For nearly half a decade, 34-year-old Naomi Thompson has been diligently assisting her ailing father in tackling a daunting debt. This financial burden highlights the precarious situation faced by many Australians amid escalating living expenses.

Thompson’s father, having suffered a stroke, was unaware of repeated communications from Energy Australia until the bills accumulated to an overwhelming level.

According to 9news.com.au, his preferred method of correspondence with the energy company was via mail.

Moreover, he was unreachable by phone.

Thompson herself was oblivious to the mounting debt until she discovered collection notices, which her father had mistaken for fraudulent correspondence.

“I said, ‘Dad, this is much bigger than just being a scam. These guys are debt collectors’,” Thompson said.

The debt had been bought from Energy Australia by a third-party debt collection agency in 2021 called Panthera Finance Group.

Thompson’s father owed a total of $6395 on power bills dating back to 2019.

“It’s not clear exactly how it happened, but it got to that giant size,” she said.

After the initial bill shock, Thompson was advised to visit a financial counsellor, who gave her options to help reduce the debt due to hardship.

“They [Panthera] agreed to drop half the debt, but still wanted the other half paid,” Thompson said.

“It was still $3150 roughly that they wanted Dad to pay. He’s now on the aged pension, he’s paying about 30 per cent of that in rent… that’s a lot of money.”

The debt has been paid incrementally by around $50 per fortnight.

It was a small weight off Thompson and her father’s shoulders.

Panthera Finance Group was recently acquired by Francom Group, which honoured the debt agreement.

Now, there is a little over $1750 left in the debt owing.

Thompson said it “blows her mind” that power bills could be so expensive.

She often struggles to pay her own electricity or energy bills as the price of keeping the power on climbs higher.

Thompson said it would financially bankrupt her if she helped pay off even a little bit of her dad’s debt.

“I personally experienced bill shock with my last electricity bill,” she added.

“I pay a little bit every single fortnight to ensure that I get maybe $100 max on a bill because I don’t want to get giant bill shock.

“Yet when it came in, it was around $600.”

It was a small slice of financial relief that helped millions of Australians, including Thompson and her dad.

“I think it’s actually really terrible that they’ve stopped the rebate,” Thompson added.

Co-coordinator at the Antipoverty Centre Jay Coonan said energy retailers often use debt to justify rising prices.

“By wiping debt for people who are trapped in debt to these big retailers we’ll do everyone a favour,” Coonan said.

“Power bills are one of the biggest concerns [for people struggling] because they’re continuously going up even as people are using less, or they’re installing products to intentionally use less.”

Coonan said the government should intervene in more meaningful ways to stop skyrocketing energy bills.

“Instead, they used public money to fuel ballooning energy company profits,” he added.

“Quite frankly, the energy subsidies have been a total waste of money.”

The average energy debt as of 2025 in Australia was $1367, according to the Australian Energy Regulator (AER).

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.