Victorian Energy Prices July 2010 January An update-report on the Victorian Tariff-Tracking Project

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Victorian Energy Prices July 2010 January 2011 An update-report on the Victorian Tariff-Tracking Project January 2011

Disclaimer The energy offers, tariffs and bill calculations presented in this report and associated workbooks should be used as a general guide only and should not be relied upon. The workbooks are not an appropriate substitute for obtaining an offer from an energy retailer. The information presented in this report and the workbooks is not provided as financial advice. While we have taken great care to ensure accuracy of the information provided in this report and the workbooks, they are suitable for use only as a research and advocacy tool. We do not accept any legal responsibility for errors or inaccuracies. The St Vincent de Paul Society Victoria does not accept liability for any action taken based on the information provided in this report or the associated workbooks or for any loss, economic or otherwise, suffered as a result of reliance on the information presented. If you would like to obtain information about energy offers available to you as a customer, go to the Essential Services Commission s website www.yourchoice.vic.gov.au or contact the energy retailers directly. Victorian Energy Prices July 2010 January 2011 An update-report on the Victorian Tariff-Tracking Project St Vincent de Paul Society Victoria Melbourne, January 2011 St Vincent de Paul Society Victoria Locked Bag 4800, Box Hill, VIC 3128 www.vinnies.org.au Contact: Gavin Dufty Manager Social Policy Unit 1

Acknowledgements The Society of St Vincent de Paul Victoria is grateful for the funding provided by the Consumer Utilities Advocacy Centre Pty Ltd (CUAC) to update the Victorian Tariff-Tracking tool for the July 2010 to the January 2011 period. The views and interpretations expressed in this paper are those of the author (or organisation) and do not necessarily represent the views of the Consumer Utilities Advocacy Centre Ltd. The Society also wish to acknowledge the valuable assistance from May Mauseth Johnston (who developed the original tariff-tracking tool) in updating the tool and contributing to this update-report. The Victorian Tariff-Tracking Project To date, this project has tracked electricity and gas tariffs in Victoria from July 2008 (retail price deregulation took effect on January 1 2009) to January 2011, and developed a spreadsheet based tool that allows consumer advocates to build on the initial analysis and continue to track changes as they occur. We have developed four workbooks that allow the user to enter consumption levels and analyse household bills for gas and electricity standing offers from July 2008 to January 2011, as well as published electricity and gas market offers as of July 2010 and January 2011. Workbook 1: Electricity standing offers July 2008-January 2011 Workbook 2: Gas standing offers July 2008- January 2011 Workbook 3: Electricity market offers as of July 2010 and January 2011 Workbook 4: Gas market offers as of July 2010 and January 2011 The four workbooks can be accessed at the St Vincent de Paul Society Victoria s website: www.vinnies.org.au 2

Table of content Acknowledgements The Victorian Tariff-Tracking Project 1. Changes to the standing offers from July 2010 to January 2011 4 1.1 Electricity standing offers 4 1.1.1 AGL s electricity standing offers 4 1.1.2 Origin s electricity standing offers 5 1.1.3 Tru s electricity standing offers 7 1.2 Gas standing offers 8 1.2.1 AGL s electricity standing offers 9 1.2.2 Origin s electricity standing offers 9 1.2.3 Tru s electricity standing offers 10 2. Changes to the market offers from July 2010 to January 2011 11 2.1 Electricity market offers 11 2.2 Gas market offers 14 3. Changes to the supply charge 15 4. Total cost of energy by area 18 4.1 Inner city, inner North and Eastern suburbs 19 4.2 Inner West, outer North and North Western suburbs 20 4.3 South Eastern suburbs and Mornington Peninsula 21 4.4 Outer Western suburbs and Western Victoria 22 4.5 Outer Northern and Eastern suburbs Eastern Victoria 23 3

1. Changes to the standing offers from July 2010 to January 2011 1 All of the three incumbent retailers (AGL, Origin and Tru) gazetted new standing offers (electricity and gas) that resulted in price increases in January 2011. The size of the increases varies significantly between retailers as well as distribution network/gas zones. Annual bill increases for average consumption households (4800kWh) on standing offers vary from $35 (Origin customers in Citipower s area) to $210 (Tru customers in SP Ausnet s area). 1.1 Electricity standing offers This section analyses changes to the electricity standing offers from July 2010 to July 2010 by network area. 2 There are five network businesses in Victoria: Powercor and SP Ausnet distributing electricity to rural and regional Victoria and Citipower, Jemena and United Energy. As in the first Tariff-Tracking report (July 2010), the bill calculations in this report have assumed an average consumption of 4800kWh per annum for households on the single rate. 3 These are generally households connected to mains gas and therefore have a lower consumption than all- electric households. For all-electric households, which are predominantly in rural areas, the bill calculations have assumed an average consumption of 7000kWh per annum. The rates used in the calculations are those for the controlled load offers and a split of 70% peak and 30% off-peak has been assumed. 1.1.1 AGL s electricity standing offers Chart 1 below shows that: Average consumption households on AGL s standing offer will experience an annual increase of between $60-140 in electricity costs. These are annual increases of approximately: o $60 for average consumption households in Citipower s area o $85 for average consumption households in Powercor s area o $110 for average consumption households in SP Ausnet s area o $140 for average consumption households in Jemena s area o $120 for average consumption households in United Energy s area AGL customers in the Northern and Western suburbs (Jemena s network area) are experiencing the greatest increases. 1 Calculations based on the incumbent retailer s single rate standing offer and a household consumption of 4800kWh per annum. In Powercor and Sp Ausnet s area, second calculation is based on household consumption of 7000kWh per annum (30% off-peak) at the rate of the incumbent retailer s standing offer for the controlled load tariff. For gas, calculations based on the incumbent retailer s standing offer and a household consumption of 63,000Mj per annum. 2 See the first Tariff-Tracking report, Victorian Energy Prices July 2008-July 2010, for an analysis of standing offers from July 2008-10. The report is available at: http://vinnies.org.au/reports-vic 3 Consumption levels do vary between network areas but we believe 4800kWh and 7000kWh per annum are appropriate benchmarks to analyse tariff changes and bill impacts for Victorian households. 4

AGL has the greatest increases in their incumbent areas/patches (Jemena and United Energy). Chart 1 Changes to AGL s single rate standing offers from July 10 to January 2011 AGL Electricity Standing Offers as annual bill (Single rate, 4800kWh) $1,450 $1,400 $1,350 $1,300 $1,250 $1,200 $1,150 $1,100 $1,050 $1,000 Citipower Powercor SP Aus Jemena UE Network areas AGL Jul'10 AGL Jan'11 Chart 2 below shows that: All electric households (with average consumption) in Powercor and SP Ausnet s areas on AGL s standing offer are experiencing an annual increase of approximately $100 (Powercor) or $135 (SP Ausnet). Chart 2 Changes to AGL s two rate standing offers from July 10 to January 2011 1.1.2 Origin s electricity standing offers Chart 3 below shows that: Average consumption households on Origin s standing offer are experiencing an annual increase of between $35-200 in electricity costs. These are annual increases of approximately: o $35 for average consumption households in Citipower s area o $105 for average consumption households in Powercor s area o $200 for average consumption households in SP Ausnet s area 5

o $160 for average consumption households in Jemena s area o $130 for average consumption households in United Energy s area Origin customers in the Outer North-Eastern suburbs and Eastern Victoria (SP Ausnet s network area) are experiencing the greatest increases. Origin s smallest increases occur in their incumbent areas/patches (Citipower and Powercor). Chart 3 Changes to Origin s single rate standing offers from July 10 to January 2011 Origin Electricity Standing Offers as annual bill $1,450 $1,400 $1,350 $1,300 $1,250 $1,200 $1,150 $1,100 $1,050 $1,000 Citipower Powercor SP Aus Jemena UE Network areas Origin Jul'10 Origin Jan'11 Chart 4 below shows that: All electric households (with average consumption) in Powercor and SP Ausnet s areas on Origin s standing offer are experiencing an annual increase of approximately $125 (Powercor) or $215 (SP Ausnet). Chart 4 Changes to Origin s two rate standing offers from July 10 to January 2011 6

1.1.3 Tru s electricity standing offers Chart 5 below shows that: Average consumption households on Tru s standing offer are experiencing an annual increase of between $45-210 in electricity costs. These are annual increases of approximately: o $45 for average consumption households in Citipower s area o $120 for average consumption households in Powercor s area o $210 for average consumption households in SP Ausnet s area o $140 for average consumption households in Jemena s area o $125 for average consumption households in United Energy s area Tru Energy customers in the Outer North-Eastern suburbs and Eastern Victoria (SP Ausnet s network area) are experiencing the greatest increases. Tru has the greatest increase in their incumbent area/patch (SP Ausnet s network area) Chart 5 Changes to Tru s single rate standing offers from July 10 to January 2011 TRU Electricity Standing Offers as annual bill (Single rate, 4800kWh) $1,450 $1,400 $1,350 $1,300 $1,250 $1,200 $1,150 $1,100 $1,050 $1,000 Citipower Powercor SP Aus Jemena UE Network areas Tru Jul'10 Tru Jan'11 Chart 6 below shows that: All electric households (with average consumption) in Powercor and SP Ausnet s areas on Tru s standing offer are experiencing an annual increase of approximately $120 (Powercor) or $90 (SP Ausnet). 7

Chart 6 Changes to Tru s two rate standing offers from July 10 to January 2011 1.2 Gas standing offers There are three gas distributors and eight main gas zones. The distributors are Multinet, Envestra and SP Ausnet and the gas zones are: Origin Metro, AGL South, Origin North, TRU East, Origin South East, TRU West, AGL North and TRU Central. The names of the gas zones derive from when AGL, Origin and TRU were energy retailers with designated areas. These three retailers are not distribution businesses and they are not involved in setting the distribution charges in these areas. The companies names are merely used as a descriptor for the various gas zones that Multinet, Envestra and SP Ausnet distribute gas to. There are also some smaller rural zones (such as Mildura) that are not included in the Tariff-Tracking tool. The January 2011 increases in gas bills for customers on AGL, Origin or TRU s standing offer vary significantly between retailers as well as gas zones. For example, chart 7 below shows that the estimated annual bill increase for an average consumption household (63,000Mj per annum) in the Origin South East gas zone will be as low as 2% if on Origin s standing offer, while it would be 8.5% if the customer is with AGL. In other gas zones, such as AGL South, the three retailers all represent annual bill increases of around 6-7% for average consumption households. In the AGL South gas zone (Multinet), some of the retailers apply a winter peak price to 6 months of the year (May to October inclusive) while others apply winter peak rates to 4 months of the year (June to September inclusive). AGL, Origin and Lumo Energy all operate with a 6 month peak price while Tru, Australian Power & Gas, Energy Australia and Simply Energy have a 4 month long peak price period. 8

Chart 7 Estimated annual bill increases (%) for standing offer customers with average consumption 1.2.1 AGL s gas standing offers Chart 8 below shows that: Average consumption households on AGL s standing offer will experience an annual increase of between $65-105 in gas costs. AGL customers in the Western and North Western suburbs (the AGL North zone) will see the greatest increases. Chart 8 Changes to AGL s gas standing offer from July 10 to January 2011 1.2.2 Origin s gas standing offers Chart 9 below shows that: Average consumption households on Origin s standing offer will experience an annual increase of between $25-60 in gas costs. Origin customers in the Bayside and outer South Eastern (the AGL South zone) will see the greatest increases. 9

Chart 9 Changes to Origin s gas standing offer from July 10 to January 2011 1.2.3 Tru s gas standing offers Chart 10 below shows that: Average consumption households on Tru s standing offer will experience an annual increase of between $70-80 in gas costs. Origin customers in the Eastern and South Eastern suburbs (the Origin Metro zone), Western and North Western suburbs (the AGL North zone) and the Outer Western suburbs, Geelong and Bellarine Peninsula (the Tru Central zone) will see the greatest increases. Chart 10 Changes to Tru s gas standing offer from July 10 to January 2011 10

2. Changes to the market offers from July 2010 to January 2011 Broadly speaking, market offers are discounted standing offers. Consumers can generally get a discount on their usage charges and/or a discount on their bill if they pay by the due date. In exchange for these discounts most market offers have a minimum contract term. When there is an increase to a retailer s standing offer, its market offer rates typically increase by the same proportion. That said, increasing energy costs mean that more and more households find it necessary to look for a better deal. In addition to being motivated by cost pressures, percentage based market offer discounts become more substantial as bills go up. No updates on the Essential Services Commissions (ESC) YourChoice website To be consistent with the methodology of the original tariff-tracking tool (released in July 2010) our intention was to use the ESC s YourChoice website to identify changes to published market offers and source information from the attached price and product information statements (PPIS). However, as the ESC still had not updated its website as of 22 January 2011 (despite several of the offers taking effect as early as 1 January) we decided to source the information elsewhere. The market offers included in the current version of the Tariff-Tracking tool are thus not complete. Tru, for example, includes a 3% discount in their market offer rates but as we were unable to locate the exact rates, this discount has not been included in the Tariff-Tracking tool (however, the discount has been manually calculated and included in the information provided in table 1 below). Powerdirect also usually operates with a discount included in their market offer rates, but as we were unable to locate these rates, Powerdirect has not been included in this analysis. Other retailers, such as Click, Lumo and Country Energy, make their rates readily available on their websites and we therefore believe we have successfully identified most changes to Victorian market offer rates. It is, however, crucial for Victorian consumers who seek to compare offers and switch to a better energy contract that the ESC update the YourChoice website in a timely and accurate manner. 2.1 Electricity market offers Table 1 below shows that some of the retailers market offers have increased significantly over the last six months. Furthermore, there is a significant difference in the size of the increases between the different network areas. The greatest price increases to market offers occurred in SP Ausnet and Jemena a network areas. In SP Ausnet s area the annual bill for medium consumption (4800kWh) households on market offers has increased by as much as 18% (Tru) since July 2010. In Jemena s area the annual bill for medium consumption (4800kWh) households on market offers has increased by as much as 13% (Origin and Australian P&G) since July 2010. 11

Click, Neighbourhood, Red and Simply Energy have not increased any of their market offer rates during this period. Click s annual bill estimate has decreased slightly in two areas because they have replaced inclining block tariffs with single block. Table 1 Electricity Market Offers: Estimated annual bill January 11 compared to July 10 bills Households using 4800kWh per annum, single rate Network areas Citipower Powercor SP Ausnet Jemena United Retailer Est bill ($) Diff (%) Diff Est bill Diff ($) Diff (%) Est bill AGL 1,243 58 5 1,378 85 7 1,371 112 9 1,415 138 11 1,294 118 10 Origin 1,197 36 3 1,398 104 8 1,379 200 17 1,388 159 13 1,346 129 11 Tru 1,200 45 4 1,364 116 9 1,343 205 18 1,367 128 10 1,295 121 10 Aus 1,246 122 11 1,380 126 10 1,370 171 14 1,386 158 13 1,298 99 8 P&G Click 1,091-12 -1 1,215-13 -1 1,105 0 0 1,198 0 0 1,191 0 0 Country 1,083 117 12 1,175 100 9 1,153 156 16 1,107 110 11 1,107 106 11 Energy 1,113 9 1 1,254 54 4 1,239 71 6 1,232 62 5 1,234 67 6 Aus Neighb 1,168 0 0 1,263 0 0 1,201 0 0 1,188 0 0 1,163 0 0 hood Red 1,124 0 0 1,264 0 0 1,163 0 0 1,228 0 0 1,166 0 0 Simply 1,264 0 0 1,374 0 0 1,355 0 0 1,362 0 0 1,261 0 0 Lumo 1,132 25 2 1,287 60 5 1,295 99 8 1,312 88 7 1,214 66 6 Notes: Bill estimates for Tru includes 3% discount as per Tru go for more offer. Neighbourhood has announced price increases that will take effect in February 2011. Powerdirect has not been included in this analysis as they do not publish their rates and the ESC has not updated the YourChoice website. The calculations for the market offers (table 1) include their rates only (cost per kwh and fixed charges) and do not include other market offer features such as discounts on consumption rates, vouchers, sign-up credits, loyalty bonuses and discounts if bills are paid on time. Other features attached to the offers are outlined in table 2 below. Diff ($) Diff (%) Table 2 Other market offer features Discounts Fixed term Early Termination Fee Est bill Diff ($) Diff (%) Pay on time discounts AGL yes 2 years yes no yes Origin no 2 years yes no yes Tru no 3 years yes yes no Aus P&G no 3 years yes yes yes Click no no no yes no Country no 1 year yes no yes Energy Aus yes 2 years yes no no Neighb hood no no no yes yes Red no 2 years yes yes yes Simply no 2 years yes yes no Lumo no 2 years yes yes yes Est bill Diff ($) Other (bonuses, incentives) Diff (%) 12

Charts 11 and 12 below demonstrate the significant price increases to market offers in Jemena (chart 11) and SP Ausnet (chart 12) by some of the retailers. Chart 11 Estimated annual bills for households consuming 4800kW 4 h per annum (single rate) in the Jemena s area, Market Offers July 2010 January 2011 Chart 12 Estimated difference ($) in annual bills for Market Offers from July 10 to January 11 (households consuming 4800kWh per annum, single rate, in SP Ausnet s area) 13

2.2 Gas market offers Chart 13 below shows that the average gas standing offer (across all retailers) has increased in all gas zones since July 2010. As of January 2011, the average standing offers are highest in the Origin North and Tru Central gas zones and lowest in AGL South. Chart 13 Difference in annual bill (63,000Mj consumption) between average (all retailers) gas market offers in July 10 to January 11. 14

3. Changes to the supply charge The supply charge is a fixed daily charge that is paid in addition to the consumption charges for electricity used. The supply charge varies significantly between retailers and whilst a high fixed charge generally indicates lower consumption charges, it is crucial that consumers are aware of the supply charge in order to choose energy offers that best suit their usage level. Low consumption households should look for energy offers with a low fixed daily charge. 5 Charts 14 to 18 below show that: AGL continues to have the highest supply charge for its electricity standing offers across all network areas. Although their supply charge is less than AGL s, Tru has the greatest supply charge increases of the three incumbent retailers in January 2011. Origin has the lowest supply charge increases and its daily charge is now the lowest of the three incumbents across all network areas. AGL customers in the North West and Western suburbs (Jemena s network area) continue to pay the greatest supply charge, now reaching almost $1 per day for single rate electricity customers. Chart 14 Changes to the supply charge (standing offers) from July 10 to January 2011 in the Citipower network 5 SVDP, Victorian Energy Prices July 2008-July 2010, May Mauseth Johnston, July 10, p 33 15

Chart 15 Changes to the supply charge (standing offers) from July 10 to January 2011 in the Powercor network Chart 16 Changes to the supply charge (standing offers) from July 10 to January 2011 in the SP Ausnet network Chart 17 Changes to the supply charge (standing offers) from July 10 to January 2011 in the Jemena network 16

Chart 18 Changes to the supply charge (standing offers) from July 10 to January 2011 in the United Energy network 17

4. Total cost of energy by area The analysis presented in this report shows that some areas have experienced higher price increases than others over the last 6 months. 6 As approximately 60% of Victorian households are connected to both electricity and gas, it is important to analyse whether there are areas that have experienced high increases in both electricity and gas prices, and conversely, whether there are areas where the increases in electricity and gas prices are at the lower end. Such analysis allows for a more detailed understanding of the total energy costs faced by households across Victoria. 7 Table 3 Electricity standing offer price increases (average) by area July 2010 January 2011 Area Annul bill increase since July 2010 Percentage increase Inner city and Eastern suburbs (Citipower) $45 4% Outer Western suburbs and Western Victoria (Powercor) $105 or $115* 8% or 7.5%* Outer Northern and Eastern suburbs and Eastern Victoria $175 or $145* 14.5% or 9.5%* (SP Ausnet) Inner West and Northern suburbs (Jemena) $145 12% Outer South Eastern suburbs and Mornington Peninsula (United Energy) $125 10% * For all-electric households with peak/off-peak (controlled load) rates Table 4 Gas standing offer price increases (average) by area July 2010 January 2011 Area Annul bill increase since July 2010 Percentage increase Eastern and South Eastern suburbs (Origin Metro zone) $60 6% Bayside and outer South Eastern suburbs (AGL South zone) $65 7% Northern and North Eastern Victoria (Origin North zone) $60 6% CBD, inner city and North Eastern suburbs (TRU East $70 7% zone) Frankston, Mornington Peninsula and Gippsland (Origin $60 6% South East zone) Macedon Ranges, Bendigo, Ballarat and Western Victoria $70 7% (TRU West zone) Western and North Western suburbs (AGL North zone) $80 8% Outer Western suburbs, Geelong and Bellarine Peninsula (TRU Central zone) $65 6% 6 See the first Tariff-Tracking report, Victorian Energy Prices July 2008-July 2010, for an analysis of total cost of energy by area from July 2008-10. The report is available at: http://vinnies.org.au/reportsvic 7 The figures in tables 3 and 4 are based on the incumbent retailers average standing offer for electricity and gas customers for dual fuel households using 4800kWh and 63,000Mj per annum, and all-electric households using 7000kWh (thereof 30% off-peak). To calculate the increases we have used the average of the incumbent retailers standing offer rates rather than the average of all standing offers. This was done because the vast majority of customers on the standing offer are with the incumbents (AGL, Origin and Tru). Furthermore, as discussed above, market offers do generally reflect the increases to the standing offers. 18

4.1 Inner city, inner North and Eastern suburbs Source: Citipower The electricity standing offer has on average increased by $45 for average consumption households (4800kWh) over the last 6 months for households in this area. Households in the TRU East gas zone (CBD and inner North) have experienced an increase in gas prices of approximately $70 over the same period. Households with an average consumption of electricity and gas in Melbourne (CBD), Brunswick, Carlton, Fitzroy, Northcote, Richmond and Collingwood have typically experienced an increase in energy costs of $115 since July 2010. 8 Households with an average consumption of electricity and gas in the inner Eastern suburbs of Kew, Hawthorn, Camberwell and Balwyn, and the inner South East areas of South Yarra, Prahran, Armadale, Toorak and Caulfield, have typically experienced an increase in energy costs of $105 since July 2010. 9 Households with an average consumption of electricity and gas in the inner city bayside suburbs of St Kilda, Port Melbourne, Albert Park and South Melbourne have typically experienced an increase in energy costs of $110 since July 2010. 10 8 These are households in Citipower s electricity distribution network and Envestra s TRU East gas zone. 9 These are households in Citipower s electricity distribution network and Multinet s Origin Metro gas zone. 10 These are households in Citipower s electricity distribution network and Multinet s AGL South gas zone. 19

4.2 Inner West and North Western Suburbs Source: Essential Services Commission The electricity standing offer has on average increased by $145 for average consumption households (4800kWh) over the last 6 months for customers in this area. Households in the AGL North gas zone (Western and North Western suburbs) have experienced an increase in gas prices of approximately $80 over the same period. Households with an average consumption of electricity and gas in Footscray, Yarraville, Williamstown, Flemington, Moonee Ponds, Broadmeadows, Coolaroo, Braybrook and Sydenham have typically experienced an increase in energy costs of $225 since July 2010. 11 Households with an average consumption of electricity and gas in Heidelberg, Fairfield, Ivanhoe, Bundoora, Thomastown, Preston, Reservoir have typically experienced an increase in energy costs of $215 since July 2010. 12 11 These are households in Jemena s electricity distribution network and SP Ausnet s AGL North gas zone. 12 These are households in Jemena s electricity distribution network and Envestra s TRU East gas zone. 20

4.3 South Eastern suburbs and Mornington Peninsula Source: Essential Services Commission The electricity standing offer has on average increased by approximately $125 for average consumption households (4800kWh) over the last 6 months for customers in this area. Households in the Origin South East gas zone (Mornington Peninsula and outer South Eastern suburbs) have experienced an increase in gas prices of approximately $60 over the same period. Households with an average consumption of electricity and gas in the bayside suburbs of Elwood, Elsternwick, Brighton, Sandringham, Beaumaris, Chelsea and South Eastern Suburbs of Bentleigh, Moorabbin, Springvale, Noble Park, Keysborough have typically experienced an increase in energy costs of $210 since July 2010. 13 Households with an average consumption of electricity and gas in the suburbs of Seaford and Frankston and on the Mornington Peninsula have typically experienced an increase in energy costs of $205 since July 2010. 14 Households with an average consumption of electricity and gas in the Eastern suburbs of Bulleen, Templestowe, Box Hill, Doncaster, Mitcham, Vermont, 13 These are households in United Energy s electricity distribution network and Multinet s AGL South gas zone. 14 These are households in United Energy s electricity distribution network and Envestra s Origin South East gas zone. 21

Glen Waverly and Chadstone have typically experienced an increase in energy costs of $205 since July 2010. 15 4.4 Outer Western suburbs and Western Victoria Source: Powercor All-electric households in this area would have typically experienced an electricity price increase of $205 over the last 6 months (based on average consumption of 7000kWh). 16 For dual fuel households the electricity standing offer has on average increased by approximately $105 over the last 6 months (based on average consumption of 4800kWh). Total energy cost increases since July 2010 for dual fuel households in the Western region typically amount to: $170 for average consumption households in Hoppers Crossing, Werribee, Geelong region and on the Bellarine peninsula. 17 $170 for average consumption households in Macedon, Kyneton, Ballarat, Colac, Warrnambool, Portland, Hamilton, Horsham, Ararat and Daylesford. 18 $165 for average consumption households in Northern Victorian towns such as Echuca, Shepparton and Heathcote. 19 15 These are households in United Energy s electricity distribution network and Multinet s Origin Metro gas zone. 16 Based on the average electricity standing offer for households taking controlled load off-peak (annual consumption of 7000 kwh, 70% peak and 30% off-peak). 17 These are households in Powercor s electricity distribution network and SP Ausnet s TRU Central gas zone. 18 These are households in Powercor s electricity distribution network and SP Ausnet s TRU West gas zone. 22

4.5 Outer Northern and Eastern suburbs and Eastern Victoria Source: Essential Services Commission All-electric households in this area would have typically experienced an electricity price increase of $180 over the last 6 months (based on average consumption of 7000kWh). 20 For dual fuel households the electricity standing offer has on average increased by $175 over the last 6 months (based on average consumption of 4800kWh). Total energy cost increases since January 2010 for dual fuel households in the Eastern Victoria region typically amount to $235, these areas include: Outer Northern and Eastern suburbs of Warrandyte, Ringwood, Chirnside Park and the area around Mount Dandenong. 21 Kilmore, Seymour, Violet Town, Nagambie, Wangaratta, Chiltern, Wodonga. 22 The LaTrobe Valley and Sale in the Gippsland region. 23 19 These are households in Powercor s electricity distribution network and Envestra s Origin North gas zone. 20 Based on the average electricity standing offer for households taking controlled load off-peak (annual consumption of 7000 kwh, 70% peak and 30% off-peak). 21 These are households in SP Ausnet s electricity distribution network and Multinet s Origin Metro gas zone. 22 These are households in SP Ausnet s electricity distribution network and Envestra s Origin North gas zone. 23 These are households in SP Ausnet s electricity distribution network and Envestra s Origin South East gas zone. 23