Consumer groups have criticised today’s withdrawal of price protections for residential gas customers. Today’s draft determination from the Independent Pricing and Regulatory Tribunal removes limits on the price increases faced by individual customers.
Previously an individual customer’s bill could increase no more than $15 or CPI plus five percent. These constraints limited any price shock faced by individual households while allowing the gas retailer discretion in setting tariffs.
Today’s announcement gives too much power to energy businesses. It robs customers of the assurance that they will not face price shocks on their gas bill, said Elissa Freeman, Senior Policy Officer, Public Interest Advocacy Centre.
Households are being squeezed by the pricing regulator. This decision fails to protect the interests of consumers.
This decision comes just one week after the pricing regulator announced it would remove price caps on the regulated retail price for electricity.
MEDIA CONTACT: Dominic O’Grady, Media and Communications Officer,
Public Interest Advocacy Centre. Ph: 02 8898 6532 or 0400 110 169