Electricity Prices to Rise 30% in the next 2 years

Archived News, Posted on 15 Jun 2011

Federal Governements Chief Energy Adisory Group has released a report that says households will be forced to pay up to 30 per cent more for electricity by mid-2013.

The Government's chief energy advisory group was asked by the Council of Australian Governments (COAG) to forecast electricity price trends over the next three years.

The Australian Energy Market Commission has warned higher infrastructure costs will cause household electricity costs to rise across the country.

The report found the Federal Government's plan to have 20 per cent of electricity from renewable sources by 2020 will contribute 11 per cent to the price rise.

Most of the price hike is due to greater energy needs and the increasing cost to maintain power grids. Higher fuel prices and uncertainty over a carbon price will also drive up wholesale electricity costs.

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