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GBE hearings: Energy Minister Nick Duigan was grilled on electricity prices in Aurora Energy hearing

Tasmania’s newest government minister has felt the heat over rising electricity prices. What was said during parliamentary scrutiny of Aurora Energy.

An Aurora Energy technician installing an advanced meter. Picture: Supplied
An Aurora Energy technician installing an advanced meter. Picture: Supplied

The state government and Aurora Energy have drawn attention to their efforts to help Tasmanians’ pay their bills, as thousands more households fall into energy debt.

Less than two months into the job Energy Minister Nick Duigan faced scrutiny over electricity prices from a parliamentary committee looking at Aurora Energy.

Tasmanian household electricity bills have gone up more than 20 per cent in two years - a 9.5 per cent rise from July, following an 11.88 per cent rise the previous financial year.

Significant rises in wholesale prices nationally have contributed, with the state now linked with the National Electricity Market.

Reading from Liberal energy policy - dating from when the state was not linked with the mainland market - Labor energy spokesman Dean Winter asked Mr Duigan to explain why the state government wouldn’t again cap energy prices.

“It 2018 your government promised and delivered a cap on power prices supported by Labor,” Mr Winter said.

“Why is your government refusing to implement your own policy?”

Dean Winter Labor member for Franklin. Picture: Nikki Davis-Jones
Dean Winter Labor member for Franklin. Picture: Nikki Davis-Jones

Mr Duigan said the Tasmanian Economic Regulator was the appropriate body to determine electricity prices.

“I don’t think political parties setting power prices is a good place to be,” he said.

Mr Duigan said the state government had taken “unprecedented action” to help people in need to pay their bills.

“The government is extremely well aware of the issues facing Tasmanians in regard to the rising cost of living. Interest rates, petrol prices, grocery prices and wherever you care to look,” he said.

This included 140,000 Tasmanian households and 35,000 small businesses being eligible for energy bill relief.

Mr Winter pointed to the 14,000 customers in energy debt - an increase of 3000 people since last year.

The amount owed increased by $5m to $15m.

Aurora CEO Nigel Clark said energy debt was a national issue related to the overall cost of living crunch and debt accumulated during the pandemic.

“The debt increase we have seen is not unusual to what we have seen across Australia,” he said.

Aurora Energy issued a statement saying it continued to support customers at “a time of great change and uncertainty”.

Mr Clark said close to 65 per cent of all customers had their basic meter replaced with an advanced meter, which would help people take control of their bills.

“Knowing the benefits of aurora+, we encouraged more customers to take advantage of this digital channel to better understand and control their energy costs. Now almost 80,000 Tasmanians are making the most of this smart technology,” Mr Clark said.

Aurora’s 2022-23 profit after tax of $8.2m.

blair.richards@news.com.au

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Original URL: https://www.themercury.com.au/news/tasmania/gbe-hearings-energy-minister-nick-duigan-was-grilled-on-electricity-prices-in-aurora-energy-hearing/news-story/71f7a18fb5992567380976c136e1864c