{"id":201805,"date":"2025-10-10T01:51:11","date_gmt":"2025-10-10T01:51:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/201805\/"},"modified":"2025-10-10T01:51:11","modified_gmt":"2025-10-10T01:51:11","slug":"synergy-apologises-after-overcharging-customers-40-million","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/201805\/","title":{"rendered":"Synergy apologises after overcharging customers $40 million"},"content":{"rendered":"

More than 170,000 customers have been overcharged a total of $40 million by WA’s state-owned energy retailer Synergy since 2009, it has been revealed.<\/p>\n

The overpayments range from amounts under a dollar, to thousands of dollars, according to Synergy CEO Kurt Baker, who said most of those affected were residential customers.<\/p>\n

“We’ve accepted payments to approximately 170,000 closed accounts, resulting in overpayments,” he told ABC Radio Perth.<\/p>\n

“In many cases this has happened because Synergy’s allowed customers to continue to pay to their closed account, even in the absence of a bill.”<\/p>\n

Synergy later clarified that close to 174,000 customers had been affected.<\/p>\n

Refunds to take months<\/p>\n

Mr Baker said Synergy would contact customers directly to issue refunds, but the process was likely to take several months.<\/p>\n

“This isn’t good enough, it’s not acceptable, we’ve let our customers down, so I do want to apologise,” he said.<\/p>\n

\"A<\/p>\n

Some 170,000 Synergy customers have been overcharged tens of millions of dollars altogether. (ABC News: James Carmody)<\/p>\n

“Our systems should have identified or stopped these payments being made.”<\/p>\n

It comes after a report by the state’s economic watchdog in July found Synergy had taken $2.29 million in automatic deductions<\/a> from Centrelink payments from customers whose Synergy accounts were closed, since 2009.<\/p>\n

What is Synergy?<\/p>\n

Synergy is government-owned and WA\u2019s largest electricity generator and gas retailer.<\/p>\n

It provides 52 per cent of electricity to households and businesses in the South West Interconnected System.<\/p>\n

The system covers Perth and extends from Kalbarri in the north, east to Kalgoorlie and south to Albany.<\/p>\n

Source: Synergy website<\/p>\n

Synergy’s new figures, which Mr Baker said were uncovered by a “comprehensive review” following July’s revelations, vastly eclipse the extent of overcharging previously uncovered.<\/p>\n

“The total value across the 170,000 accounts is approximately $40 million,” Mr Baker said.<\/p>\n

“The average amount is $230. More than half is less than $100.”<\/p>\n

Synergy said it had since implemented measures to identify when overpayments were made to closed accounts.<\/p>\n

It said it was working with the state government’s independent reviewers to identify potential improvements to its system.<\/p>\n

Lack of trust<\/p>\n

WA’s Shadow Energy Minister Steve Thomas said Synergy’s overcharging fiascos had eroded public trust in the utility.<\/p>\n

\"Photo<\/p>\n

Synergy provides 52 per cent of electricity to customers in the South West Interconnected System. (ABC News: Glyn Jones)<\/p>\n

“The first question is how on earth does a closed account accept payments? Once you close your account, your account should be closed,” he told ABC Radio Perth.<\/p>\n

“That should be an absolute red light.”<\/p>\n

“How do people trust Synergy to get their bills right?<\/p>\n

“Twice now this year, it’s been proved that that trust is misplaced.”<\/p>\n

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