Small electricity retailers are likely to go to the wall as they struggle to keep customers after increasing bills in the aftermath of the surging costs of wholesale production, but Australia should avoid large-scale insolvencies like those seen in Britain.had stoked fears about the capacity of households to cope with bigger bills, as well as the viability of smaller electricity retailers.
LPE, which has about 20,000 customers in Queensland, and Discover Energy in NSW and Victoria said their rates would double from June 1. LPE’s decision to advise customers to look elsewhere sent shares in the company tumbling more than 15 per cent as investors worried about the long-term prospects for the Queensland retailer.
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