Origin Energy fined $17.6 million for rule breaches

Origin Energy, Australia's largest energy retailer, has been fined over $17 million for violating energy regulations in Victoria. The Supreme Court of Victoria imposed a penalty of $17.6 million after Origin admitted to breaching energy rules that impacted nearly 670,000 customers. The violations included insufficient communication of the "best offer" to over 655,000 customers and failing to support about 6,800 customers struggling with payments. Additionally, Origin overcharged 78 customers and recovered undercharged amounts from 411 customers beyond a regulated four-month limit. The breaches took place between December 2021 and May 2023. Justice Michael Osborne noted the importance of a significant penalty. He emphasized that it needed to be strong enough to deter future violations. Gerard Brody, chairperson of the Essential Services Commission, stated that the penalties aim to ensure compliance among all energy retailers. He stressed the necessity of strong consumer protections and proper support for customers. Origin's retail executive general manager Jon Briskin apologized for the mistakes, acknowledging that the company failed to meet its obligations. He mentioned that many issues stemmed from errors in outdated customer service systems. Briskin expressed commitment to improve compliance with the launch of a new customer service platform called Kraken. In light of the ruling, the court has mandated additional quality assurance measures, public notices in major Melbourne newspapers, extra staff training, and the payment of court costs by Origin Energy. The company does not plan to appeal the decision. This fine is considered the largest ever imposed for energy rule breaches in Victoria.