Naomi Thompson, aged 34, has dedicated nearly five years to assisting her ailing father in gradually reducing his debt. This experience starkly highlights how vulnerable Australians are significantly affected by rising living costs.

Thompson’s father, who experienced a stroke, was unaware he was being contacted by Energy Australia until his bills had escalated to an unmanageable level.

Coonan has urged the government to take more substantial actions to curb the surge in energy bills.

“Instead, they have used public funds to boost the profits of energy companies,” he commented.

“Frankly, the energy subsidies have been an utter misuse of resources.”

According to the Australian Energy Regulator (AER), the average energy debt in Australia by 2025 was $1,367.

This is compared to $1148 at the same time in 2024.

The AER’s latest report found that, while government rebates temporarily boosted affordability for many customers, more customers ended the year with energy debt.

“It takes such a heavy toll on people,” Thompson said.

“The debt collectors themselves or even people in power don’t think about the toll that that has on a person, the stress of constantly being contacted, the worry about answering a phone call because you don’t know who it is, a knock on the door or opening a letter.”

Energy Australia’s Chief Customer Officer Kate Gibson’s statement in full:

Our priority is to ensure both our residential and business customers’ energy needs are met. EnergyAustralia provides a range of support options for customers facing financial hardship, helping them manage their energy bills, stay connected, and strengthen their ability to pay in the long run.

Our EnergyAssist Hardship Program is our main support avenue for residential customers experiencing financial stress. Case managers work with customers to review their financial situation, tailor assistance and support throughout their challenge period. The assistance includes tailored payment plans, arrangements for payment extensions, support for accessing government grants and concessions, financial counselling referrals as well as relief from fees for missed payments.

We continue to look at the most effective way of reaching vulnerable customers and work with other retailers, the Australian Energy Council and consumer groups. For example, partnering with Uniting to provide energy efficiency support to vulnerable customers and working with the financial and telecommunications sectors as a founding member of Thriving Communities Partnership.

We encourage any customer concerned about bill payments to reach out as soon as possible, since earlier contact typically leads to more available options and support before any debt accumulates. By staying engaged, we can better understand a customer’s circumstances, offer timely support, and help prevent unnecessary stress.