The bill’s massive impact on electricity prices is set to rise by a staggering 24% in the dead of winter, and you won’t believe the NSW energy minister’s nonsense in response.
- Electricity prices to skyrocket in NSW, Qld, SA
Australian households will face sharp rises in electricity prices in the coming months, as the country’s energy regulator sees increases of around 24 percent in some areas.
But the increases will be less pronounced than expected before the government stepped in to cap coal and gas prices in an attempt to rein in soaring energy costs.
Australia’s Energy Regulator published its draft default market offer decision for fiscal year 2023/24 on Wednesday, which foreshadowed residential electricity price increases of between 19.5 and 23.7 percent, according to the state and provider.
The default market offer represents the maximum price energy retailers can charge residential and small business customers in New South Wales, South Australia and South East Queensland.
The vast majority of customers have lower and discounted rates.
The regulator said default offers for residential customers in New South Wales were expected to rise by between 20.9 and 23.7 percent, while prices would increase by nearly 20 percent in south-east Queensland and 22 percent in South Australia.
It estimated that small business customers could face price increases of between 14.7 percent and 25.4 percent, depending on their regions and providers.
Without the intervention of the energy market, he had told the government that residential supply could increase by more than 50 percent in some regions.
Energy Minister Chris Bowen said the government had shielded Australians from the worst expected increases in the price of electricity, but the expected increases would remain a challenge for families facing skyrocketing costs of living.
“The government, faced with large increases in (default market supply), acted urgently to curb spiraling gas and coal prices and shield Australian families and businesses from the worst of these energy price spikes.” , said.
Bowen said the government’s short-term plan for energy price relief included discounts for consumers and small businesses, while in the longer term it was pushing to increase renewable energy on the grid.
