Origin called to account
Published Thursday, 13 March, 2008 at 11:57 AM
Minister for Mines and Energy
The Honourable Geoff Wilson
Mines and Energy Minister Geoff Wilson has told State Parliament that his Department had issued a Show Cause Notice to Origin Energy following concerns that some pensioners were missing out on their electricity rebate.
“This is the second time we’ve had to take them to task recently, and frankly I’m sick of it,” Mr Wilson said.
“Last night I contacted senior executives of Origin and told them in no uncertain terms to fix it, and fix it fast. Origin must repay this money immediately,” he said.
Minister Wilson said he was very concerned by reports that some pensioners had been missing out on an electricity rebate from the State Government and were being wrongly charged for the ambulance levy.
“I’ve instructed my Department to conduct a full investigation. There are stiff penalties for this sort of failure by a retailer with fines of up to $100,000,” he said.
“I’ve also told other electricity and gas retailers to make sure their own houses are in order.”
The Minister said he was also very concerned about a draft decision by the Queensland Competition Authority (QCA) to increase the price cap for electricity to 7%.
“Queenslanders are facing increasing pressure as the cost of essentials rise – petrol and interest rates are up - and I want to ensure any increase in electricity reflects a genuine increase in the cost of supplying electricity.
“We know that people are doing it tough. We’re helping to ease the strain with subsidies worth hundreds of millions of dollars, rebates and hardship funds for people in financial crisis.
“And we will continue to do everything in our power to make sure they’re delivered.
“We want to ensure that Queenslanders have access to affordable energy,” he said.
The Government has lodged a submission with the independent market regulator.
“We’ve made it clear that the QCA should critically review its calculations. My concern, first and foremost, is for Queenslanders and I will continue to strongly argue their case before the independent market regulator,” Mr Wilson said.
“Any change in the electricity price cap should be genuine. The people of Queensland would expect nothing less,” he said.
The State Government is also concerned about price increases in the residential gas market.
“I’ve informed the QCA that they will be required to review the extent of competition in the residential gas industry to ensure that gas prices, like electricity, only reflect the true cost of supply.
“It’s called a fair playing field,” he said.
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