The Queensland Government has conceded that QLD’s competitive power market is having the perverse impact of increasing prices for power. The Queensland Competition Authority allows electricity retailers to estimate their annual costs for gaining and retaining customers and pass them on in the price. Queenslanders are being charges $130 per customer which is higher than most other states.
The Courier Mail claims the QCA is also forcing households to pay up to 7 times the real price for gas-fired electricity. Retailers can charge $2.84/MWh for the 15% of electricity they must source from gas under Queensland Government rules. The retailers buy this energy for considerably less.
The Queensland Government has also acknowledged wholesale power prices are cheaper now than they were 4 years ago but consumers don’t see any benefits from this.