AGL vs ENGIE - Which should you choose?

In the competitive Australian energy market, consumers are often faced with the challenge of selecting the right energy provider. Two of the most prominent players in the industry are AGL Energy and ENGIE Australia & New Zealand.

While both companies offer a variety of energy solutions, the business models, sustainability efforts, and customer service strategies differ significantly. Join us as we compare AGL and ENGIE, examining strengths, weaknesses, and overall impact on the Australian energy market.

Overview of AGL Energy

History and background

AGL Energy (AGL) has been a dominant force in the Australian energy market for over 180 years. Founded in 1837, AGL is one of the oldest and largest integrated energy companies in the country. It operates in the generation, distribution, and retailing of both electricity and gas.

AGL is also a major player in the transition to renewable energy, with significant investments in solar, wind, and battery storage technologies.

Services and offerings

AGL offers a broad range of energy solutions, including:

  • Electricity: Retail and wholesale electricity supply to residential, commercial, and industrial customers.
  • Gas: Natural gas supply and services, catering to homes and businesses.
  • Renewable energy: AGL has made significant investments in renewable energy generation, such as wind and solar farms, and energy storage.
  • Solar solutions: The company offers solar panel installation, battery storage, and energy management solutions to residential customers.

AGL's widespread reach across both urban and rural areas positions it as one of the most accessible energy providers in Australia.

Overview of ENGIE Australia & New Zealand

History and background

ENGIE Australia & New Zealand is a subsidiary of the global energy company ENGIE, which is headquartered in France. ENGIE has a strong focus on providing low-carbon energy solutions and sustainability-driven services.

ENGIE entered the Australian market in 2010 and has since expanded its portfolio to include renewable energy generation, power storage, and electricity retailing.

Services and offerings

ENGIE offers a range of energy solutions similar to AGL but with a notable emphasis on sustainability and decarbonisation:

  • Electricity: ENGIE supplies electricity to both residential and business customers across Australia.
  • Gas: ENGIE provides natural gas solutions for domestic and commercial customers.
  • Renewable energy: ENGIE is heavily involved in the development of wind, solar, and other renewable energy projects. It is committed to decarbonisation and has ambitious goals to reduce its carbon footprint.
  • Energy management: ENGIE offers energy management services to businesses, helping them optimise their energy consumption and reduce their carbon emissions.
  • Electric Vehicle (EV) Charging: ENGIE is investing in infrastructure for electric vehicle charging, promoting cleaner transport solutions.

While ENGIE is not as widely recognised as AGL in the retail energy space, its focus on sustainability and innovation makes it a noteworthy player in the energy sector.

AGL vs ENGIE: Key comparisons

Below is a detailed comparison between AGL and ENGIE across various key criteria:

CriteriaAGL EnergyENGIE
Founded18372010
Energy offeringsElectricity, gas, solar, battery storage, renewable energyElectricity, gas, renewable energy, EV charging, energy management
Renewable energy focusSignificant investments in solar, wind, and storageStrong focus on decarbonisation, wind projects and major solar projects
Customer baseLarge and diverse, includes residential, business, and industrial customersPrimarily focused on large-scale business customers, but expanding into retail
Sustainability goalsTransition to net-zero emissions by 2050 with a focus on renewablesNet-zero carbon by 2045, with a strong emphasis on green energy
InnovationSignificant R&D into renewable technologies, smart grids and energy storageLeading in energy management and EV charging infrastructure
Customer serviceEstablished reputation for customer support, with online tools and resourcesKnown for innovative customer solutions, especially in business energy management
Presence in AustraliaWidespread, serving all states and territoriesFocused on larger commercial areas but growing in retail market

Pros and cons of AGL Energy

Pros

  • Wide availability: AGL has a well-established presence across Australia, serving customers in both metropolitan and regional areas.
  • Renewable energy commitment: AGL is heavily investing in renewable energy generation, making it a key player in Australia's energy transition.
  • Strong customer support: AGL’s long history in the Australian energy market has allowed it to develop robust customer service and support channels.
  • Diverse energy solutions: From solar panel installations to gas and electricity supply, AGL offers a range of energy solutions to meet the needs of its diverse customer base.

Cons

  • Fossil fuel reliance: AGL still has a significant share of fossil fuel-based energy generation, particularly from coal-fired power plants. While the company is transitioning, it faces criticism for its continued reliance on these sources.
  • Public perception: AGL has faced some public backlash over its fossil fuel activities, particularly regarding its plans to decommission coal-fired plants, which has led to criticism from both environmental groups and affected communities.
  • Higher carbon footprint: Despite efforts to reduce emissions, AGL’s overall carbon footprint remains higher than that of some of its competitors with a more aggressive renewable strategy.

Pros and cons of ENGIE Australia & New Zealand

Pros

  • Sustainability focus: ENGIE is committed to achieving net-zero emissions by 2045, positioning itself as a leader in the global transition to renewable energy.
  • Energy management services: ENGIE offers innovative energy management solutions, helping businesses optimise energy use and reduce emissions.
  • Green energy projects: ENGIE has a strong portfolio of renewable energy projects, particularly in wind and solar energy, and is rapidly expanding its presence in these areas.
  • Electric Vehicle Charging: With a focus on the future of green transport, ENGIE is a pioneer in electric vehicle charging infrastructure.

Cons

  • Smaller customer base: ENGIE is not as widely known in the Australian retail market, making it less accessible for smaller residential customers compared to AGL.
  • Limited residential market: While ENGIE is expanding into the residential market, it remains more focused on commercial and industrial customers.
  • Brand recognition: ENGIE's brand recognition in Australia is less established than AGL’s, which may be a drawback for customers seeking more familiarity and trust in their energy provider.

Connect with Compare Energy

When comparing AGL Energy and ENGIE Australia & New Zealand, the choice ultimately depends on a customer’s priorities. If you’re seeking a provider with a long-standing history in the Australian market, a wide range of services, and a commitment to renewable energy, AGL might be the right choice.

However, if your primary focus is on sustainability, decarbonisation, and cutting-edge energy management solutions, ENGIE may align more closely with your needs.

Both companies are making significant strides in the efforts towards sustainability, with AGL shifting its focus towards renewables and ENGIE positioning itself as a leader in the transition to net-zero emissions.

Depending on whether you prioritise innovation, customer service, or sustainability, either AGL or ENGIE could be a fitting choice in the evolving Australian energy market.

If you're unsure which energy provider is best for your needs, don't hesitate to get in touch with Compare Energy. Call 1300 790 106 today to discuss your options and find the best energy provider tailored to your requirements!