❓ WA parliamentary question regarding billing issues with Synergy's SAP system implementation affecting local government street lighting accounts. The Minister acknowledges the problem, outlines the timeline, and discusses ongoing negotiations with WALGA for a resolution.
AnsweredQoN 7536Legislative Assembly
QuestionView source ↗
(1) How many local government authorities have been issued with supplementary bills, additional bills, or other requests for payment for street lighting in respect of data issues with the implementation of the Synergy SAP system, and will the Minister provide the names of each of these authorities, and the amounts claimed by Synergy for each authority; and
(a) how many local government authorities have agreed to pay any such amount, and will the Minister provide the names of each of these authorities, and the amounts agreed to be paid to Synergy for each authority.
(b) how many local government authorities are still in discussions with Synergy regarding such claimed amounts, and will the Minister provide the names of each of these authorities, and the amounts claimed by Synergy for each authority;
(c) are there any local government authorities that Synergy has agreed to waive or adjust the amount originally claimed by Synergy, and will the Minister provide the names of each of these authorities, and the amounts waived by Synergy for each authority;
(2) As the Minister for Energy has not issued any media release regarding these issues, is it the intention of the Minister to make no public comment on this issue?
(3) Is the Minister satisfied with the performance of Synergy in regard to this matter?
(4) When did Synergy management first become aware of this problem?
(5) Is the Synergy SAP system that has caused these issues the same system the Minister announced on 2 April 2009 that he had personally developed a five point plan with the board and management of Synergy to ensure Western Australians would receive a world-class customer care and billing platform?
(a) how many local government authorities have agreed to pay any such amount, and will the Minister provide the names of each of these authorities, and the amounts agreed to be paid to Synergy for each authority.
(b) how many local government authorities are still in discussions with Synergy regarding such claimed amounts, and will the Minister provide the names of each of these authorities, and the amounts claimed by Synergy for each authority;
(c) are there any local government authorities that Synergy has agreed to waive or adjust the amount originally claimed by Synergy, and will the Minister provide the names of each of these authorities, and the amounts waived by Synergy for each authority;
(2) As the Minister for Energy has not issued any media release regarding these issues, is it the intention of the Minister to make no public comment on this issue?
(3) Is the Minister satisfied with the performance of Synergy in regard to this matter?
(4) When did Synergy management first become aware of this problem?
(5) Is the Synergy SAP system that has caused these issues the same system the Minister announced on 2 April 2009 that he had personally developed a five point plan with the board and management of Synergy to ensure Western Australians would receive a world-class customer care and billing platform?
AnswerView source ↗
Answered
2 May 2012
Responded by
Minister representing the Minister for Energy
Response time
42 days
1) All street lighting accounts within the SWIS were impacted by the implementation of SAP. The issue affected the processing of monthly updated file information from Western Power. To ensure customers could continue to make payments for street lights, bills were issued to customers on the standard monthly basis, based on the recorded August 2009 street lighting asset information for each customer. Councils were formally advised in January 2011 that this was occurring to ensure councils could accrue for any additional impact (eg: street lighting growth or reduction) that occurred during this period.
This issue was resolved in December 2011, and all invoices from January 2012 are based on the monthly file information received from Western Power. Synergy engaged WALGA during November 2011, to raise the issue of reconciling past bills for affected councils and discuss an approach that would help manage the impact to councils. WALGA and Synergy have continued to discuss the issue and communicate to affected councils since this time. To date, no bills have been reissued to councils. However, all councils have been advised of the likely financial impact, and WALGA are currently negotiating a repayment solution on behalf of all councils.
a) Synergy has been working with WALGA, who are representing all affected local councils, to determine a suitable repayment agreement. At present, WALGA is seeking formal acceptance of the proposed repayment solution from the councils impacted. To date no formal acceptance has been received by Synergy.
b) WALGA is currently negotiating on behalf of the councils within the SWIS. Information on which councils operate within the SWIS is publicly available.
c) As a gesture of goodwill, Synergy has agreed to waive 3 months of owed funds for each council. This offer is yet to be formally accepted by any of the councils.
2) I formally commented on this issue in the West Australian on the 5th December 2011.
3) I have expressed my disappointment with Synergy's billing system, which was approved for implementation by the previous government. However, I am satisfied with the manner in which Synergy has worked with WALGA to address the issue.
4) September/October 2009. The slight difference in street lighting asset information recorded at this time meant that the financial impact was minimal, and other, more pressing issues were prioritised. The significant growth in street lighting that has occurred in a small number of growth councils since this time has resulted in the significance of the amount owed.
5) My five point plan was in relation to the specific manner in which some of the activities relating to the SAP billing system were to be performed by Synergy, and did not relate to the receipt of the billing system which was approved as part of Synergy's Business Transformation project which commenced in 2007, and was approved by the previous government.
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This issue was resolved in December 2011, and all invoices from January 2012 are based on the monthly file information received from Western Power. Synergy engaged WALGA during November 2011, to raise the issue of reconciling past bills for affected councils and discuss an approach that would help manage the impact to councils. WALGA and Synergy have continued to discuss the issue and communicate to affected councils since this time. To date, no bills have been reissued to councils. However, all councils have been advised of the likely financial impact, and WALGA are currently negotiating a repayment solution on behalf of all councils.
a) Synergy has been working with WALGA, who are representing all affected local councils, to determine a suitable repayment agreement. At present, WALGA is seeking formal acceptance of the proposed repayment solution from the councils impacted. To date no formal acceptance has been received by Synergy.
b) WALGA is currently negotiating on behalf of the councils within the SWIS. Information on which councils operate within the SWIS is publicly available.
c) As a gesture of goodwill, Synergy has agreed to waive 3 months of owed funds for each council. This offer is yet to be formally accepted by any of the councils.
2) I formally commented on this issue in the West Australian on the 5th December 2011.
3) I have expressed my disappointment with Synergy's billing system, which was approved for implementation by the previous government. However, I am satisfied with the manner in which Synergy has worked with WALGA to address the issue.
4) September/October 2009. The slight difference in street lighting asset information recorded at this time meant that the financial impact was minimal, and other, more pressing issues were prioritised. The significant growth in street lighting that has occurred in a small number of growth councils since this time has resulted in the significance of the amount owed.
5) My five point plan was in relation to the specific manner in which some of the activities relating to the SAP billing system were to be performed by Synergy, and did not relate to the receipt of the billing system which was approved as part of Synergy's Business Transformation project which commenced in 2007, and was approved by the previous government.
Notice: This document is created or edited using unregistered or evaluation copy of rtLib valid for testing or development purposes only. To use it for productive or any other purposes please register it. You may purchase the license on
http://www.rtlib.com
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