Is Your Power Company Ripping You Off?
Posted on October 24, 2016
The wholesale cost of electricity is almost always the focus of power companies when asked why energy costs are rising. The reason for this focus is it's the one cost that your power company can blame on you.As energy consumers, we are told that if we reduce our consumption and increase energy efficiency we will see direct savings in our next electricity bill. This leads us to believe that rising electricity costs are purely a result of leaving too many lights on, or having too many appliances plugged in.Yet, research by the ABS has shown that household energy prices continue to increase despite a steady reduction in energy use in recent years. Figures from the Australian Bureau of Statistics reveal an inconvenient truth for government energy regulators and retailers alike - they can no longer blame the consumer.
This must make you wonder, what in the world are Australian households paying for, if it’s not the energy we consume?The answer to the phenomenon of bill shock hitting households across the country is glaringly obvious, and to make matters worse - it could have been entirely avoidable.As Green Markets energy analyst Tristan Edis told the ABC earlier in this year, the increased cost of electricity is due to the “monopoly” that power companies have over the market and “companies spending big on infrastructure they did not need”.
It's Not Too Late To Save Hundreds Of Dollars!
In light of rising energy costs, you, like most other Australians are likely looking for a way to solve the issue of your skyrocketing electricity bill. We're here to show you how solar power is the solution. When you get your quarterly electricity bill, what you’re paying for is basically your household energy consumption, right?Wrong!
The Parliament of Australia website identifies three things that contribute to your electricity bill:- Retail margin - your power company's services
- Network charges - the poles and wires that deliver this energy
- Wholesale costs - the price you pay per kWh of energy you use

“The regulators took their eye off the ball starting in 2007 and let the electricity poles and wires companies - the electricity networks - go through a spending binge that turned out to be completely unnecessary” said Edis."

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