Every Australian household will receive a $300 rebate on their energy bill as part of the Albanian government’s efforts to address the rising cost of living.
The electricity bill relief was announced when Treasurer Jim Chalmers delivered his third budget on Tuesday, with the government allocating $3.5 billion for the repayment.
Starting July 1, all households will see a $300 credit automatically applied to their electricity bills, while one million small businesses will also receive $325 off their bills.
The credits will be applied in quarterly installments.
Dr Chalmers said: “All households will now receive energy bill relief under the Albanese government.”
The measure would not increase inflation but would put downward pressure on it, Dr. Chalmers explained.
“Treasury estimates this will directly reduce headline inflation by around half a percentage point in 2024-25 and is not expected to increase broader inflation pressures.”
The Albanian government made an electoral commitment to reduce household energy bills by $275, a promise that has not yet been fulfilled.
Dr. Chalmers cited international crises as the reason for skyrocketing energy prices, but made all voters a new promise: “More help is on the way.”
He said: ‘In 2022, the Russian invasion of Ukraine caused the biggest shock to global energy prices since the 1970s.
“We know Australian families and businesses have felt this pain and that is why we have stepped in to help.”
Along with the energy bill refund, the Albanese government will also implement regulatory changes so that consumers can switch to a better energy deal with just “one click”.
These changes will prevent contracts from automatically moving to higher-cost deals, ensure people receive the concessions and rebates they are entitled to, and reduce excessive fees and charges, Dr Chalmers said.
More to come.