Energy crisis: Rising power bills put families into ‘energy debt’
ABOUT 145,000 households and small businesses in NSW are in “energy debt’’ — owing an average $663 to power companies for unpaid bills.
NSW
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ABOUT 145,000 households and small businesses in NSW are in “energy debt’’ — owing an average $663 to power companies for unpaid bills.
New figures reveal one-in-10 debtors owe more than $1500.
The crisis is so bad the state’s Energy and Water Ombudsman yesterday urged family and friends to help elderly customers contact electricity and gas customers to demand a cheaper deal.
Complaints to the ombudsman’s office have surged 21 per cent over autumn and winter, as consumers struggle with soaring electricity and gas bills from power companies generating record revenues.
Ombudsman Janine Young said problems paying power bills had “become the norm’’ for financially vulnerable customers, who had flooded her office with complaints about high bills, rising debt and disconnections.
“People are struggling — the working poor, people on low and fixed incomes or in casual work,’’ she told The Daily Telegraph yesterday.
“If you lose your job, all of a sudden you can’t afford those bills. It might be a struggle getting your kids a nice warm dinner.’’
Ms Young said her office was fielding more complaints now that households were receiving their winter bills, which include a 20 per cent price increase announced in June. She urged people to help elderly friends or relatives contact power companies to negotiate a better deal. “We all have a responsibility to help with that — friends and family,’’ she said. “It’s a good time for family members to help out, and for customers to ring their retailer to get the best deal.
“If they’re not getting it, I’d encourage them to contact my office.’’
Australian Energy Regulator data reveals that 85,801 NSW households have a debt for unpaid electricity bills, with another 44,854 households in debt over unpaid gas bills.
And 11,245 small business customers owe money for electricity payments, with 3175 in debt over unpaid gas bills.
Public Interest Advocacy Centre spokesman Craig Memery warned that “ordinary Australians’’ are now struggling to pay their power bills. “Power costs are now hitting the average person, and not just the battlers,’’ he said yesterday.
“We are now seeing more people in Middle Australia, who are already experiencing mortgage stress, who are having trouble paying their power bills.”
The Ombudsman fielded 23,613 complaints in 2016-17, including 6546 between April and June, when complaints were one-fifth higher than at the same time last year.
Origin Energy, which made an underlying profit of $550 million in 2016-17, was the most complained-about power company, with 4867 complaints lodged during the year. EnergyAustralia attracted 3818 complaints and 3607 complaints were lodged against AGL.