Electricity users in the ACT will continue to have the lowest electricity unit prices in Australia even after a new electricity price determination was released by the Independent Competition and Regulatory Commission (ICRC) today.
The ICRC has announced a rise in electricity prices for the ACT based largely on the policy announced by the federal government to price carbon, however, Canberrans on average will still pay about $1000 less than those residents across the border in New South Wales.
The ICRC released the final report on the retail prices for franchise electricity customers for 2012-14 today, approving a 17.74% increase in retail electricity prices.
A typical Canberra household will still spend $917 less, each year, on its electricity bills compared with a similar household across the border in Queanbeyan.
The ICRC decision to increase retail electricity prices has been driven almost entirely by external factors, largely a price on carbon.
70% of the increase is due to the introduction of a national carbon price from 1 July 2012 and according to the Commonwealth Government, this increase will be offset by compensation provided to households. 90% of households will receive carbon price compensation with about two-thirds being fully compensated.
The ACT Government is conscious of the burden this will place on some Canberra families, and those low-income households that will be hit hardest by this price increase are also eligible for ACT Government energy concession payments, additional to compensation announced by the federal government.
Canberra households will also benefit from the Energy Efficiency Improvement Scheme announced by the Government in May 2012. This in an important initiative by the Government to help ACT households lower their electricity costs. The Energy Efficiency (Cost of Living) Act passed by the Government will save participating Territory households over $2,000 throughout the lifecycle of the scheme's initiatives.
- Statement ends -
Section: Andrew Barr, MLA | Media Releases
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