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Use funds to cap power prices: Hodgman

02 Sep, 2010 09:37 AM
AN UNEXPECTED budget windfall should be used to cap power price rises, the state opposition said yesterday.

The 2009-10 state budget ended up with $46 million more than predicted, and Opposition Leader Will Hodgman said it should be used to offer a short- term solution to steeply rising power prices.

He asked the Premier to allocate some of the $46 million to alleviate price hikes - just as the government did with water and sewerage prices last year.

Treasury costed a 5 per cent price rise cap at $23 million earlier in the year.

"The situation with Aurora bill increases is exactly the same as the situation with water and sewerage bill increases," Mr Hodgman said.

Premier David Bartlett did not directly address the question yesterday, and instead said the government had already committed to a number of concessions for struggling Tasmanians.

He also said the opposition needed to offer more to improve the situation for Tasmanians struggling to pay the bills.

Mr Bartlett said the Social Inclusion Committee would look at ways to reduce the cost of living.

Labor promised to cap power price rises at 5 per cent during the election campaign, but reneged on the promise after the election.

Treasurer Michael Aird said the price rise cap could not be legislated due to Aurora's financial position.

This week the Tasmanian economic regulator published a draft price rise of a further 10.6 per cent this year, taking the full price rise to 16.6 per cent for the 2010-11 financial year.

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comments


Date: Newest first | Oldest first
Yes please. If we have a surplus why shouldn't it be used to help pretty much every Tasmanian.
Posted by Deb P, 2/09/2010 11:16:20 AM, on The Examiner
Spot on Will.
Posted by ab, 2/09/2010 4:44:02 PM, on The Examiner

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