A WA parliamentary question on notice addresses issues with Synergy's new billing system, including late bills, system costs, and associated financial impacts. The Minister provides some answers and estimates, but defers on others.

AnsweredQoN 78Legislative Council
Asked
30 March 2010
Portfolio
Energy

QuestionView source ↗

SYNERGY — NEW BILLING SYSTEM
I refer to Synergy’s new billing system (1) Since the commencement of the new billing system, how many residential customers have been affected by receiving their accounts late? (2) How many customers are continuing to receive their accounts late or not at all? (3) What was the cost of the new billing system? (4) What has been the cost of the new billing system’s faults through — (a) lost revenue, interest or otherwise from the late payment of bills that were sent late; and (b) extra resourcing to fix the problem and to respond to customer complaints? Hon PETER COLLIER

AnswerView source ↗

I thank the honourable member for some notice of the question. This answer is valid as at 3 March. (1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(1) Since the commencement of the new billing system, how many residential customers have been affected by receiving their accounts late? (2) How many customers are continuing to receive their accounts late or not at all? (3) What was the cost of the new billing system? (4) What has been the cost of the new billing system’s faults through — (a) lost revenue, interest or otherwise from the late payment of bills that were sent late; and (b) extra resourcing to fix the problem and to respond to customer complaints? Hon PETER COLLIER replied: I thank the honourable member for some notice of the question. This answer is valid as at 3 March. (1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(2) How many customers are continuing to receive their accounts late or not at all? (3) What was the cost of the new billing system? (4) What has been the cost of the new billing system’s faults through — (a) lost revenue, interest or otherwise from the late payment of bills that were sent late; and (b) extra resourcing to fix the problem and to respond to customer complaints? Hon PETER COLLIER replied: I thank the honourable member for some notice of the question. This answer is valid as at 3 March. (1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(3) What was the cost of the new billing system? (4) What has been the cost of the new billing system’s faults through — (a) lost revenue, interest or otherwise from the late payment of bills that were sent late; and (b) extra resourcing to fix the problem and to respond to customer complaints? Hon PETER COLLIER replied: I thank the honourable member for some notice of the question. This answer is valid as at 3 March. (1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(4) What has been the cost of the new billing system’s faults through — (a) lost revenue, interest or otherwise from the late payment of bills that were sent late; and (b) extra resourcing to fix the problem and to respond to customer complaints? Hon PETER COLLIER replied: I thank the honourable member for some notice of the question. This answer is valid as at 3 March. (1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(b) extra resourcing to fix the problem and to respond to customer complaints?
I thank the honourable member for some notice of the question. This answer is valid as at 3 March. (1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(1) Synergy received section 68 approval to implement this new billing system in 2007. Synergy is in the process of generating a report to identify this number, and I will table the answer as soon as it is available. It should be noted that Synergy has sent in excess of 2.5 million bills since the implementation of its new billing system. (2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(2) At 1 March 2010, 9 730 identified customers were affected. (3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(3) In 2007, Synergy commenced the implementation of a new business transformation program that included the redesign of business processes and training, the creation of a new organisational structure based on new roles and positions and the implementation of a new technology system. The capital cost of the new billing system was $38.4 million as part of the wider transformation program. (4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.
(4) (a) It would require undue resources, if not be impossible, for Synergy to provide an accurate figure in response to this question; however, as an estimate, Synergy is confident these costs are below $750 000. (b) Synergy anticipated it would require extra resources in the lead-up to and after implementation of its new billing system. This was to accommodate training required before implementation and in anticipation of backlogs and early system issues following implementation and increased average handling times while staff became accustomed to the new system and processes. The additional resourcing is approximately $165 000 a month and is accommodated within the existing operational budget.

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