Electricity provider Elysian Energy collapses after price hike

An energy supplier has been suspended from the national electricity market and will be banned from trading after being placed in voluntary administration.

Elysian Energy, most of whose customers are based in Victoria, will be taken off the market from Friday, the Australian Power Market Operator confirmed.

Insolvency experts Adrian Hunter and Robyn Erskine of Brooke Bird have been appointed as administrators of the company.

Provider clients are expected to transfer to a different provider.

“Elysian Energy customers don’t have to worry about their power going out during this transition,” Hunter said in a statement.

“We are working hand-in-hand with the Essential Services Commission, the Australian Energy Regulator and AEMO to ensure this is a seamless process for all customers.”

Elysian provides solar power to about 7,500 homes.

The closure comes three months after Elysian urged its customers to find a new supplier as rising wholesale costs forced them to double prices.

Customers received a letter from the utility saying it has been absorbing massive increases in wholesale energy prices and that additional costs to consumers will soon rise by at least 100 percent.

ReAmped Energy used a similar measure, telling customers it was in their best interest to switch providers to get a cheaper price.

At the time, Australia’s Energy Regulator raised benchmark prices for retailers, causing households to receive higher bills from July 1.

ReAmped Energy CEO Luke Blincoe said it was an “incredibly volatile time” for the energy market due to rising costs.

“Several retailers have already started lifting the drawbridge, so customers need to act fast to get a better deal now before it’s too late,” it said in a statement.

“There are still a handful of competitive offerings on the market. No one really knows how bad it’s going to get, so we want people to act now.”

ReAmped Energy has 70,000 customers in NSW, Queensland, Victoria, South Australia and the ACT.

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