Cost of Living Set To Rise in NSW

Average gas and electricity prices in NSW are set to rise by 18 per cent from 1 July, according to data released by the Independent Pricing and Regulatory Tribunal (IPART).

According to IPART the increase can be attributed to rising infrastructure costs and the introduction of the carbon price.

Director of Advocacy at Anglicare Sydney Sue King said the increase over 2012-13 will cause “deep social and economic exclusion for the most vulnerable households”.

“Combined with increases in electricity prices last year, we are looking at a 35 percent increase in 12 months. That is unsustainable, especially for vulnerable households,” she said.

“Federal and State Government rebates are welcome, but they are not adequate to address systemic issues of increased network costs and the impact of the Carbon Tax.

“Anglicare Sydney is disappointed that the NSW Budget failed to more directly assist vulnerable households, but instead offered rebates to households earning up to $150,000.”

According to King, the organisation saw the highest level of demand in emergency relief it distributed to households who were unable to pay their utility bills after the 2011 electricity price rise.

“We expect a further significant increase in the number of people seeking assistance with bills as a result of these price increases,” said King.

“We also expect an increase in households needing food because they are too financially stressed with bills.

“Rebates alone are not the answer. Long term solutions are desperately needed to reign in network costs, ensure high energy users shoulder a heavier burden under the Carbon Tax and better targeted assistance at vulnerable households rather than upper middle income households.

“For many this winter, it will be a choice between heating and eating.”