t kept updated and they didn’t follow the rules of informing the NER? Energex? that i had switched. If they had, i would not be paying the higher ReAmped rates for the last few weeks, so I am a little bit out of pocket.

              I have the right to expect a business to honour a contract, And if they want to break the contract they should do it in the proper way, not just ghost.

              The breif reading of the rules of retailers I’ve seen online make it seem like they aren’t “acting correctly”.

              Idk 🤷‍♂️ I’m just dissapointed

              • Luo18740 on 09/06/2022 - 20:24

                @rossgeller: Which page of that 186 page document makes you think that? I mean, I've definitely read all of it, I just want to make sure you have as well.

                Bottom line is if they offer those rates to all the people who want them, they will go broke and you'd be searching for a new retailer anyway. Just move on.

                • rossgeller on 09/06/2022 - 20:44

                  @Luo18740: That pdf is just a quick Google search. But it does say a retailer is responsive to report a new customer to the distributor within a short time, in section 19. Doesn’t mention that they can not do it if they are going to lose money.

                  The retailer must, as soon as practicable (but not later than the end of the next business day) after the request for the sale of energy is properly made (as referred to in subrule (3)):
                  (a) if the premises are energised, forward relevant details of the customer to the distributor for the premises concerned, for the purpose of updating the distributor's records; or
                  Note
                  This paragraph is classified as a tier 1 civil penalty provision under the National Energy Retail Regulations. (See clause 6 and Schedule 1 of the National Energy Retail Regulations.)
                  (b) if the premises are not energised, arrange for the energisation of the premises by the distributor or the metering coordinator (if permitted in accordance with energy laws).
                  Note
                  This paragraph is classified as a tier 1 civil penalty provision under the National Energy Retail Regulations. (See clause 6 and Schedule 1 of the National Energy Retail Regulations.)
                  A request for the sale of energy is properly made when:
                  (a) the request has been received by the retailer; and
                  (b) the small customer has complied with the requirements under rule 18(3); and
                  (c) the small customer is otherwise entitled to receive the sale of energy in accordance with the standard retail contract.

                  So if they didn’t do this, isn’t that “incorrect"? They did tell me that they intentionally and purposefully didn't do this because of the wholesale prices.

                  Radian should honour the contract until they are unable to or cease trading. (Or if I choose another - and I already have) At which point ild be transferred to the retailer of last resort, Origin.

                  Ghosting customers only punishes customers. There are probably customers more naive than me who will end up staying paying ReAmped, for example, because radian didn’t do what they have to do as a energy retailer. It’s not up to radian to decide to do these things, that’s clearly part of the rules and regulations set by things like the AER.

                  We don’t have laws and consumer protections for the fun of it. They might just be going to go broke, they took a risk and lost. But they can’t just do as they please on the way out. - don’t forget, they published those rates and terms, i certainly didn’t propose them to radian.

                  Do you think we should tolerate these kind of business practices? Regardless of the circumstances in the market they trade, all businesses should act fairly or face consequences. It’s not enough to act fairly up until a crisis, and then make your own rules, their obligations don’t change.

                  • Luo18740 on 09/06/2022 - 21:48

                    @rossgeller:

                    Radian should honour the contract until they are unable to

                    I think that is what they have done. I am also confused about your timeline here. Did you first contact Radian on May 25? If so, perhaps they made a mistake in not withdrawing that offer earlier as it was well known by then that prices were about to rise substantially.

                    We don’t have laws and consumer protections for the fun of it.

                    You seem to be under the impression that contracts for essential services are governed by the same rules as consumer purchases of goods. I am quite confident that Radian have acted in accordance with the relevant laws governing electricity retailers.

                    • rossgeller on 09/06/2022 - 22:08

                      @Luo18740: It was on energy made easy and their website , it wasn't until a few days after reamped asked people to leave did they stop intake of new customers. IE I signed up a week before it was plainly obvious there was trouble coming.

                      These are your opinions, and I disagree, just as you are disagreeing with mine that I am sharing here.

                      The PDF I posted wasn't about consumer goods, and they didn't act as outlined there. And I'm sure just like rate increase notices are described and require certain information , nullifying a energy contract requires specific wording. I got none.

                      Further

                      Formation of standard retail contract
                      (1) A designated retailer’s form of standard retail contract takes effect as a contract between the retailer and a small customer when the customer—
                      (a) requests the provision of customer retail services at premises under the retailer’s standing offer; and
                      (b) complies with the requirements specified in the Rules as pre-conditions to the formation of standard retail contracts.
                      (2) A designated retailer cannot decline to enter into a standard retail contract if the customer makes the request and complies with the requirements referred to in subsection (1).
                      Obligation to comply with standard retail contract
                      A designated retailer must comply with the obligations imposed on the retailer under the terms and conditions of a standard retail contract between the retailer and a small customer.

                      I don't doubt radian have extordanary circumstances to deal with. But it's plain to me they haven't met many of their obligations to me and others like me.

  • CyberMurning on 09/06/2022 - 19:01
    +1

    Bikies

    • rossgeller on 09/06/2022 - 19:04

      Is it possible someone is buying all the kWh to scalp on Facebook marketplace?

  • Drakesy on 09/06/2022 - 19:06
    +3

    Move on and find a new one, yeah it's crap but the industry is rapidly changing with companies actively discouraging their customers from signing up.

    • rossgeller on 09/06/2022 - 19:18

      Thanks, I since have, but am still burned that they are being “extraordinary” in the way they are trying to stay trading.

  • deme on 09/06/2022 - 19:31
    -5

    k

  • orangetrain on 09/06/2022 - 20:10
    +2

    Good luck. Keep pressure on them with ACCC, AER, etc, otherwise they'll think you're easy to reject. But also be aware that they're hoping the "damages" of ignoring you is too little for a lawsuit.

    • rossgeller on 09/06/2022 - 20:50
      +1

      Thanks, I switched to a big, power generation asset owning company, and now all I want from Radian is a bill for the few weeks I was with them. Even though they might like to pretend I wasn’t with them.

      • Luo18740 on 09/06/2022 - 21:35

        I thought you wanted them to honour the rates for the whole 12 months, now you just want a bill for a few weeks?

        And if they never switched you over, like it or not they are not just pretending.

        • rossgeller on 09/06/2022 - 21:47
          +2

          When did I say I wanted the whole 12 months? I wanted and still want them to honour their contact, which means they honour the contract until the point they are unable to because they cease trading or aren't permitted to sell power. I had and have the right to leave. I was there customer whether they like it or not.

          They were my electricity provider for these weeks as I did my part. You and them can't decide I wasn't. Like I said:

          Regardless of the circumstances in the market they trade, all businesses should act fairly or face consequences. It’s not enough to act fairly up until a crisis, and then make your own rules, their obligations don’t change.

          When I say act fairly, I also mean act as they are obligated to by law and regulations.

          Thanks for your frank opinions.

  • Love a bargain on 10/06/2022 - 14:56

    My 2 cents:
    A. Setting up an account doesn't mean you've been switched across. If you have an old meter (one that has to be read by a technician on site), the service is usually switched over on the meter reading day (or else you'll have to pay extra to have the meter read out of cycle). Have you nominated a switch over date when you signed up? (I know some energy companies allow that and some don't.) Might be a moot point if you've a smart meter.

    B. Accounts can be switched over retrospectively. We have an old meter and it was last read early May. After the whole ReAmped saga broke out, we switched to Energy Australia and was told that our account would be switched from our last meter reading date even though that's before we signed up.

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