Local News

AGL Announces $37.5 million South Australian Customer Rebate Scheme

May 11th, 2001

Managing Director of AGL, Greg Martin, today announced details of further AGL initiatives to address South Australian business customer concerns about rising power prices.

An AGL Customer Rebate Scheme will be established under which the company is to commit up to $37.5 million over 5 years to be made available to those South Australian business customers at present on grace period tariffs who elect to enter into (or already have entered into) AGL’s standard five year contract commencing 1 July 2001.

Mr Martin said: "The scheme will deliver rebates to these customers if the November to March average South Australian peak pool prices do not increase significantly above the levels of last summer. However, because of high wholesale electricity prices these grace period customers still face significant price increases from 1 July this year."

The size of the rebates will reduce in accordance with upward movements in average November – March South Australian peak pool prices.

"With the rebate scheme, the onus is now on South Australian generators, wherever possible, to deliver lower wholesale prices for the benefit of customers", Mr Martin said.

The Rebate Scheme is intended to try and cushion retail price rises particularly in the first twelve months of the contracted period. Up to $20 million in rebates will be available in the first year of the scheme.

Mr Martin stressed that the amount of the rebate available to individual customers will vary according to their own energy usage patterns and average peak pool prices in the November to March period.

The scheme has also been designed to reward customers who actively plan their electricity usage to reduce peak demand in the November to March period.

The Customer Rebate Scheme will be independently audited.