EnergyAustralia, one of Australia's leading energy retailers, today joined a host of leading companies as foundation signatories to the Australian Supplier Payment Code, an initiative of the Business Council of Australia.
The Australian Supplier Payment Code commits companies including EnergyAustralia, Qantas, Telstra, BHP and Rio Tinto to paying its small business suppliers within 30 days of receiving a correct invoice.
Andrew Fisher, EnergyAustralia Executive - Corporate, said the company relies on products and services from hundreds of small businesses around the country to provide its 1.7 million customers with reliable, affordable and cleaner energy.
"Many small business owners will tell you that managing cash flow and getting paid on time are at the top of the list of the things that keep them awake at night. By putting our name to the Australia Supplier Payment Code we're committing to transparent and fair payment practices. It's about leading change and doing the right thing," said Mr Fisher.
Signatories to the code commit to six payment practices and policies:
i. Paying eligible Australian small business suppliers within 30 days of receipt of a correct invoice or receipt of a correct product from the supplier.
ii. Paying correct invoices from suppliers on time.
iii. Providing clear guidance to suppliers about the company's payment procedures.
iv. Working with supplier businesses, where practicable, to apply technologies and practices that will speed up invoice reconciliation, approval and payment processes.
v. Putting in place clear, fair and efficient processes for dealing with complaints and disputes about payment times and practices.
vi. Reporting on company policies and practices in place to comply with this code.
"This is about big and small business working together because at the end of the day what we all need is less red tape and more cooperation," said Mr Fisher.
EnergyAustralia has commenced preparations and will implement the Code in 2018.
You can read more about the Australian Supplier Payment Code here.