Cost of living Qld: Soaring power prices land 23k on hardship plans

Cooking in a backyard firepit, going to bed when it gets dark and hardship payment plans: the spiralling cost of electricity is taking its toll on Queensland residents.

Rising electricity prices have put a record number of Queenslanders on the brink of losing power to their home, with tens of thousands forced to sign up to payment plans, shock new data has revealed.

And some are going to desperate lengths to save on energy, with a quarter of Queenslanders avoiding using the stove — and some even turning to outside fire pits just to boil the kettle.

The increasing burden of electricity bills on households has sparked calls from leading charity St Vincent de Paul Society for the state government to extend a $550 power rebate in the upcoming budget and do more for vulnerable Queenslanders.

A record 23,242 Queensland households are signed up to hardship programs with their power providers — payment plans to help customers get back on top of their bills — according to the latest data from the Australian Energy Regulator, exclusively obtained by The Courier-Mail.

The data, from the first quarter of 2023-24, is higher than that of the previous financial year when 22,900 customers were on hardship plans and is a significant increase on the 17,647 on payment plans during the height of Covid-19.

And the average debt for a Queensland household when they enter a hardship program, $886, is lower than in previous years — signalling people are seeking help sooner as cost-of-living pressures bite.

St Vincent de Paul Society Queensland chief Kevin Mercer said the charity had seen some “quite frightening” cases of people coming to them with bills over $1000 for the quarter.

“These are people on low incomes, and there’s just no way they’ll ever be able to pay those,” he said.

“We’ve heard some other stories where people just turn their lights off and cut the usage way down.

“They’ll go to bed when it’s dark and not turn the lights on.

“(These are) desperate measures people are going through to keep that cost down … it’s really impacting people’s quality of life and living standards.”

Disability pensioner and mother Bailey Weams is struggling to pay her family's electricity bills amid soaring prices. Picture: Lachie Millard

One in five people surveyed for Queensland Council of Social Service’s latest affordability report revealed they were going to bed earlier to keep warm during the colder months.

A quarter were changing the way they cooked, including not using the oven, while just over half reduced the use of heating or cooling appliances such as airconditioners and heaters.

The most vulnerable households said high energy costs were having a significant impact on their budgets, despite electricity rebates worth up to $1072 for low-income families.

One Queenslander quoted in the QCOSS report stated energy was becoming far too expensive.

“I turn off everything I am not using at the wall, and use a wood heater to keep house warm,” they said.

South East Queenslanders on the default market offer — the maximum retail electricity fee — copped a 21.5 per cent increase on their electricity bills at the start of the 2023-24 financial year.

Regional Queenslanders were hit with the highest power price increases in the country, with the average bill rocketing up 28 per cent for the 2023-24 financial year based on a decision by the Queensland Competition Authority.

But this doesn’t take into account the $550 rebate every Queensland household was set to receive over the financial year.

While a record number of Queenslanders are on hardship plans with their power providers, the proportion of energy users in the state requiring help is the lowest in the country.

Mr Mercer said the state government’s rebates had helped vulnerable Queenslanders, and called for the measures to be extended and potentially increased.

“We’d really hope that those are maintained and if not increased for vulnerable groups, because I don’t think it’s getting any easier for people … to meet those increased cost pressures,” he said.

Treasurer Cameron Dick said the government was looking again at progressive coal royalties to fund more cost-of-living relief in the upcoming budget.

‘ENOUGH FOR GROCERIES IF WE’RE CAREFUL’

Keeping her Sunshine Coast home cool and comfortable is not a luxury but a necessity for Bailey Weams, 47, whose disability requires strict regulation of her body temperature.

But the need to power disability equipment, not just for herself but for another member of her household, means electricity bills have become a significant burden.

Ms Weams shares her public housing unit on the Sunshine Coast with her partner — who is her carer — and their two children. She says the family forgoes many luxuries to be able to pay their bills.

“(The power bill) is anywhere between $1000 and $1400 a quarter,” she said.

“We make sure the internet’s on for the kids and their schooling; usually we have enough for groceries if we’re careful. But that depends.

“Sometimes we use things like the university, because I’m a full-time student as well, has food hampers and stuff that can help.

“We don’t really do a lot, or go out or anything.”

Ms Weams said her biggest gripe was the government handing subsidies for private homeowners to put solar on their roofs, but not providing solar panels on public housing, which could help save the most vulnerable on their power bills.