Are you suffering power bill shock? You aren't the only one!
Hundreds of thousands of Western Sydney residents have been overcharged at least $227 million by a newly-privatised electricity company.
Endeavour Energy has been ordered to pay back its customers – who are spread across the Illawarra, Southern Highlands, South Coast and Blue Mountains - millions of dollars in overcharges.
Endeavour was sold to a Macquarie Group-led consortium in May 2017 for $7.6 billion.
The money raised from privatisation was promised to fund the Government’s infrastructure program but the reality is people are being asked to pay more tolls, higher electricity prices and much higher housing costs.
Labor Leader, Luke Foley says
"The Liberals promised the public that their power bills wouldn’t go up and yet prices have risen on average by 20 per cent. Their election pledge wasn’t worth the paper it was printed on.
The Australian Energy Regulator says that the company has “recovered more revenue under their price undertakings than was permitted in the AER’s 2015 decisions [relating to the four year regulatory period].”
Ausgrid is currently negotiating with the AER on how much it is expected to return to customers.
It's an ongoing battle because the Berejiklian Government commenced court action fighting price cuts, thereby delaying any settlement that would have seen the money returned to customers.
The Liberal National Government began court action against the electricity regulator when the state owned the poles and wires – Ausgrid, Essential and Endeavour. It argued against the regulator’s mandated prices cuts in order to inflate the sale price.
What a mess. Meanwhile we are all paying more!
Shadow Minister for Industry, Resources & Energy Adam Searle says
“On the Liberals’ watch, the big electricity companies like Ausgrid and Endeavour have overcharged households and businesses hundreds of millions of dollars. The Premier and her Energy Minister have been asleep at the wheel while this was happening, leaving it to Labor to reveal what is going on.
“The Berejiklian Government must ensure customers’ money is returned to them.”