The prospect of rising electricity prices during the winter months is cold comfort for Tasmanian households struggling with a cost of living crisis.
TasCOSS CEO, Ms Adrienne Picone, said the announcement of the second instalment of the Government’s Renewable Energy Dividend comes as the Tasmanian Economic Regulator has approved an increase in electricity prices.
“While welcome bill relief for the tens of thousands of Tasmanian households struggling to afford their energy bills, the $60 one-off Renewable Energy Dividend will be quickly consumed by the $50 increase in electricity bills announced by the Tasmanian Economic Regulator earlier this week,” Ms Picone said.
“The Renewable Energy Dividend is a poorly targeted rebate that will gift $3 million in energy bill relief to the wealthiest 20% of households in Tasmania.
“Given the constraints on our state’s finances, Government spending must be efficient and targeted to ensure the most benefit goes to those most in need.
Ms Picone said the announcement of a $60 rebate comes the day after the Tasmanian Economic Regulator released their price determination that will see electricity prices rise by more than 2% from 1 July, adding around $50 to an average household bill.
“The latest pricing announcement means that since 2022, electricity prices have increased by 26%, more than double the rate of inflation, adding an extra $490 to an average household bill.
“Energy bill rebates are necessary in the current climate of a cost of living crisis and rising electricity prices, but they are one-off supports that do not address the underlying issues of high energy consumption or rising energy costs.
“To support people on low incomes and guard against the impact of future price increases, TasCOSS continues to call for greater investment in household energy efficiency upgrades and rooftop solar, to improve the thermal efficiency of our poor housing stock, reduce energy consumption and lower household energy bills over the long-term.”