Consumers are expected to be hit with a double-digit price increase on their power bills from July, as the Australian Energy Regulator allows retailers to pass on the costs of surging wholesale power prices to consumers.

A new report by the AER showed wholesale power prices had doubled in most states in the first quarter of this year, including NSW (to $89 per megawatt hour) and Victoria ($64/MWh), while they quadrupled in Queensland to $171/MWh.