The Australian Energy Regulator’s revenue determination for the period 2019-2024, announced today, represents a fair outcome for NSW consumers, and will help curb rising household energy bills.
‘Overall, this determination is welcome news for NSW consumers,’ said Craig Memery, Team leader in PIAC’s Energy + Water Consumers’ Advocacy Program.
‘It builds on the downward pressure we have seen on electricity prices since the peak of 2012, as the businesses have been pushed to become more efficient.’
The AER’s determination sets out the amount of revenue electricity distributors are able to recover from consumers from 1 July 2019 to 30 June 2024. Distribution prices make up around a third of the average energy bill.
PIAC represented NSW energy consumers in detailed consultations with the three NSW electricity distributors (Essential Energy, Ausgrid and Endeavour) and the AER throughout the determination process.
‘More open and honest consultation with consumers and consumer advocates such as PIAC throughout this process has resulted in hundreds of millions of dollars in revenue being taken off the table that might otherwise have been charged to consumers,’ said Craig Memery.
‘That said, there is always room for improvement: consumer engagement must not become an end in itself, and must not end with the regulator’s decision. Consumer engagement must continue to inform how they interact with and meet the needs of consumers on a day-to-day basis,’ added Craig Memery.
‘The AER’s determination is significant in making energy more affordable and accessible for all consumers, but electricity prices remain a source of financial stress and worry for too many NSW households, and there is more work to be done. PIAC estimates that with the right reforms across the energy sector, NSW energy bills could be 25% lower in 2025 than they were in 2018.’
Media contact: PIAC Media and Communications Manager, Gemma Pearce – 0478 739 280