Australian regulator sues EnergyAustralia for misleading electricity price information (updated)
22/09/2023 01:28
(Adds details on lawsuit and background in paragraphs 2-6)
Sept 22 (Reuters) - Australia's competition regulator
said on Friday it had started proceedings in the Federal Court
against EnergyAustralia, the country's third-largest power
retailer, for allegedly providing misleading electricity price
information.
The Australian Competition & Consumer Commission (ACCC) said
between June and September 2022, EnergyAustralia failed to state
the "lowest possible price" - a mandatory estimate of the amount
a customer would be charged in a year - when sending price
change notices to customers.
The commission said EnergyAustralia, owned by Hong Kong's
CLP Holdings 0002.HK , made false or misleading representations
in annual cost estimates that it provided to customers in price
change notices, thereby breaching the Australian consumer law.
"We have commenced this court action because we allege that
EnergyAustralia's conduct made it harder for people to
accurately compare their electricity plan with offers from other
retailers," ACCC Chair Gina Cass-Gottlieb said in a statement.
The ACCC has been cracking down on big Australian companies
in recent times, including a lawsuit against carrier Qantas
Airways QAN.AX for allegedly selling tickets on thousands of
already-cancelled flights.
The regulator is seeking penalties, declarations, costs, and
other orders against EnergyAustralia.
An EnergyAustralia spokesperson said the company had no
immediate comment.
(Reporting by Himanshi Akhand in Bengaluru; Additional
reporting by John Biju; Editing by Subhranshu Sahu)
((Himanshi.Akhand@thomsonreuters.com;))