Qld Premier Steven Miles digs into coal royalties for $2.5bn energy bill rebate

Households in one Australian state will receive an upfront $1000 payment on their power bills come July 1.

Queenslanders will get a $1000 energy bill rebate, paid for by coal royalties.

Premier Steven Miles and Treasurer Cameron Dick announced the $2.5bn payment on Thursday.

The upfront, per-household cash splash will be applied from July 1, and the Premier says it means people won’t pay a cent for electricity for the first three months of the financial year.

“We are delivering the biggest cost-of-living relief package in Queensland history to back Queenslanders in the fight against inflation,” Mr Miles said.

Cost of living is Queenslanders’ biggest concern, the Premier says. Picture: NCA NewsWire/Tertius Pickard

The Queensland government paid a $550 power bill rebate this financial year, plus $325 off bills for small businesses.

Under Thursday’s announcement, eligible seniors, pensioners and concession card holders will receive $1372 off their power bills.

Inflation, rising mortgage repayments, rent and groceries were Queenslanders’ biggest concern, the Premier said.

Queensland Nationals senator Matt Canavan loves coal. Coal royalties are paying for the energy bill relief. Picture: NCA NewsWire/ Dylan Robinson

A $1000 payment would halve most household’s yearly power bill, he said.

“I said we would use the budget to deliver cost-of-living relief, but I’ve decided it’s too urgent to wait that long,” Mr Miles said.

Last year, the Queensland government posted a $14bn surplus on the back of a coal royalty scheme that left miners threatening to leave the state.

The payment means many households will not pay a cent for power until 2025, Steven Miles says. Picture: Dan Peled / NCA NewsWire

The Treasurer said the $2.5bn power bill payment came from miners paying what they should.

“Our investment back into the people of this state is only possible because the Miles Labor government is collecting Queensland’s fair share of coal royalties from multinational mining companies,” Mr Dick said.

Coalminers operating in Queensland have threatened to not invest in the state while Labor’s royalties scheme is in place. Picture: NCA NewsWire / David Clark

A state election looms in October. Last month, Mr Dick revealed total government debt was due to hit $188bn by 2027/28, according to preliminary Treasury forecasts.

The Treasurer foreshadowed the election could not be an “unsustainable spending spree”.

A special appropriation Bill will be introduced to bring forward the $1000 payment.

Originally published as Qld Premier Steven Miles digs into coal royalties for $2.5bn energy bill rebate