Simply Energy penalty notices 2021 (explicit informed consent)

Simply Energy has paid penalties totalling $2.5 million after we issued 125 penalty notices on 29 June 2021. The amount payable for each penalty notice was $20,000.

We issued the penalty notices to Simply Energy after two external sales agents allegedly undertook deliberate fraud to transfer 525 gas and electricity accounts at 264 properties without any contact to obtain explicit informed consent.

This matter refers to two separate instances:

• Between 31 July and 12 November 2019, Simply Energy submitted a total of 495 separate transfer requests for 248 small customers (248 electricity transfer requests and 247 gas transfer requests).
• Between February and April 2020, Simply Energy submitted a total of 30 separate transfer requests for 16 small customers (16 electricity transfer requests and 14 gas transfer requests).

The Energy Retail Code requires energy retailers to obtain explicit informed consent before transferring a customer. Retailers must clearly, fully and adequately disclose all matters relevant to the customer's consent, including each specific purpose or use of that consent.