Victorian utility disconnections surge as complaints double amid cost-of-living crisis

Victorian households are facing a wave of utility disconnections, with the Energy and Water Ombudsman recording a two-fold increase in related complaints from April to June versus the same period last year. The Essential Services Commission noted that electricity disconnections rose 37% to 13,776 customers, while gas shut-offs climbed 64% to 6,050 in the 12 months to March. Consumer groups such as the Victorian Council of Social Service and the Consumer Action Law Centre are demanding that retailers be prohibited from cutting off power or gas, citing health and wellbeing harms.

The state watchdog warned providers that demanding full payment before reconnection creates a barrier to restoring essential services. A recent case involving a small business owner highlighted billing system failures that led to a $21,000 bill, later reduced after intervention. Rising energy costs, which have surged over 20% in the past year, are intensifying financial pressure on households.