More and more Australians are facing difficulties in paying their electricity bills.

More people seeking assistance from major energy company, 2x increase in past 2 years.

August 14th 2024.

More and more Australians are facing difficulties in paying their electricity bills.
The rising cost of living in Australia has been causing a lot of financial strain for its citizens, as evidenced by the increasing number of people seeking assistance from energy providers. In the past two years alone, the number of Australians reaching out to one of the country's biggest energy companies, Origin, for help has almost doubled. This is a concerning trend, and the latest figures provided by the company to a Senate committee overnight show just how dire the situation has become.

In the last financial year, an additional 27,000 customers joined Origin's customer hardship programs, which offer support and payment plans to help people stay connected. This represents a staggering 38% increase from the previous year, where an extra 13,000 customers sought assistance. The total number of people enrolled in these programs has now jumped from 58,000 in 2022 to 98,000 this June. These numbers are alarming and serve as a clear indication of the struggles that many Australian families are facing.

The recent data from Finder adds to the growing concern, showing that one in eight Australians have had to go without heating "all the time", while a further 36% avoid using their heater as much as they could. It's a tough situation for many families, and Origin's numbers are a reflection of that. While the company stated that accurate comparisons couldn't be made before 2022, they did share some pre-COVID figures that are just as striking.

Before the pandemic hit, only 44,000 customers were enrolled in Origin's hardship program. This is a significant difference from the current number and highlights the impact that the pandemic has had on people's financial stability. And it's not just the number of people seeking help that is concerning, but also the amount of money being spent to assist struggling families. Origin reported providing around $90 million in financial support over the past three years, with an expected $50 million for this financial year alone. This is a significant amount of money and shows the extent to which people are struggling to pay their electricity bills.

Origin's customers are not the only ones feeling the pinch. Other energy companies, such as AGL and Energy Australia, have also seen a rise in the number of people seeking financial assistance. In the past year, 10,000 AGL customers joined their hardship program, while Energy Australia received 1000 bill relief calls every weekday. This is a worrying trend, especially as both federal and state governments are also working to ease the pressure as inflation continues to rise.

The start of the new financial year brought some much-needed relief in the form of $300 rebates for all Australians, split into quarterly payments. However, according to Finder, the arrival of the electricity bill is still one of the top three most stressful experiences for a quarter of Australians. This further highlights the need for continued support and assistance for those struggling with the rising cost of living.

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