KAP State Members Robbie Katter is calling for Energy Minister Mark Bailey to remove unnecessary regulated margins from household and business electricity prices to reduce them by 5 per cent.
Mr Katter’s call come after the state government intervened to halve the price rises proposed by the electricity regulator (Queensland Competition Authority) in regional Queensland.
Now Mr Katter is saying they should intervene again.
“The regulatory mechanism that calculates prices for regional Queensland customers is not delivering the right outcome,” Mr Katter said.
“The QCA calculates the price and requires the estimation of prices based on a so called “efficient retailer” operating in a competitive market.”
Mr Katter said this calculation included a 5 per cent margin above the estimated cost known by the QCA as “Headroom and Standing Offer Adjustment”
“The government and the QCA may see this margin as necessary, but here in the real world it just sounds like we’re paying more than we need to for electricity,” he said.
The government and the QCA may see this margin as necessary, but here in the real world it just sounds like we’re paying more than we need to for electricity.
- Robbie Katter
“With the Minister directing the QCA to recalculate regulated prices for 2017-18, this is a perfect opportunity to remove the unnecessary 5 per cent margin.”
Mr Katter said his party had a clear objective on energ to minimise cost to stimulate development and jobs, even if it comes at the expense of the revenue of government owned businesses.
“The government’s objective appears to be maximising the revenue of their corporations but the KAP’s objective is to use energy as the enabler of economic development,” he said.
“I’d rather see that money stay in the hands of households and businesses so they can spend and invest as they see fit.”
The North West Star has contacted the QCA for comment.
Derek Barry
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
Editor of the North West Star Mount Isa since January 2016. Prior to that, an editor at several regional southern Queensland newspapers. Passionate about telling local stories. Comes with a strange accent to due an Irish accident of birth.
