Millions of Australian households are set to be hit by soaring electricity costs after the energy industry watchdog increased key prices by hundreds of dollars a year.Benchmark electricity prices will rise up to 18.3 per cent under a decision by the Australian Energy Regulator
The tariffs, known as default market offers, will rise between 8.5 per cent and 18.3 per cent in New South Wales, up to 12.6 per cent in south-east Queensland and 9.5 per cent in South Australia. Clare Savage, the chair of the AER, described the decision to increase prices so substantially as "particularly difficult" but she said the cost pressures facing electricity providers were real.
surging prices for coal and gas, which are linked to international markets that have been trading at record highsUnder their powers, the AER and Victoria's Essential Services Commission set benchmark electricity prices that act as a backstop for consumers unwilling or unable to haggle with their providers.
The lobby also pointed out that wholesale costs typically accounted for about a third of a residential electricity bill of $1,434, with poles and wires making up a bigger share.Tony Wood from the Grattan Institute said the default price might only apply to a small percentage of the market, but it was the key reference used by all the retailers to set their other offers.
"A Queensland-based retailer with about 20,000 customers basically told their customers to go away," he said.
What a lovely goodbye present from the LNP 😡
O well. The LNP refused to establish a national energy policy.. so this is kinda what happens..
EmiliaTerzon dk_mercer Harveymushman91 jkxn_ to see demand and spot prices over 2 days look at the AEMO dashboard wholesale prices now regularly hitting $300/MWh, a bit lower at night & during sunshine periods. Aging coal plants have high maintenance
Wow, who would have thunk it?
Consumers getting f**ked over yet again By some incomprehensible market dynamic that loads the power companies with more and more cash
Ha ha, SA needs a nuclear industry
And combine this with the lobbying for a “solar tax” by the network operators to force people with solar to pay anyway!
People pushing so hard for renewables they don't realise the repercussions
Get solar, buy electric cars.
why would you show footage of a gas stove in a story of increased electricity prices?
But,but,but the lnp promised !!!?!
Typical Labor.
LNP held onto that report until after the election. Showing yet again they don't care about the people by not giving them time to prepare.
The price of energy is one thing to be considered. The COST of energy to the environment is far more damaging.
yes, because coal and gas prices are increasing.
But sun and wind is free?!?!
I have a suspicion we are being preyed upon and taken for fools.
The price of coal has gone through the roof
When you take baseload power out and replace it with intermittent Chinese renewables this is the outcome. No rocket scientist needed to work this out.
Cool, just after I put in electric heating because it's supposed to be cheaper and more efficient than gas...
Yet we pay twice the price for our own gas. I switched to solar a while back and am grateful that I could. I feel for those who can't afford it.
The 'news' is that this announcement was supposed to have been made on 1st May, it was delayed for political purposes. Every other year the 1st May date was used to give wholesalers time to inform their customers.
Thanks Labor! 🎉
WHAT! AlboMP said he would bring the cost down.
Bullshit. Were paying for the interest rate rises on their borrowings.
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Source: FinancialReview - 🏆 2. / 90 Read more »