AGL Energy Limited Ordered to Pay AU$25 million Penalty in Centrepay Case.

AGL Energy Limited (ASX: AGL) has been ordered by the Federal Court to pay a AU$25 million penalty for breaches of the National Energy Retail Rules. The ruling, issued in proceedings brought by the Australian Energy Regulator (AER), found that four AGL subsidiaries failed to notify and refund approximately 500 customers in a timely manner regarding Centrepay payments. AGL expressed disappointment over the issue and apologized to affected customers. Since identifying the problem in 2020, the company has implemented significant process improvements to address handling issues with Centrepay payments. 

While AGL respects the Court’s decision, the company noted the penalty was higher than anticipated and is reviewing the judgment to consider a potential appeal. Despite this development, AGL confirmed its FY25 guidance remains unchanged, with projected underlying EBITDA between AU$1,870 million and AU$2,170 million and net profit between AU$530 million and AU$730 million.

Customer Notice:

Nextgen Global Services Pty Ltd trading as Kapitales Research (ABN 89 652 632 561) is a Corporate Authorised Representative (CAR No. 1293674) of Enva Australia Pty Ltd (AFSL 424494). The information contained in this website is general information only. Any advice is general advice only. No consideration has been given or will be given to the individual investment objectives, financial situation or needs of any particular person. The decision to invest or trade and the method selected is a personal decision and involves an inherent level of risk, and you must undertake your own investigations and obtain your own advice regarding the suitability of this product for your circumstances. Please be aware that all trading activity is subject to both profit & loss and may not be suitable for you. The past performance of this product is not and should not be taken as an indication of future performance.

Kapitales Research, Level 13, Suite 1A, 465 Victoria Ave, Chatswood, NSW 2067, Australia | 1800 005 780 | info@kapitales.com