Australian Energy Regulator approves up to 9% power price hike

Electricity prices in Australia are set to rise by up to 9% from July, according to the Australian Energy Regulator (AER), impacting households and small businesses in New South Wales, Queensland, and South Australia. The increases, which range from 4.2% to 8.9% for households and 4.2% to 8.2% for small businesses, are attributed to rising wholesale and network costs, alongside outages at coal-fired power stations and low renewable energy output. Energy Minister Chris Bowen emphasized the need for integrating cheaper renewable energy sources to lower costs, as the government aims to fulfill its promise of reducing power bills by $275 by 2025. The upcoming federal election, due by mid-May, will likely see the cost of living and energy prices as key issues, with the Labor government facing scrutiny for failing to deliver on its previous commitments. In Victoria, however, the Essential Services Commission expects only minor fluctuations in energy prices. The AER's chair acknowledged the pressures on households and small businesses regarding rising living costs and noted that many could find better pricing options if they shop around.