Origin and AGL post strong profits, commit to renewable investment

ABC NEWS (Australia)

Two of Australia’s biggest energy retailers’ origin and AGL have posted strong profits this week and plan to increase their investment in the transition to renewables. But the former chair of the consumer watchdog says the public should be asking why more isn't being done to ensure customers pay less for electricity and gas.

Transcript

00:00This AGL customer thinks his power bills are too high.

00:06We spend about $1,500 a quarter on electricity, nearly $5,000 a year.

00:11High coal and gas prices have increased costs for electricity generators and retailers.

00:17But companies that also produce gas like Origin are doing okay, posting a half year profit

00:23of $1 billion.

00:25Power generator and retailer AGL's profit fell despite signing up more customers and

00:31increasing sales by 15%.

00:33They all have very large growth programs of reinvesting money in the assets that we need

00:39up and down the east coast to keep the lights on.

00:42Between them, AGL and Origin have about 9 million customers.

00:47Their profits come after the federal government's $3.5 billion in energy price relief rebates

00:53for households and small businesses.

00:56Some say instead more should be done to prevent electricity and gas customers being charged

01:02so much in the first place.

01:04The public is entitled to be concerned if there's a big energy subsidy to an energy

01:11company and its profits go up significantly.

01:16Energy prices could and should be lower.

01:19AGL and Origin say their retail margins have decreased and they don't price gouge customers.

01:27Working in the energy efficiency industry, this father of two thinks households need

01:32more help to reduce power use.

01:34I see the federal government rebates as something that is a very short term band aid fix.

01:41A short term band aid that's likely to be extended with an election looming.

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