POWER RE­TAIL­ERS NEED TO BE SHOCKED INTO AC­TION

Dairy News Australia - - NEWS - NSW -

Farm­ers and re­gional and ru­ral NSW res­i­dents will see in­creased in their power bill of 200 per cent, ac­cord­ing to NSW Farm­ers’ Pres­i­dent, Derek Schoen. He has called on the Fed­eral Gov­ern­ment and elec­tric­ity re­tail­ers to es­tab­lish short-term and long-term re­forms to pro­vide respite to those liv­ing out­side cap­i­tal cities. “Re­gional elec­tric­ity users are pay­ing the high­est elec­tric­ity prices in Australia, and with the in­tro­duc­tion of costre­flec­tive pric­ing, some users will see in­creases in their elec­tric­ity bill of 200 per cent,” Mr Schoen said. “The typ­i­cal house­hold in the bush pays around $2083, while in Sydney this is $1507.” Mr Schoen said re­tail mar­kets in re­gional ar­eas are not com­pet­i­tive, and re­gional elec­tric­ity users are not get­ting a fair deal on their elec­tric­ity. “If you are in Dubbo, even if you shop around, you will only get a 32 per cent cost-sav­ing on your elec­tric­ity from the de­fault mar­ket of­fer. “If you live in Dar­linghurst you will get a 51 per cent cost-sav­ing. Re­gional users are not re­ceiv­ing the ben­e­fits of a com­pet­i­tive elec­tric­ity mar­ket.” Mr Schoen said an im­me­di­ate so­lu­tion could be the in­tro­duc­tion of a com­par­i­son rate for re­tail elec­tric­ity mar­ket of­fers, al­low­ing cus­tomers to di­rectly com­pare the myr­iad of mar­ket of­fers and find the best deal. “In NSW we have over 100 dif­fer­ent mar­ket of­fers. This is not a sign of com­pe­ti­tion or in­no­va­tion, it is a sign of price opaque­ness. “A com­par­i­son rate, much like those man­dated for loan prod­ucts, would al­low con­sumers to nav­i­gate the myr­iad of of­fers and find the best deal for them. “In the longer-term we need in­cen­tives and feed-in tar­iffs that en­cour­age dis­trib­uted en­ergy re­sources, de­mand man­age­ment, and en­ergy ef­fi­ciency on farms. “I want to see farm­ers con­trol their own des­tiny with re­spect to en­ergy and elec­tric­ity.”

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