Australia: Electricity Prices to Rise by Up to 64%
March 19th, 2010Via: 9MSN:
A NSW government rebate will be expanded to more than one million electricity consumers, to allay fears some families will be left in the dark by the state’s largest-ever electricity price increases.
Electricity bills in NSW will soar by up to a total of 64 per cent over the next three years, with the federal government’s proposed carbon pollution reduction scheme (CPRS) and rising network infrastructure costs largely to blame.
The outcome has sparked fears other states and territories could be similarly affected if the CPRS goes ahead in 20011/12 as planned.
The NSW hikes, which are even higher than those first proposed by the Independent Pricing and Regulatory Tribunal (IPART) in December, will see average electricity bills rocketing by between $577 and $918 a year by 2013.
Acting chairman and chief executive Jim Cox said the increases were the biggest ever presided over by the tribunal and conceded there could be similar rises in other states.
“I don’t think we’ve had anything as big as this one,” he said.
NSW Energy Minister John Robertson said the government would expand the energy rebate to an additional 275,000 people.
Assistance will now be given to all Commonwealth healthcare card holders, low-income card holders, students, and households receiving farm family assistance.
One million customers will be covered by the $145 annual rebate, about a third of the state’s households.
Mr Robertson and NSW Premier Kristina Keneally acknowledged the price hikes would burden NSW families, already struggling under rising living costs.
“I’m disappointed with IPART’s decision today to increase electricity prices,” Mr Robertson said.
“We know this is going to hit families hard.”
