Kleenheat Gas ordered to pay $800,000 in refunds

Wesfarmers Kleenheat Gas has been taken to task in the Federal Court of Brisbane for varying the pricing for bulk LNG supplied to some commercial customers.

The court found that as a result of Kleenheat Gas applying the 'Managed Monthly Account' and 'Quickhit' practices, which were intended to increase the return to Kleenheat Gas from the customer's account, the basis on which Kleenheat Gas moved particular bulk LPG customer's prices differed from that represented to them, resulting in some customers paying more.

Kleenheat must now supply gas to customers in accordance with the terms represented and cannot charge a customer a higher price than would result from such practices unless agreed to by the customer.

The company was ordered to pay the ACCC's costs in the proceeding in an agreed amount and $800,000 in refunds to an estimated 186 affected customers Australia-wide, the majority of whom are small businesses.