Energy supply and prices loom as a danger for a government that came to office last May promising electricity prices would be $275 a year lower for households by 2025. Households can expect power prices – which are influenced by the cost of gas – to rise another 23% this coming year, on top of 20% in 2022, even with the price caps, according to treasury modelling.
“The gas industry has sought clarification of a number of practical questions and issues regarding the implementation of the price cap and we are still waiting for guidance from the regulator,” McCulloch said. “The lack of clarity on how the price cap order is to be applied alongside the threat of permanent gas price regulation has virtually paralysed the market.”
AGL Energy, the country’s second-largest gas retailer, confirmed on Monday it was unable to sign up new industrial and commercial customers because it had no access to “incremental” gas supplies. Efforts to woo new household clients continued.
Time for the Wharfies to step in!