Western Australia’s state-owned power utility Synergy has admitted to overcharging thousands of customers over more than a decade, and will repay approximately $2.29 million to those affected.
WA’s Economic Regulation Authority (ERA) found in up to 2,845 cases, Synergy had continued to take money from customers using Centrepay (which allows for automatic deductions from Centrelink support payments) after they had closed their Synergy accounts.
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The ERA believes the overcharging dates back to 2009. While Synergy can only be ordered to repay 459 customers who were affected since February 2023 and are collectively owed $239,250, the utility says it will be reimbursing all customers affected.
Synergy CEO Kurt Baker said, “Synergy apologises sincerely to customers affected by the overpayment issue. We recognise that the Centrepay bill management system is in place to support vulnerable customers and in this instance, they were let down.
“Our systems are complex and identifying impacted customers took some time. As soon as possible after Centrepay overpayments were confirmed, we took steps to resolve the issue and are continuing to do so. This includes putting measures in place to stop Centrepay overpayments, contacting affected customers and making refunds as a priority.
“The total amount that will be refunded is approximately $2.29 million. About half of all refunds are $250 or less.
“Since April, our dedicated customer response team has been reaching out to the 2,845 affected customers via phone, email and mail to provide refunds and support. We are working closely with Services Australia to finalise outstanding refunds.”
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Synergy said it was also undertaking a thorough review into its payment systems, including engaging external expertise, to help reduce the possibility of future recurrence.
Customers who think they may be impacted are encouraged to contact Synergy online or on 1800 729 265.
