Energy Group settles $4 million Blue Mountains lawsuit

Endeavour Energy has settled a class action led by IAG over a 2013 bushfire in the Blue Mountains.

The suit, which was filed by William Roberts Lawyers, acting for IAG, was settled for $4 million.

The bushfire destroyed 194 homes, damaged hundreds more and razed 3600 hectares of land in and around the suburbs of Winmalee, Springwood and Yellow Rock in October 2013. Endeavour Energy Corporate Affairs Manager Kate McCue told insuranceNEWS.com.au IAG was “seeking to recover money paid to its policyholders as a result of the fires”, while other members of the class action were seeking to recover uninsured losses.

The NSW Government-owned electricity distributor faces another class action over the Springwood-Winmalee fires in October 2013.

Maddens Lawyers is representing plaintiffs in that case before the NSW Supreme Court.

It says poor maintenance of a “hazardous” tree caused it to fall on electrical conductors on October 17. The suit’s statement of claim says Endeavour failed to “ensure appropriate clearance distances” were maintained between vegetation and conductors.

A company spokesman says Endeavour has consistently denied liability for the two class actions.

A coronial inquiry into the causes of the fires is expected to be released this year.

Endeavour supplies electricity to about 2.2 million consumers in Sydney’s greater west, the Blue Mountains, Southern Highlands and south-coast areas.

Scource: insurancenews.com.au