Power Price Rise News Put Off Prior To Election
However, there was also some writing hidden delayed by the Morrison Government that turned out to be a booby trap for the incoming Albanese government.
Here’s what happened.
The Liberals’ plan going into the election, last updated on May 16, 20223, stated under “Affordable, Reliable Electricity”:
“We are now turning the corner on power prices. Household electricity prices in the National Electricity Market have fallen by 8%, and for businesses by 10-12% over the past two financial years. The ACCC says that electricity costs are now the lowest they have been in 8 years.”
… what it didn’t mention is things were about to start going to hell in a handbasket. We were certainly turning a corner, but into a dark alleyway in the seediest part of town.
Each year, the Australian Energy Regulator (AER) sets the Default Market Offer (DMO) for the following financial year in New South Wales, South Australia and South-East Queensland. The DMO basically sets the stage for other electricity offers in those regions.
The AER usually releases its final determination on May 1, but was given extra time this year by the then-Morrison Government. The 2022 Australian federal election was held on Saturday 21 May. The AER didn’t release its determination – which contained some nasty news about electricity price rises – until May 26. In my opinion, this was really grubby stuff.
If Scotty, Barnaby, Angus and co. were still at the helm, they would be faced with the same issues today. And what hasn’t helped this situation was the Morrison Government faffing about on energy policy, sucking up to fossil fuels (which are a major part of the electricity price problem) and holding back renewables.
Under Labor’s Powering Australia Plan, the party says it will cut power bills by $275 a year for households *by 2025*, compared to December 2021. Labor has quite a job ahead of it over the next couple of years or so. Even if it is achieved, that still doesn’t get it off the hook for what’s happening now.
