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House of Assembly - Fifty-Second Parliament, Second Session (52-2)
2012-04-04 Daily Xml
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CARBON TAX

The Hon. I.F. EVANS (Davenport) (14:36): My question is to the Minister for Mineral Resources and Energy. By how much will the carbon tax increase the electricity bill of the average household in South Australia? The Queensland Competition Authority has calculated that Queenslanders will have $192 a year built into their electricity bills because of the carbon tax.

The SPEAKER: Order! There was an assumption there that the carbon tax will increase electricity bills; however, the Minister for Trade.

The Hon. A. KOUTSANTONIS (West Torrens—Minister for Manufacturing, Innovation and Trade, Minister for Mineral Resources and Energy, Minister for Small Business) (14:37): The commonwealth has modelled—

Members interjecting:

The SPEAKER: Order!

The Hon. A. KOUTSANTONIS: —a household's average weekly expenditure to increase by $9.90 due to the carbon price, which includes a 10 per cent increase in the average electricity prices (or $3.30 per week) and a 9 per cent increase in gas ($1.50 per week). However, the assistance is modelled to be at $10.10 per week on average. A $15 billion assistance package has been announced for households, with nine out of 10 (around eight million) households receiving assistance through pension increases, tax cuts and increased family benefits—benefits that members opposite oppose.

For two-thirds of households this will be sufficient to cover the entire average price impact. The South Australian government is committed to facilitating a competitive retail energy market, whilst at the same time consumers can be assured that there are sufficient protections for those customers who remain under the standing contract. It is essential that any price rises are fully justified, and accordingly ESCOSA retains responsibility for regulating the retail component of electricity standing contracts for AGL and gas standing contracts for Origin.

Standing contract prices are charged to small residential and business customers who choose not to move onto a market contract. I will say that the $15 billion assistance package is something that every single member opposite opposes.

Mr WILLIAMS: Madam Speaker, can I seek a point of clarification? You told the house yesterday that questions will be in order and answers will relate to the substance of the question. We have now asked four questions, and I do not think that one answer has been relevant to the question put. The specific question then was: what is going to be the increase in electricity prices in South Australia? We had the question before about the GST.

The SPEAKER: Thank you. This is not an opportunity to make a statement. Sit down.

Mr WILLIAMS: Madam Speaker, we are not getting answers to the questions.

The SPEAKER: Order! The ministers can choose to answer as they choose. I cannot force them to answer.

The Hon. A. KOUTSANTONIS: Statement. I said—

The SPEAKER: But I am sure that listening, from what I can hear, minister—

The Hon. A. KOUTSANTONIS: Madam Speaker, I said that the commonwealth has modelled that a household's average weekly expenditure is estimated to increase by $9.90. I went on to say—

Members interjecting:

The SPEAKER: Order!

Mr Pisoni interjecting:

The SPEAKER: Order! Member for Unley, order! I cannot hear the minister.

The Hon. A. KOUTSANTONIS: Madam Speaker, I also said that the average household's weekly expenditure is estimated to increase by $9.90 due to the carbon price, which includes a 10 per cent increase in the average electricity prices, or $3.30 per week, and a 9 per cent increase for gas, or $1.50 per week. I went on to say, however, the assistance is modelled to be $10.10 per week on average—a $15 billion assistance package. I answered the question immediately. You are just not paying attention.

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