Households across regional Queensland can expect their power bill to drop by about $150 this year as energy prices fall alongside electricity costs across several Australian states.
The Queensland Competition Authority (QCA) today handed down its final pricing determination for the next financial year.
Some outback residents are paying twice as much for electricity as they did last year. (ABC Western Qld: Grace Nakamura)
Typical regional household bills will fall by 6.9 per cent and businesses by 8.1 per cent, starting from July 1.
It comes after a 7.2 per cent decrease in the flat rate for the state’s south-east corner, set by the Australian Energy Regulator in late May.
David Crisafulli says he wants Ergon Energy to pass on the savings. (ABC News: Mark Leonardi)
Speaking in Townsville, Premier David Crisafulli said the government expected regional power supplier Ergon Energy to pass the savings on in full.
“People are under an immense amount of pressure — rising fuel prices, rising rents, rising interest rates. This is only a small bit,” he said.
“The message is clear to Ergon, pass on the savings in full. Lock, stock and barrel — no ifs, not buts, no maybes, no hidden costs.”
Falling power prices reflect national trend
Electricity tariffs in regional Queensland are aligned with tariffs in the south-east corner, subsidising the higher costs of supplying electricity to regional and remote parts of the state.
The determination for regional Queensland comes after cuts to the safety-net price, or default market offer, in several states, announced by the Australian Energy Regulator in late May.
The chair of the national energy regulator says wholesale prices did not increase despite the Middle East conflict. (ABC News: Daniel Mercer)
Australian Energy Regulator chair Clare Savage said the falling prices were a result of lower costs in parts of the electricity supply chain and extra power from renewables.
“We’ve seen lower electricity contract prices, reduced spot price volatility, and increased output from wind and battery generation during evening peaks,” she said.
“Despite uncertainty created by conflict in the Middle East, wholesale energy costs have not increased.”
Reductions of about $150 expected
Electricity prices in regional Queensland will drop by about 6.9 per cent for households and 8.1 per cent for small businesses from next month.
David Janetzki says the reduction is welcome. (ABC News: Lucas Hill)
Queensland Treasurer David Janetzki said it was good news after multiple years of power bills going up.
“We know there’s higher fuel costs, higher mortgage costs, higher rents. Today we are seeing power bills decreasing for Queenslanders,” he said.
“It’s an important moment for the regions in particular.”
