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  • 6 months ago
Thousands of South Australian energy customers will have their bills reduced after an international energy giant admitted the price it's charging some households is too high. ENGIE, previously known as Simply Energy, has admitted making an error and is apologising to customers. The Australian Energy Regulator says it's aware of the issue and is engaging with the company.

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00:00Peter Doyle was left in disbelief when he received a letter from his electricity provider.
00:07Now I'm going up to $1.10 a kilowatt hour and a daily supply charge of $1.60.
00:14I thought is it right or incorrect so I rang him up.
00:17His retailer Engie informed him that his new contract was correct even though it included
00:23a $1.10 per kilowatt hour peak price which is more than double what most households pay.
00:29I reached out to other retailers and said you shouldn't be charged this, it's impossible.
00:35But they were trying it out.
00:37It's just outrageous, it's just not feasible, it's not keeping up with costs, it's just
00:44remarkable and breathtaking that anyone will offer this.
00:47Engie, which also owns the Pelican Point power plant in Adelaide's West, also revealed in
00:52the fine print that Peter Doyle's estimated annual electricity cost would increase to
00:57$6,233, 120% above the default market offer.
01:04In South Australia we pay the highest energy prices in the nation.
01:08We also have the highest levels of energy debt, so we desperately need a fairer system.
01:14When the ABC initially contacted Engie over Peter Doyle's price rise, the company maintained
01:20the letter was correct.
01:21It wasn't until the state government took the billing issue to the Australian energy regulator
01:26and the company's CEO that it admitted a mistake had been made.
01:30In a statement, Engie said up to 3,000 customers had been impacted by prices that were too high.
01:37We sincerely apologise for any confusion and are working hard to remedy the situation as quickly
01:43as possible.
01:44The problem we have is that the market is broken and with a broken market you get broken
01:49outcomes like this and that's why we need to intervene and make sure that we can give
01:53consumers better rights so they can actually retaliate and get cheaper prices.
01:58The Australian energy regulator said in a statement it is now engaging with the company.
02:04If there is evidence of a breach, the AER will consider and take action as appropriate.
02:09Peter Doyle has now been given a new deal by Engie at less than half the initial rate but
02:26he remains sceptical about the prices people in SA are being charged.
02:31As a consumer, especially in this state, they are just pulling that wool over our eyes.
02:36Affected Engie customers should receive their price corrections in the coming days.
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