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Traditional energy arrangements

Most customers buy energy directly from a licensed retailer.

View the list of current retailers.

This energy is supplied directly to customers by local distribution businesses through the ‘poles and wires’ network for electricity or via underground pipelines for gas. Customers have an individual meter at their premises which is owned and maintained by their local distributor.

Find your energy distributor

Licensed retailers and distributors are legally obligated to:

Overview of embedded networks

Embedded network graphic
Download Overview of embedded networks

An embedded network is a private network providing energy to multiple lots or tenancies within the one property. It is connected to the local distributor’s electricity grid or gas pipelines through a “parent meter”. This measures the energy supplied for everyone at that location on the one connection point. Generally, the embedded network operator buys energy in bulk from a licensed retailer then supplies and sells it to customers within the embedded network.

The energy used by individual customers is commonly measured by a “child meter”. In some gas embedded networks, a customer’s consumption might not be individually measured. These are considered “unmetered connection points”. What customers are charged in these unmetered gas embedded networks can be evenly spread across all customers at the property.

The operator of the embedded network may be the property owner (or owners’ corporation) or a third party. Third parties can operate the embedded network, or act as an agent. Often customers in an embedded network will receive bills or letters about the embedded network from the third party. Some of the larger agents are WINConnect, Energy On, Active Utilities, ENSA, Energy Intelligence, SUPA Energy, Network Energy Services and Seene. If you receive bills from any of these companies, you’re in an embedded network.

Examples of embedded networks

Embedded networks are commonly found in:

  • apartment buildings
  • retirement villages
  • caravan and long stay parks
  • shopping centres
  • office blocks
  • industrial parks
  • university and health campuses
  • airports

Embedded networks are common in these types of developments. However, sometimes these developments may be built with direct energy connections between the local distributor’s electricity grid or gas pipelines and the individual lots in those developments. If this is the case, you are not in an embedded network and your energy provider is most likely a licensed retailer. However, some licensed retailers, such as Origin Energy, also operate embedded networks. If you are unable to switch energy providers, you are in an embedded network. You should contact your energy provider to understand what arrangements apply to you.

Consumer protections for embedded network customers

Embedded networks have benefits like cost savings and hosting innovative sustainable technologies. Since 2017, the Victorian government has improved protections for embedded network customers. These include:

  • capping electricity prices in embedded networks at the Victorian Default Offer; and
  • enabling access to EWOV’s free and independent dispute resolution services.

Other customer protections also apply to embedded networks. This includes the Energy Retail Code of Practice, the Electricity Distribution Code of Practice and the Gas Distribution Code of Practice. Customer protections include ensuring customers:

  • requiring life support are registered by their energy providers
  • having difficulty with their bills receive payment difficulty assistance
  • receive billing alerts and best offer notifications
  • have access to quality, reliable and safe energy supply
  • receive interruption notices where their supply is interrupted

However, embedded network customers do not yet have all the same protections as customers who buy energy directly from licensed retailers. The Victorian Government is working on implementing recommendations from the Embedded Networks Review. See the last section of this page for more information.

Electricity embedded networks

The General Exemption Order 2022 (GEO 2022) lets embedded networks sell and supply electricity without a licence. The GEO 2022 has rules for electricity embedded networks, along with the Energy Retail and Electricity Distribution Codes of Practice. Since 1 January 2023, new embedded networks with ten or more residential customers are not allowed unless they meet a renewable energy condition. This condition requires all of the residential energy used on-site to be renewable, with 5 percent of it generated on-site.

View the following fact sheets for more information:

Electricity embedded networks also have obligations under the Electricity Safety Act 1998. Electricity embedded network operators must operate their networks according to safety standards. Please visit Energy Safe Victoria’s for more information.

You can find out who your electricity embedded operator is by visiting the ESC’s Register of Exempt Persons.

Gas embedded networks

The Gas Embedded Networks General Exemption Order 2025 (GEO 2025) allows legacy gas embedded networks to supply gas without needing a licence. Only gas embedded networks operating on or before 25 February 2025 are exempt under the GEO 2025. Along with the Gas Distribution Code of Practice, the GEO 2025 has other rules for gas embedded networks, including abolishment and reporting obligations. Gas embedded networks starting after 25 February 2025 must get a licence to supply gas or change their setup to follow the rules, abolishment and reporting obligations. Gas embedded networks starting after 25 February 2025 must get a licence to supply gas or change their setup to follow the rules.

The GEO 2025 only applies to gas supply and will end on 30 June 2031. After that, embedded network operators must get a licence or apply for an exemption. If not, they will need to arrange for a licensed gas distribution company to supply gas to the lots in the embedded network.
A licence is required for anyone selling gas in an embedded network.

Gas embedded networks also have obligations under the Gas Safety Act 1997. Gas embedded network operators must operate their networks according to safety standards.

Embedded network reforms

In 2018, the Victorian Government announced an election commitment to ban embedded networks in new residential apartment buildings, allowing limited exceptions. This was in response to concerns that embedded network customers:

  • pay higher prices
  • have fewer consumer protections
  • have difficulty accessing renewable energy; and
  • face barriers to choosing their own retailer to access better offers.

After an extensive 18-month review, the Expert Panel leading the Embedded Networks Review published a set of recommendations to the Victorian Government about how to implement its election commitment. The Expert Panel also recommended other reforms to improve outcomes for all customers in embedded networks. The Victorian Government’s formal response to the review, supporting all the recommendations, was published in July 2022.


You can read more about the review and proposed reforms:

Page last updated: 28/02/25