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Power company faces Victorian bushfire class action

Bushfire litigation specialist Maddens Lawyers has launched a $50 million class action for 150 property owners burned out by the Mickleham-Kilmore bushfire.

The firm has issued proceedings in the Victorian Supreme Court against AusNet Services – formerly known as SP AusNet.

It alleges the February 9 fire began when a tree described as a “clearly visible hazard” fell on electrical conductors.

“The ensuing wildfire started when the tree branch brought together high-voltage conductors,” the law firm says.

“It went on to burn out about 22,900 hectares and destroy more than 20 homes, hundreds of cattle, more than 14,000 sheep and more than 2000km of fencing.”

Maddens Senior Partner Brendan Pendergast says his firm has settled class actions for four communities hit by fires caused by power lines during Victoria’s Black Saturday disaster in 2009.

“In all four cases the fires were preventable had power companies adequately maintained their power lines,” he said. “We pay top dollar for access to electricity. In return these companies must adequately maintain power infrastructure to ensure public safety.”

He says Kilmore and Mickleham residents “have suffered losses that are not their fault. There is no reason these residents should sit back and just accept that this fire occurred.”

AusNet Services General Counsel Susan Taylor says the company has always complied with bushfire mitigation and vegetation management obligations and will “vigorously defend the proceedings”.

In a statement to the Australian Securities Exchange, Ms Taylor says AusNet has liability insurance that provides cover for bushfire liability.

“AusNet Services reviews its insurance cover annually and ensures it is commensurate with the scale and size of its operations and with industry standards and practice.”

Mr Pendergast is also leading a class action against NSW power company Endeavour Energy over the Springwood-Winmalee fire in the Blue Mountains last October.

The claim is expected to exceed $200 million and 350 claimants have so far joined the action, which is scheduled for the NSW Supreme Court on February 16 2016.

The action will allege the fire started when poorly maintained trees fell on electrical conductors.