2003 Price changes to
deemed/standing offer tariffs
Electricity
AGL and AGL
Victoria (formerly Pulse) were permitted CPI increases see Gazette
(Special Gazette No. 229 3rd
December 2002) for prices to apply as of
4th February 2003. The increase is average only, so some
tariffs have risen above CPI - this
particularly affects off-peak electricity. EAG also notes that domestic
standing charges are rising above CPI and regard this has highly inequitable
and question its basis in costs.
Citipower
(Origin) were not permitted a CPI increase and were in addition told to cut
prices by 4% (real cut of 7.1%)
Origin were denied the CPI increase, effecting a
cut in real terms of 3.1%
TXU did not seek
any increase, but were instructed to cut by 4% see Special Gazette No. S 32
Wednesday 5 March 2003
These cuts
vindicate customers’ protests this time last year who submitted that the
proposed increases were too high.
New tariffs for
Origin (Citipower network area, Special Gazette S228 3 December 2002, prices
effective 4 February 2003), TXU and Origin
(Powercor network area, Special Gazette S17 30 January 2003 page 3 onwards –
prices effective from 4 February to 28th March 2003)
please note that Powercor separated its
distribution (network) function from its retail function – its retail arms is
now owned by Origin who later bought Citipower’s retail arm. Likewise United Energy separated its retail
arm out, which became “Pulse” which in 2003 was then bought by AGL.
Gas
AGL
allowed CPI increase of 3.1%
Origin denied CPI
increase – effective cut of 3.1% gazetted prices
(Special Gazette S17 30 January 2003 first 2 pages only for gas)
TXU sought 14.3%
increase and were permitted a 9% increase. Prices are expected to rise further
as Government accepts TXU’s claim that many of their tariffs under-recover
costs.
Special Power
Payment now called Network Tariff Rebate, and has been cut to $57m per annum
from $118m – reflecting lower electricity charges, and EAG believes a greater
reliance on analysis (following the engagement of consultants to look at the
issue).
Victorian
Government still failing to address why there is upward pressure on prices for
electricity. Growth in consumption, especially summer peak demand is pushing
all prices up, including off-peak tariffs. Until something is done about
dampening domestic refridgerative
air-conditioning, everyone will experience increases in prices…