$275 ENERGY PRICE PROMISE – OFFICIALLY BROKEN

Joint Media Release with the Shadow Minister for Climate Change and Energy, the Hon Ted O'Brien MP

The Albanese Labor Government has run out of excuses after officially breaking its election promise to reduce household energy bills by $275 following the release of draft regulated electricity prices today.

The draft Default Market Offer has confirmed that Labor has fallen short by up to $1,027 of its promised price reduction for everyday households, equivalent to a 37% increase since Labor came to power.

Small businesses have also been hit hard by Labor’s spiralling energy crisis with bills soaring by up to $2,047 since Labor made its fatal promise.

As a sign of the suffering faced by everyday Australian households, startling new numbers from the AER have also revealed 116,753 people have been placed into hardship due to their skyrocketing energy bills and 192,459 people are now in energy debt.

The Shadow Minister for Climate Change and Energy Ted O’Brien said Labor’s broken promise on energy prices was “unforgiveable”.

“Labor was elected on a promise that it would reduce household electricity bills by $275 but instead Australians are now paying among the most expensive bills in the world,” Mr O’Brien said.

“The Australian people deserve nothing less than a complete and unreserved apology from Prime Minister Albanese for making households and businesses pay for his failures.”

“Labor has lost all credibility on energy prices and has completely shattered its trust with the Australian people.”

“Labor has failed to deliver on its all-important promise to reduce energy prices by $275 on 2021/22 levels and now owes the average Australian household up to $1,027.”

Despite the power price pain felt by millions of Australian households and businesses, Labor has refused to admit its $275 promise was a lie. Labor repeated this claim on 97 separate occasions ahead of the last Federal election and reiterated it after the invasion of Ukraine.

Shadow Minister for Energy Affordability and Western Sydney, Melissa McIntosh said Labor had abandoned everyday Australians who were suffering amidst Labor’s cost-of-living-crisis.

“After dodging questions on Labor’s $275 power price promise there is now nowhere left for the Prime Minister to hide,” Mrs McIntosh said.

“To achieve Albanese’s election pledge of $275 off a family home’s electricity bill, the highest cut needed to be more than $1,000 for Penrith, Fairfield, Narellan and Parramatta residents and this has not happened in today’s draft DMO.”

“Since Labor took office, Western Sydney has been hit hard, with customers experiencing a cumulative electricity cost increase of up to 37.34% or $752.”

“This is a massive hit for families in Western Sydney.”

The draft DMO, released by the Australian Energy Regulator, sets the ‘reference price’ for electricity bills for the 2024-2025 period and will now be consulted on before the final determination is made in coming months.

The final 2023-24 DMO recorded a slight increase in the overall cost of electricity, throwing into the question the likelihood of any substantial changes before the final determination for the 2024-25 DMO is made.