Government to scrutinise market regulator’s draft recommendation

Mines and Energy Minister Geoff Wilson said today that he was disappointed with a draft recommendation from the Queensland Competition Authority (QCA) to increase the price cap for electricity.

Minister Wilson said the QCA, the independent market regulator, recommended an increase of 7% in the uniform tariff from 1 July.

“Queenslanders were hit hard by last year’s increase and that was largely based on the effect of the drought on electricity prices around the country,” Mr Wilson said.

“Even though it’s less than last year, I’m concerned the QCA’s latest draft recommendation may not have fully taken into account the recent widespread rain across Queensland and other eastern states.

“I’m concerned for the customer. Therefore, I have requested my Department to closely scrutinise the QCA’s draft recommended increase to make sure it only reflects a genuine increase in the cost of supplying electricity to Queenslanders.

“I want to ensure that households and businesses in Queensland have access to affordable electricity. A responsible government would do nothing less,” Mr Wilson said.

The QCA’s draft recommendation is out for public comment. Minister Wilson has urged all stakeholders, especially industry, to make their comments known to the QCA.

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