House debates

Tuesday, 7 February 2017

Questions without Notice

Climate Change

2:49 pm

Photo of Malcolm TurnbullMalcolm Turnbull (Wentworth, Liberal Party, Prime Minister) Share this | Hansard source

I will invite the very capable Minister for the Environment and Energy to elaborate, but I will just make this point: the Labor Party's record on energy is not a theoretical thing; it is there for all to see: a 100 per cent increase during their time in government—and look at South Australia. The honourable member opposite does not like to acknowledge this. I wonder, does the honourable member have a backup generator at home? Does he really do that? I think he probably does. I think he has got it hidden there under a tarp in the garage, because he knows that, in that socialist paradise, you cannot keep the lights on.

Comments

Tibor Majlath
Posted on 9 Feb 2017 9:26 am (Report this comment)

The PM says that "the Labor Party's record on energy is not a theoretical thing; it is there for all to see: a 100 per cent increase during their time in government...".

Electricity charged depends in usage. The electricity service charge is based on days billed; it is mandatory and fixed irrespective of usage.

In my case, electricity used went from 13.2 cents/KWH in 2007 to 27.8 cents/KWH in 2013. That is a 111% increase. The fixed daily service charge went from 41 cents/day in 2007 to 99 cents/day in 2013. That is a 142% increase.

The PM's claim checks out. But that is not the entire truth. It is important to know that Labor's carbon tax applied to the price of electricity only. The service charge did not attract the carbon tax.

However, the Coalition's GST was charged on the total bill. So the largest cost component of an electricity bill is made up of the Coalition's GST and the mandatory service charge.

There were many factors driving up prices and the least of which was the carbon tax. It was easy to raise prices when you could blame the Labor party's carbon tax. It was easy to raise prices and replace poles and wires and then to blame Labor's carbon tax especially with the Coalition creating such confusion in Opposition concerning electricity.

In the years under the Coalition the price of electricity went from 27.35 cents/KWH in 2013 to 25.9 cents/KWH. That is a 5% DECREASE. The fixed daily service charge went from 99 cents in 2013 to 121 cents in 2015. That is a 22% INCREASE.

Presumably without the Carbon tax as a cover, and with all those gold-plated poles and wires there is no longer the excuse for massive price rises we saw under Labor.

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