ELECTRICITY prices in the ACT are likely to rise 10.9 per cent from July 1, according to a draft determination from the Independent Competition and Regulatory Commission (ICRC).  

“Despite the proposed increase, the ACT will continue to have some of the lowest electricity prices in the country. The bulk of today’s proposed increase is outside the control of the ACT and similar price rises will be felt by most other Australian states,” said Climate Change and Sustainability Minister Shane Rattenbury.

“Canberrans will be paying an average of $800 less per year compared to our Queanbeyan neighbours.  

“Almost all of today’s proposed electricity price increase can be attributed to the ongoing uncertainty around the Federal government’s energy policy. Investment in new energy projects has stalled, as industry awaits a clear plan for the future of energy in Australia, particularly on setting a price on carbon emissions.

“The closure of the Hazlewood Power Station in Victoria, which has commenced shutting down operations this week, and Northern Power Station in SA, which closed last year, mean that we are more reliant on expensive gas generators, which are being hit by higher fuel costs.

 “Thankfully, renewable energy generation is immune to fossil fuel price hikes and is keeping downward pressure on wholesale electricity costs. We know that Australia’s energy future is in renewables, and that’s why the ACT government continues to invest in renewable energy generation and storage.

 

The ICRC notes that their draft determination does not include any increase in costs associated with the ACT’s renewable energy scheme as these costs are under review as part of the national framework for network price regulation.

Public submissions to the ICRC on its draft determination close April 28. For more information at icrc.act.gov.au