Aussies are paying $500 more for their energy, ACCC
The average Aussie household can now expect to pay an annual energy bill in excess of $1500 and small businesses are not exempt from the power price hike either, according to competition watchdog ACCC.
Releasing the preliminary findings of its inquiry into energy prices, the Australian Competition and Consumer Commission (ACCC) today revealed that Aussie power bills have soared by 63% over the past decade, and by up to 90% in the eastern states.
“Consumers have been faced with increasing pressures to their household budgets as electricity prices have skyrocketed in recent years. Residential prices have increased by 63 per cent on top of inflation since 2007-08,” said ACCC Chairman Rod Sims.
According to the consumer body, Aussies living in South Australia, Victoria, News South Wales and in parts of Queensland have experienced a price hike of more than $500 over the past decade.
Source: ACCC Electricity report details affordability, competition issues Media Release.
But it isn’t just Aussie residents who are hurting, with small business also feeling the power price pinch.
“It’s no great secret that Australia has an electricity affordability problem. What’s clear from our report is that price increases over the past ten years are putting Australian businesses and consumers under unacceptable pressure,” said Sims.
This sentiment was echoed by the Australian Small Business & Family Enterprise Ombudsman who said that 70% of small businesses were scaling back investment and capital expenditure in order to survive the current price hike.
Ombudsman Kate Carnell warned that by politicising the issue, Aussie business were being put in extremely dangerous situations.
“The danger with continued political bickering is that businesses will go to the wall, jobs will move offshore and be lost and consumers will feel even greater pain,” she said.
Aussies looking to earn that $500 back on energy expenditure can take heart from the fact that Mozo data, released in July, revealed that Aussies could cut as much as $1086 from their annual power bill, simply by switching providers.
The ACCC’s full report, including recommendations to solve the issue will be presented to the Treasurer in June of 2018.
In the meantime, if you’re an Aussie resident looking to trim your energy bill ahead of summer, head to Mozo’s state-specific energy tables to compare a range of options on the market and find the best value deal for you.