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Origin Hot Water Heating Explained

Most apartment dwellers have what’s called ‘centralised’ or ‘bulk’ hot water, which means you cop an extra bill for hot water usage. The supplier of your hot water is chosen by the body corporate or management, which in the vast majority of cases is Origin Energy – one of Australia’s largest integrated energy retailers. In this article, Canstar Blue explores everything you need to know about Origin Energy’s hot water service. We also dissect an Origin hot water bill to highlight the key parts that you should be aware of.

What is Bulk Hot Water?

Bulk hot water is an arrangement whereby residents in a multi-tenant complex share one large hot water system – usually powered by natural gas. The body corporate is in charge of finding a bulk hot water supplier, and this bulk provider is in charge of hot water maintenance, meter monitoring and customer billing. Each residence has its own hot water meter, meaning customers are only billed for their own water usage – not the usage of their neighbours.

Origin is by far Australia’s largest provider of bulk hot water services. While there are some smaller retailers in the market, if you’re unsure of who your hot water company is, it’s a safe bet that you’re with Origin.

Origin Energy Hot Water Services

Origin Energy offers a range of hot water services for houses, townhouses, units and apartments. As mentioned, Origin Energy is responsible for reading apartment customers’ water meters and issuing their bill – usually once every three months or so. Your hot water bill is separate to your electricity or natural gas bill, however those bills do not factor in the energy required to heat up water and prevent being double-charged.

Origin Energy is one of Australia’s largest sellers and installers of hot water systems. Its website promotes leading brands of gas and electric hot water systems, including Aquamax, Dux, Rheem, Bosch and Rinnai systems. It also has a rapid repair service in NSW, Victoria, SA and southeast Queensland. This is a 24/7 emergency hot water service that ensures a plumber will attend the property within two hours to resolve the issue.

Origin Hot Water Bills

If you have never lived in an apartment before hot water bills might seem to be foreign. Fortunately, Origin Energy bills are pretty straightforward once you understand what to look for. Below we have a sample Origin hot water bill from an apartment resident. Underneath the image is an explanation of the bill corresponding with each of the numbered components.

origin-bill

Origin Hot Water Bills Explained

  1. This part of the bill is what most of us look at first. It provides basic information about when your bill is due and how much it will cost you. Take note of the $12 late fee if you don’t pay by the due date.
  2. This part details your supply information, including your product and supply address. It is a good idea to check this part to make sure you receive the right bill.
  3. This part summarises the balance of your bill. The ‘previous balance’ heading refers to your last bill. This particular customer paid their previous bill in full, so there is nothing carried forward to the next period. The ‘your new charges’ section refers to the current bill. This is summed up under the heading ‘total amount due’.
  4. This part breaks down any recent payments. This customer’s last payment was $148 for the previous bill.
  5. Any additional charges are listed in this part of the bill. This customer was charged a 50c card payment fee, plus 5c GST.
  6. This section explains bill details and how Origin Energy calculates the amount due. The ‘previous read’ column indicates hot water usage figures at the end of your last billing period. The ‘current read’ column indicates your most recent reading for this billing period. Note that the ‘(A)’ means that someone actually read your meter, as opposed to someone estimating your usage. The difference between your previous read and your current read is the volume of water consumed, in this case, 607 dl. This figure is multiplied by 10 to convert the figure from deciliters (dl) to litres (Lt). As we can see, this customer used 6,070 litres of water over the most recent period.
  7. This is the tariff breakdown of your bill. Gas hot water customers are usually charged on a ‘block rate tariff’ for their usage. In this case, the customer paid 3.139 c/Lt for the first 1,801 litres and 1.654 c/Lt for the rest of their water usage. This is in addition to a daily supply charge of 31.301 cents per day. When you add up each of these costs over the 90-day period, this customer’s hot water usage cost them $155.31. After factoring in GST, the grand total came to $170.84.
  8. This column provides everything you need to get in touch with Origin Energy. These services are free, so don’t hesitate to contact Origin if you have any concerns or queries about your bill.

Can I switch bulk hot water providers?

No, generally you are unable to switch hot water providers if you live in an apartment. Since you share your hot water system with other residents, it is up to the body corporate to select a bulk hot water provider. If you have issues with Origin or another hot water supplier, raise it with your body corporate and they may be able to assist.

Origin Energy Hot Water Prices

Most centralised hot water systems use natural gas. Natural gas hot water systems are generally much cheaper to run than their electric counterparts, costing customers only a few cents per megajoule of gas. You are also billed a ‘supply charge’, which is a daily fixed fee that is designed to reflect the cost of transporting gas to your property for water heating. The exact rates you pay will vary depending on location and the deal your building manager made with Origin.

Is Origin hot water a good deal?

Centralised hot water is a very convenient arrangement – all hot water needs are sorted and you are not required to lift a finger. However, the downside is having no say about who supplies hot water. There is no definitive way to tell if Origin offers a good deal because no competitor exists. If your apartment has signed up to Origin and you are adamant about shopping around, your only option may be to move out. Some state and territory governments are considering ways to improve utilities competition for multi-tenant residences. A future where apartment customers have free reign of their hot water might not be far off.

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Original author: Brendon O’Neill

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