Close Search
 
MEDIA, JOBS & RESOURCES for the COMMON GOOD

‘Diabolical’ energy market claims Australia’s first community-owned electricity retailer


22 June 2022 at 4:28 pm
Wendy Williams
Enova Energy announced on Tuesday it had been placed into voluntary administration.


Wendy Williams | 22 June 2022 at 4:28 pm


0 Comments


 Print
‘Diabolical’ energy market claims Australia’s first community-owned electricity retailer
22 June 2022 at 4:28 pm

Enova Energy announced on Tuesday it had been placed into voluntary administration.

Australia’s first community-owned electricity retailer has fallen victim to the ongoing national energy crisis, announcing it has been placed into voluntary administration.

Enova Energy, which was established in 2016 as a social enterprise and built from the ground up with a vision to enable community-owned distributed renewable electricity generation and supply, said the current crisis had had an “unbearable” impact on its ability to operate.

The green energy provider, which focused on providing energy from renewable sources, has been unable to secure fixed pricing from 1 July after a deal with Diamond Energy lapsed, leaving it “fully exposed to severely inflated wholesale energy prices”. 

Enova’s managing director Felicity Stening blamed the “current diabolical state of the energy market”, combined with high wholesale energy prices and a cap on customer pricing, which she said made it “impossible” for Enova Energy and many other small retailers to operate.

“The market is broken and does not support small retailers,” Stenning said. 

“In addition, the constant raft of state and federal government regulatory changes is adding to the market complexities and have caused Enova delays in being able to fund and resource energy innovation.”

But she added, while this was a devastating end to operations, she was proud of Enova’s achievements in its six and a half years.

“Enova came to life through the support of more than 1,600 like-minded Australian community shareholders and has been carried forward over the years by a passionate and hard-working team united and inspired by the vision for Enova,” Stening said.

“To our customers, shareholders, and lenders… I hope that you will continue to champion the need for a rapid transition to a much-needed distributed renewable electricity model in Australia.”

Enova has advised that its entire team, which is mainly based in the New South Wales Northern Rivers region, has been made redundant as part of the administration process, which is being managed by Cathro & Partners .

The provider’s more than 13,000 customers will be transferred to a “retailer of last resort” to be determined by the Australian Energy Regulator (AER).

But Enova’s not-for-profit arm, Enova Community, will remain in operation and continue to support community organisations via energy efficiency, education, and community projects.

Since it launched, the Byron Bay-based provider, which was rated number one in 2022 Green Electricity Guide by Greenpeace, has donated over $180,000 to community organisations.


Wendy Williams  |  Editor  |  @WendyAnWilliams

Wendy Williams is a journalist specialising in the not-for-profit sector and broader social economy. She has been the editor of Pro Bono News since 2018.

PB Careers
Get your biweekly dose of news, opinion and analysis to keep you up to date with what’s happening and why it matters for you, sent every Tuesday and Thursday morning.

Got a story to share?

Got a news tip or article idea for Pro Bono News? Or perhaps you would like to write an article and join a growing community of sector leaders sharing their thoughts and analysis with Pro Bono News readers? Get in touch at news@probonoaustralia.com.au or download our contributor guidelines.

Advertisement

2022 Salary Survey

Get more stories like this

FREE SOCIAL
SECTOR NEWS

Your email address will not be published.



YOU MAY ALSO LIKE

Social enterprise sector unites around shared values and principles

Samantha Freestone

Monday, 4th July 2022 at 5:41 pm

Victorian social strategy wins global award

Danielle Kutchel

Wednesday, 29th June 2022 at 4:43 pm

11M social enterprises exist globally – and all share a similar story

Samantha Freestone

Thursday, 16th June 2022 at 9:39 am

Big names heading to Brisbane for Social Enterprise World Forum

Wendy Williams

Thursday, 16th June 2022 at 9:00 am

pba inverse logo
Subscribe Twitter Facebook
×

News for those with purpose.

Delivered free to your inbox every Tuesday and Thursday morning. 

Thank you - you have successfully subscribed.

Get the social sector's most essential news coverage. Delivered free to your inbox every Tuesday and Thursday morning.

You have Successfully Subscribed!