New government data confirms large electricity prices are on the way
01 March 2012
New Department of Climate Change data has proven that major electricity price hikes are on the way for Gold Coast households, says local MP Steven Ciobo.
“The latest Department of Climate Change data indicates that electricity generators are going to be hit with a $3.9 billion carbon tax bill and this bill will be paid for by households and businesses”, said Mr Ciobo.
“Treasury has already said that the carbon tax will push electricity prices up by 10 per cent and gas prices by 9 per cent – and these increases will go up and up as the carbon tax goes up,” he said.
“The electricity generators are warning they will ration production and push up prices as a way of clawing back the billions they will pay under the carbon tax.
“It’s not just electricity prices going up – but the prices of every business that uses electricity. Coffee shop prices will go up, bakery prices will go up, airfares will go up and dry cleaning prices will go up.”
Mr Ciobo said the government’s compensation package assumes prices will only go up 0.7 per cent.
“Julia Gillard and Wayne Swan have underestimated the cost of the carbon tax, just like they underestimated the cost of the school halls program and pink batts scheme and just like they underestimated this year’s deficit,” he said.
Mr Ciobo said the carbon tax will hurt household budgets, harm businesses and cost jobs.
“I voted against the carbon tax in the Parliament because it will hurt households and jobs. We opposed the tax in opposition and we will rescind it in government.”