A $715 million state budget package to ease financial pressures from households will include $450 million worth in energy bill relief from the WA government.
A $715 million state budget package to ease financial pressures from households will include $450 million worth in energy bill relief from the Western Australian government.
In addition to $116 million funded by the federal government under the Energy Bill Relief Fund, a total $566 million has been invested in the State Budget 2023-24 to assist electricity bill payments from July.
A minimum $400 electricity credit will be provided to all WA households under Synergy and Horizon Power, to be delivered in two instalments in the July/August and November/December billing cycles.
About 350,000 households would be eligible for a $826 subsidy each, comprising $326 from the Energy Assistance Payment and a $500 electricity credit from the state government.
The state government said the 350,000 eligible households were the ones most in the need, including concession, disability, and healthcare card holders.
Small businesses are also eligible to receive a $650 credit, if their annual electricity consumption was less than 50 megawatt hours.
The $566 million energy bill relief package includes $14.9 million provided to the Department of Finance to deliver the credits to households that are not direct customers of Synergy or Horizon Power.
The bulk of the credits will be delivered by Synergy, with $531 million worth, followed by $20.5 million by Horizon Power and the $14.9 million from the Department of Finance.
The $400 household electricity credit initiative was included in the previous budget, while a $600 credit was previously provided in the 2020-21 budget.
There is already $89 million in existing Energy Assistance Payments, according to the budget documents.
As part of the bigger $715 million commitment, $39 million will be used to limit increases in government tariffs, fees and charges to 2.4 per cent in 2023-24 , which the state government claims is below the current and forecast inflation rate, from July 1.
The state government said this was the fourth consecutive year that household fees and charges have been kept below the inflation, which has been projected at a rate of 3.5 per cent in 2023-24.
Electricity and water charges will rise by 2.5 per cent while public transport fares are to increase by 2 per cent.
Across the forward estimates, $16 million will go towards raising the Seniors’ Cost of Living Rebate and $3 million will go towards increasing the maximum grant under the Hardship Utilities Grant Scheme.
The state government also announced $2 million will go towards free public transport for all SmartRider users on the first Sunday of each month for Fare Free Sunday sessions.
WA Premier and treasurer Mark McGowan said the initiatives would make everyday household fees and charges to be lower in 2023-24 than what it was five years ago.
"We are able to deliver further cost of living support because of our responsible financial management and our decision to retain our electricity corporations in public hands," he said.
"By taking these important steps, despite very vocal criticism, Western Australia has reliable and affordable gas and electricity - the complete opposite to the chaos on the east coast.”
