Electricity costs are climbing again across Australia’s eastern seaboard after a prolonged stretch of cold weather coincided with a wind power drought, forcing expensive gas-fired generators to meet peak demand.
In an update to be released on Wednesday, the Australian Energy Regulator reveals wholesale electricity prices – which retailers pay for power before supplying it to customers – rose sharply in every eastern state other than Queensland during the three months to June 30...
The increases of up to 99 per cent in Victoria and 86 per cent in NSW were largely driven by greater power consumption from households dialling up their heaters, at the same time as low renewable energy generation, and network and generator outages were weighing on the system.
If higher wholesale prices are sustained, the increases risk flowing through to consumer bills when regulators reset each state’s yearly default price caps in May...
