Queensland electricity: Consumers to pay more as deregulation kicks in

A MAJOR change affecting electricity prices in southeast Queensland kicks in today - and there’s only one power retailer which does not plan to slug consumers with an increased tariff.

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QUEENSLANDERS will pay as much as $108 more per year for power as full deregulation kicks in today.

Power retailers in southeast Queensland will now be able to set their own prices for standing offer contracts, a shift from previous protocol which saw the Queensland Competition Authority set the standard rate.

Statistics provided by online consumer research and rating service CANSTAR reveal that Click Energy customers will be hit hardest with an increase of 5.53 per cent per quarter or $108 per year, followed by ­Energy Australia (4.62 per cent, $96) and Origin (3.4 per cent, $68).

AGL is the only company which does not plan to slug consumers with an increased tariff.

Queensland Consumers Association spokesman Ian Jarratt said that about 30 per cent of southeast Queensland consumers use standing offer contracts and urged high consumption users in particular to shop around for the best deals.

“This will result in significant differences between retailers in the daily charge and usage charge components of these bills,” Mr Jarratt said.

“Shopping around can ­result in substantial savings for many consumers, especially those with high levels of ­consumption.”

Market newcomer Mojo Power has welcomed the move to deregulation, as it provides consumers with the chance to change company based on their power consumption.

Mojo offers a subscription-based service in which households can buy an “Energy Pass” membership on a monthly or annual basis and receive wholesale electricity prices in exchange. “It definitely favours larger households as there is a fundamental problem in the industry right now where retailers are making more from those types of households,” Mojo chief executive Jim Myatt said.

“Southeast Queenslanders have been ripped off for so long so we’re looking forward to getting into the market come September and October,” Mr Myatt said.