The two prime reasons why the price of electricity in Queensland has skyrocketed:
1) Dividend stripping from the state owned electricity provider Energex by the Bligh Labor government. Former QLD Premier Anna Bligh collectively took $1.885 billion in “special dividends” from Energex in the last 5 years1. Money that Energex could have used to re-invest into their network.
2) The Queensland Renewable Energy (Electricity) Act 2000. The introduction of the Mandatory Renewable Energy Target which compels both state and privately owned power generators to source 20% of their power from expensive renewables – namely wind and solar power – has also put tremendous upside price pressure on electricity prices.
Now add Gillard’s Carbon Dioxide Tax to the equation and no wonder the price of electricity has continued to hit record price levels.
1 Table 13, Page 90 from the Energex 2010/2011 Annual Report
Special thanks to Steve Hunter for permission to reproduce his cartoons exclusively on Andy’s RANT! Steve Hunter is a freelance cartoonist and illustrator and lives in Buderim Queensland.