Australian energy company BEGS customers to LEAVE before major price hike that will see power bills surge by 95 per cent
- Electricityinabox tells customers to switch providers with price set to double
- CEO Morgan Duncan said only the ‘lazy or crazy’ would stay with the company
- Australia is facing an energy crisis with soaring prices and threat of blackouts
An Australian energy company has taken the bizarre step of telling it’s customers to change providers and get their power from somewhere else.
Electricityinabox warned their prices are set to surge up by 95 per cent by July 1 and that only the ‘lazy or crazy’ would stay.
CEO Morgan Duncan begged his loyal customers in a letter to make the switch as soon as possible, insisting the unorthodox statement was not a ‘scam’.
‘We need you to switch electricity providers. The sooner you do, the better chance you have of finding a good deal,’ he says.
‘Other retailers have purchased energy a long time ago at a much lower cost and can still offer you a hot deal. Time and their spare capacity for customers may be running out.
‘We recommend you switch to a better deal today as switching is not always immediate. In some parts of Australia it can take well over a month. Act now to avoid the price hikes.’
CEO Morgan Duncan (pictured) begged his loyal customers in a letter to make the switch as soon as possible, insisting the unorthodox statement was ‘not a scam’
The small retailer is now the sixth energy firm to insist its customers go elsewhere joining ReAmped, LPE, Discover, Elysian and Future X as Australia battles an energy crisis which has sent prices soaring,
Other power providers Momentum, Simply, Mojo, CovAU and Nectr have all put a ban on accepting new customers.
Millions of Aussies were warned to brace for mass blackouts last week as freezing temperatures and a national shortage of power created a ‘perfect storm’ for the east coast electricity grid.
The Australian Energy Market Operator (AEMO) was forced to intervene last Monday by ordering extra generators to come online to cover power shortages.
Plummeting temperatures have placed abnormal pressure on the power grid as Aussies blast their heaters and air-conditioning to stay warm.
The increased demand has been compounded by unreliable coal-fired power plants and generators powering down after AEMO ordered a cap on spiralling energy prices.
Millions of Aussies were warned to brace for mass blackouts last week as freezing temperatures and a national shortage of power created a ‘perfect storm’ for the east coast electricity grid (stock image)
The shortage of electricity comes amid soaring demand for gas and electricity and additional coal-fired power outages
Queensland and NSW residents were even asked to cut down on their power use last week with electricity supplies teetering on the brink of a major outage.
Russia’s invasion of Ukraine in February has exacerbated cost pressure by chocking the global oil supply which has sent prices soaring.
Nations have been buying up extra natural gas as an alternative further increasing the cost. Australia’s energy grid is made up of 15 per cent natural gas.
Jared Mullane, from financial comparison website Canstar, said there has been a huge uptick in Australians changing energy providers as the market goes haywire.
He says those looking to save money should act now.
‘Australian energy consumers have been blindsided by price rises, forcing many to look elsewhere in search of a better deal,’ he said.
‘The current situation has also left Aussies with fewer options to choose from, however there are still good deals available if you know where to look.
‘Switching online only takes a few minutes and it could be costly the longer bill-payers wait.’
WHY ARE POWER PRICES SOARING?
1. Coal-fired generators failing: More than 25 per cent have been offline for much of the year
2. Domestic gas shortages: Sources especially offshore in Victoria are running low and new development has been hindered
3. Ukraine-Russia war: European nations are moving away from Russian gas to punish Vladimir Putin, pushing up global prices
4. Cold snap: The cold snap in the east has led to increased demand
Source: Tony Wood, Grattan Institute