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 Power bills could be up 64pc 

Power bills could be up 64pc

20 Mar, 2010 03:00 AM
COUNTRY Energy customers are likely to be paying 64 per cent more for their power three years from now.

Prices are expected to rise by 64 per cent if the Federal Government’s carbon tax plan is implemented.

They could still jump by 42 per cent even if the tax is dropped. The first increase, of 13 per cent, is set to take effect on July 1.

It comes on the heels of a 20 per cent increase last July.

The increases have been mandated by the Independent Pricing and Regulatory Tribunal of NSW, which handed down its final report on power charges on Thursday.

“It’s huge. I just think they’re giant, they’re big,” Country Labor MLC Christine Robertson said of the increases yesterday.

“As the chair of Country Labor, I’m concerned about the higher prices in country NSW (for Country Energy customers).”

Country Energy regional general manager Matt Patterson said 85 per cent of the minimum 42 per cent increase “is based on the investment in the network”.

IPART had recommended that infrastructure be upgraded. Mr Patterson said between now and 2014, $4 billion was being spent to upgrade the Country Energy network.

He said that on an annual electricity bill of $1200, the 13 per cent increase (to take effect in July) represented an extra $156 per year.

Country Energy has a support program for people having difficulty in making payments. The number to call is 13 23 56.

Mr Patterson said people could reduce electricity usage by updating their fridge, for example.

“If you’ve got a fridge that’s 10 years or older, it’s going to cost $1 a day (to run),” he said.

A new fridge only costs 30 cents a day to run.

“That’s $200 savings a year,” Mr Patterson said.

Country Energy also has a pensioner rebate.

The Government is broadening its Energy Rebate program via the Commonwealth Health Care Card holders’ eligibility scheme.

Mr Patterson said the Health Care Card payment was between $130 and $145.

A claim by State Premier, Kristina Keneally, that energy prices were going up around the world – as well as in Australia – drew the ire of Tamworth-based Nationals MLC Trevor Khan.

Mr Khan said long-term contracts between the coal companies and the State Government were in place and “that means prices are fairly stable”.

Mr Khan said the real problem was “NSW has failed to invest in electricity infrastructure for 15 years” and successive Labor Governments had taken “billions” out of the system to prop up the state budget.

“I have absolutely no doubt that once people realise the extent of the problem (with these increases), there will be blue murder.”

Mr Khan said the State Government had the final say in whether prices were increased or not.

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