The energy industry has welcomed the West Australian Government’s plan to increase competition in WA’s electricity market as a sensible approach and a win for households.
The Australian Energy Council’s Chief Executive, Matthew Warren, said more competition in gas and electricity markets was a win for both households and small business.
“Competition is the best way for customers to get the best deal for energy. It’s even more important given the growth of new consumer energy technologies that can help consumers save money,” Mr Warren said.
“Energy is rapidly shifting from being a utility service into a consumer good. Consumers demand choice and the ability to tailor the service to meet their needs. This is an important step to delivering this.
“Competition can only work in WA if everyone is on the same level playing field. That’s why having energy prices move towards their true cost is so important.
“Cost reflective pricing for energy is long overdue in WA. First it will be fairer, as big energy users would no longer be subsidised by more frugal ones.
“It will also bring in new competitors and create clearer incentives for technologies that help customers to use energy more efficiently, while saving taxpayers more than $300 million a year.
“We have seen the benefits of competition in WA’s gas market. That same drive to compete and win over customers through better deals and service offerings will emerge in electricity.
“Full retail competition for electricity has already been introduced into every other state in Australia. The WA grid is unique in many ways, but its customers should still be able to benefit from a dynamic, competitive market.”
About the Australian Energy Council
The Council represents 21 major electricity and downstream natural gas businesses operating in competitive wholesale and retail energy markets. These businesses collectively generate the overwhelming majority of electricity in Australia and sell gas and electricity to over 10 million homes and businesses.
Media contact Carl Kitchen 0401 691 342
Australian retail household electricity prices in the National Electricity Market are the lowest they have been for eight years and are the 10th lowest of the 38 OECD countries, according to analysis undertaken by the Australian Energy Council.
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