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True value solar Blog

The inevitable rise in electricity prices

As indicated by a report by the Australian Energy Market Commission (2011), residential electricity prices is projected to increase by 37 per cent, taking into account the price of carbon during the 2010/11 to 2013/14 period.  This increase is highly substantial taking into consideration that average electricity prices have already grown by 40 per cent in the past five years  (Energy Users Association of Australia, 2012).

“Electricity is becoming a lot less affordable for both households and businesses,” Mr Roman Domanski, Executive Director of EUAA said.  Further to this, the modern Australian’s lifestyle has led to a strong dependence on electronic gadgets which then leads to an increase in the need for electricity, leading to a vicious cycle of electricity bills rising month on

Forecasts from the AEMC (2011) have showed that state on state, over the 2010/11 to 2013/14 period in nominal terms, Queensland and New South Wales residents can expect the largest rise in electricity prices by 42 per cent, this is followed by South Australian residents by 36 per cent, Victorian residents by 33 per cent, West Australian residents by 30 per cent and Tasmanian residents by 25 per cent.

Many Australians may be wondering why this is the case and an article by Renew Economy has revealed that the cause of the continuous rise in electricity prices is a result of the need for more infrastructure as the demand and dependence on the grid increases. As a result, the Australian government has had to invest $100 billion to upgrade the electricity grid,
which is reflective of the higher dollar amounts on electricity bills.

However, along with many government schemes and the Renewable Energy Target, the National Electricity Market has indicated that electricity consumption has fallen by 3.2 per cent over the last three years, and that by 2015, it could fall by 5 per cent, as a result of uptake in renewable energy solutions like rooftop solar power installations.

Australians no longer need to feel helpless on government decisions such as the introduction of the carbon tax and the inevitable rise in price of electricity by their retailers. Now, Australians have a way out with the simple solution of rooftop solar system installations. With improvements in technology and increased efficiency, a solar system is no longer only available to the rich and famous. Solar solutions are now available in many different system sizes with many different products at affordable prices, so as to suit each household’s individual needs.

A residential solar system installation is usually completed within a day, and can be up and running soon after. Generating electricity from the sun’s energy reduces dependency on the electricity grid, which therefore assists in the reduction of the average electricity bill. Solar power is also a source of renewable energy that does not result in the creation of carbon emissions when generating electricity. It can all start with one simple phone call today with True Value Solar, on 13 76 52.




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