Power price pressure grows as Liberals hide heads in sand

Tasmanian Labor

Tasmanians were promised by Guy Barnett and the Tasmanian Liberals that Tasmania would de-link from the National Electricity Market and that this would save them 7-10% on their power bills.

After breaking its promise, the government slugged Tasmanians with a 12 per cent increase on 1 July – costing an average $227 per household.

This week’s Federal Budget then forecast another 20 per cent increase this year, followed by another 30 per cent increase next year.

While the Guy Barnett accuses Labor of “scaremongering”, the fact is that energy analysts agree there will be massive price rises over two years.

Energy expert Marc White said the situation is even more urgent for 4,000 businesses, as they face a 50 per cent increase in power prices right now.

As Mr White said yesterday, with Tasmania’s dams currently so full that they’re spilling, “…this is not a local problem. This is an issue of importing price volatility from the mainland’s problems”.

Tasmanians cannot afford further price rises in the midst of a cost-of-living crisis and the government must now commit to Labor’s plan to cap power prices for next financial year to provide the relief they need.

And if the government won’t listen to thousands of ordinary Tasmanians, they need to listen to energy experts who support Labor’s plan.

The Government’s media release today shows how worried they are. Tasmanians do not understand why they are paying for mainland pricing chaos. It’s no wonder, the Government went to an election promising to de-link from national pricing.

Recent rain has filled Hydro Tasmania’s dams. There is no energy issue here in Tasmania, yet we have households facing the highest cost of living increases since 1987 – with power prices the main contributor.

Dean Winter MP

Shadow Minister for Energy

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