Prime Minister Anthony Albanese has pledged to cut power bills for families and small businesses by $150 as part of a pre-election Federal Budget pitch.
The Budget is to be handed down on Tuesday and the latest pledge, valued at $1.8 billion nationally, plays into Labor’s claims to be tackling costs for families.
“We are going to take a further $150 right off your power bill because helping your family budget is our number one priority,” Mr Albanese on Saturday said.
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“This is another cost-of-living relief measure that my government is delivering for Australians while putting downward pressure on inflation.”
Cost-of-living and health are shaping up as the two big issues this Federal election.
Mr Albanese in February announced an election pledge to pump an extra $8.5b to lift the rates of bulk-billing general practices from 78 per cent to 90 per cent.
This latest budget announcement will see $150 rebates automatically applied to electricity bills in quarterly instalments, starting July 1.
“Treasury estimates this ($150 power bill credit) will directly reduce headline inflation by around half of a percentage point in 2025, and reduce household bills by 7.5 percent on average nationally, compared to bills without the extension,” Mr Albanese said
“As the Australian Bureau of Statistics has shown, the energy bill rebates we have been rolling out with the states have directly reduced electricity prices.
“In 2024, electricity prices fell 25.2 per cent, but would have fallen just 1.6 per cent without energy rebates.”
Mr Albanese’s commitment follows power bill relief from several State governments as they try to counter rising bills across the country. Federal Labor had already pledged a $300 credit in quarterly instalments, which has already been paid.
The cost of power has become a Federal election issue, with Opposition leader Peter Dutton advocating for nuclear power — earmarking seven sites across Australia for future nuclear reactors.
“Peter Dutton opposed the $300 energy bill relief to households. His only plan for energy is a $600b nuclear scheme that he will cut Medicare to pay for,” the Prime Minister said.
An inquiry into the National Energy Market will be extended for another year, giving households and small businesses assistance to get a fair deal from energy providers.
Regulators across the east coast have warned of household price rises of as much as 8.9 per cent. WA is the only State not part of the national market but the state-owned provider has still increased prices, albeit at a lower rate.
