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$450 rise in utilities bills hit households hard

Love energy

SOUTH Australian households will pay an extra $446 on utility bills this financial year - and it will get worse.

An analysis by The Advertiser  shows the combined cost of utility bills for the average household will be $3231, a 16 per cent increase on last financial year, and well outstripping CPI.

A further hit to the hip pocket will come next year with SA gas distributor Envestra announcing yesterday it plans to pass on increased network tariff charges expected to cost the average consumer about $42 a year, and raise total retail gas prices for 2012-13 by $96.

Welfare groups say the increases are "absolutely blitzing" any rise in income among the state's poorest people.

"The impacts are profound, particularly for people with the lowest incomes in South Australia," South Australian Council of Social Service executive director Ross Womersley said.

The average regulated electricity bill has risen $290.26 to $1529 in the past financial year, while gas bills jumped $84.03 to $692.77 excluding GST, Essential Services Commission of SA figures show.

This was combined with an expected $72 increase in water bills to about $1010, according to an SA Water spokeswoman.

It has resulted in an overall $446 increase in utility bills for the average household. Mr Womersley called for the State Government to reconsider concessions available to those on low incomes.

Envestra's announcement came after the Australian Competition Tribunal upheld part of the company's appeal against an Australian Energy Regulator ruling rejecting Envestra's proposed increases to its gas distribution network charges from July 1, 2011.

The company said the ruling was expected to provide about $80 million in increased revenue to June 2016, helping it to meet increased costs. But managing director Ian Little said it meant the average gas consumer was likely to pay about $42 a year more when the charges were introduced, probably on July 1.

"We're not pleased about the tariffs going up, but they have to go up to reflect the costs we incur," he said.

Essential Services Commission of SA chief executive Paul Kerin said the average gas bill was expected to rise by about $96 on July 1 to include Envestra's added charge.

Source: Adelaide Now - www.adelaidenow.com.au

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Friday, January 13, 2012

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