Electricity prices in Australia have steadily increased over the past five years. They’ve shot up at nearly four times the rate of inflation. New data from the Australian Bureau of Statistics shows the following electricity price increases from 2005 to 2010 in Australian capital cities:
- Sydney: 61.3%
- Melbourne: 56.8%
- Brisbane: 50.7%
- Canberra: 45.9%
- Darwin: 35.9%
- Perth: 35.8%
- Adelaide: 16%
The average increase in customer electricity prices from 2005 to 2010 was a massive 16%.
As you are aware, this trend of increased cost is causing serious financial strain on families throughout Australia. The typical power bill for households in Australia is $1000. That’s according to IPA Researchers.
Although Australia has abundant energy resources, Australians continue to pay too much for electricity. Much of this has to do with state and federal regulations. Renewable energy initiatives continue to increase the price of electricity and raise costs for families and businesses in Australia.
Due to energy policy uncertainty, higher electricity transmission / distribution costs, and higher fuel costs, Australia’s electricity prices are expected to triple over the next decade, according to Origin Energy.
How Carbon Tax Affects Electricity Prices
Although it’s difficult to determine the exact impact of the carbon tax, it will increase household expenses. According to ABC News, electricity prices could rise by as much as $218.40 per year for the average household. Staying afloat financially is hard for many in the face of such cost rises, many of us living from paycheque to paycheque.
How Can Consumers Reduce Electricity Prices?
Common household items like heavy energy consuming appliances and lights can use extra power and increase the power bill as a result. Low levels of insulation in a house can also reduce energy efficiency and increase electricity charges, making for bigger bills than are necessary.
Additionally, the type of meter used will raise an electricity bill significantly. GH/GL meters are more expensive than GD/GR meters. A customer can save money by using appliances during the off peak period since off peak meter rates are cheaper. This will require a two rate meter to record off peak and peak consumption for this purpose.
Consumers can use the following tips to reduce electricity prices and save on energy bills:
- Make sure that your house is insulated and sealed. Replace any weather strips on windows and doors if necessary.
- Open curtains in the daytime to allow natural sunlight in, and close curtains and windows when trying to keep heat in.
- Only turn on the heat for when you actually in your home.
- Turn off the heat when going to bed and use extra blankets instead of electric blankets.
- Turn off the hot water heater when going on holiday.
- Turn off and unplug all appliances when not in use.
- Turn off lights when leaving a room.
Get a Better Deal on Your Electricity Bills
At Electricity Wizard, we do all the hard work for you. When you call us, we’ll compare your rates and plans against our preferred suppliers available in your area and help you select the right plan. Help you select a plan that should cut down your costs whilst meeting any other criteria that is important to you in having your energy needs met. Best of all, our service is completely free – so what do you have to lose?