Big switch in energy battle [17apr06]

SOUTH Australians are leap-frogging between major retailers AGL and Origin in search of cheaper energy prices.

AGL is losing electricity customers to Origin, but gas users are swapping from Origin to AGL.

Both are losing significant numbers of customers to competitors TRUenergy and Energy Australia.

The see-sawing is revealed in the latest report on retail competition prepared for the Essential Services Commission.

The report found competition between retailers is so fierce that 11 per cent of respondents - up from 6 per cent - felt "badgered and harassed" by company marketing techniques.









Up to the end of January, 383,000 electricity customers, or 51 per cent, and 151,000 gas consumers, or 41 per cent, had switched to market contracts.

The report shows the number of people buying power from AGL has dropped 18 per cent from 80 to 62 per cent in the past two years.

Origin's share of electricity customers increased from 5 to 11 per cent, while Energy Australia increased its market share from 1 per cent to 7 per cent.

TRUenergy is up from 11 to 13 per cent.

The number of households and small businesses buying gas from Origin has slumped 21 per cent from 81 to 60 per cent. AGL increased its share from 13 to 20 per cent. TRUenergy is up from 3 to 9 per cent and Energy Australia has gained 6 per cent from zero in 2004. The results are based on a survey of 1211 consumers - 808 in the metropolitan area and 403 in the country - by marketing and research company McGregorTan.

AGL state manager Sandy Canale says movement in market share "was to be expected" following deregulation. Origin's Tony Wood says the latest figures reflect "a very competitive market" in SA.



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