Big energy companies hit with $35m in penalties

Fairfax

“When we see customers not receiving the required protections, we act decisively, using all of our compliance and enforcement tools,” she said.“This type of action not only addresses conduct of concern by one business, it sends an important message to others about the importance of compliance with the law.”

EA admitted it had failed to register thousands of life support customers and failed to notify energy distributors as soon as possible about the customers’ use of life support equipment. The breaches occurred over a number of years from 2018.There were also a total of $5.5 million in penalties for technical breaches of national electricity rules during the 2016 “black system” event in South Australia when the state was cut off from the National Electricity Market.

The proceedings came after an AER investigation into the circumstances of the black system event in SA, which resulted in the loss of power to 840,000 customers in September 2016.French company Neoen – which owns SA’s big battery, the 150-megawatt Hornsdale Power Reserve – was hit with $900,000 in penalties for being paid in 2019 for market ancillary services to help keep the grid stable that it was unable to deliver after a frequency disturbance.

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