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NewsWhy your Gas Bill could rise by hundreds of dollars a year (and what you can do about it)
Why your Gas Bill could rise by hundreds of dollars a year (and what you can do about it)

Why your Gas Bill could rise by hundreds of dollars a year (and what you can do about it)

Tags: Cost of Living Energy
Last updated by Jess Lindell on

gas-stove-radiation-400x400When it comes to your energy bills, it looks like Gas is the new Electricity.

Average gas bills are expected to increase more than $300 a year in Melbourne and over $100 a year in Sydney and Adelaide, according to the latest Grattan Institute report released this week.

The increases are due to Queensland’s LNG exports starting at the beginning of next year. From now on, residential customers in Australia will have to compete with international Gas prices. Which means paying more.

Average gas bills have already increased by 36 per cent over the last five years and these increases could hit larger households with a yearly bill increase of up to $435. Ouch!

As the largest consumers of natural gas, Melbournians will be hardest hit. In particular households that use gas for cooking, hot water and heating will bear the brunt.

For low gas users, such as households with only gas cooktops or using a small-capacity gas hot water system, the effect of the price rise will be minimal, at less than $50 a year.

So what can you do to avoid bill shock?

Early this year, the NSW Energy Minister urged households to embrace coal seam gas and shop around if they want to avoid a massive spike in gas prices.

While the market isn’t nearly as competitive compared to electricity (there are only 6 providers in Victoria, 4 in NSW, and 2 in Queensland), households can often save by shopping around and switching.

In fact, households in NSW can save up to $200 and in Victoria up to $400 by switching gas offers, according to research by St Vincent de Paul in NSW and VIC.

If it can save you money, consider having your gas and electricity with different providers.

The Grattan report warns the increases will mean tough decisions for many households and businesses.

Some households might choose to disconnect entirely from the gas network or switch some appliances, such as hot water. But for households that are heavily reliant on gas this will be less effective as gas generally becomes cheaper as you use more.

Of course it’s always worth looking at ways you can use less energy around the house, from energy efficient appliances to reducing hot water.

What are your best energy saving tips to share with other FiftyUp Club members?

Originally posted on .

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Are the Days of cheap Gas over?

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laurie
laurie from VIC commented:

are the days of cheap gas over. Sure looks like it will be. Again business wins, looks like we loose out again. Why do we need to have equalibriam in prices between export and domestic. Its all natural let export (assume chine etc pay the extra) 

Kathleen
Kathleen from VIC commented:

Is Australia the only country which doesn't have a domestic gas reservation policy? Our politicians play us for the fools we are! 

Warren
Warren from NSW commented:

I think the 50 up club needs to sniff out a top deal,as done with electricity, with one of the gas suppliers. How dare the gas exporters not think about australia, & Australians, when it comes to gas supply. I would reckon that, only in Australia, would, the people that matter, be treated like 4th class citizens. The govt should step in, & remind them of this. Warren. 

David
David from VIC commented:

Find me a politician that actually cares 

lionel richard
lionel richard from VIC commented:

Its just bloody greed by these companies dont we have Australian discount from the selling price overseas where is this greed going to stop or should we all move to these third world countries that we so willing give millions of dollars to while we our elderly and disabled and homeless suffer and why are these refugees not paying rates whilst mine just go through the roof every year ..Stick there gas we do not want it going back to candles for heating . 

Eric
Eric from QLD commented:

Others have noted this: multinational companies exploit OUR resources, pay minimal royalties and tax, and then because we're so stupid, we accept that these companies should be able to charge us for local usage of the product that we've given them!!!! It seems in Saudi Arabia (producing ...80% of the world's oil) locals pay a pittance for their car fuel - i.e. the industry provides meaningful benefits to the country's population directly, not just through increased Government revenue which unfortunately tends to be wasted with little direct benefit to we "little people"! 

Silvia
Silvia from NSW commented:

Unfortunately gas has become harder to extract and a shortage will undoubtedly happen here as it has in Europe and other countries, maybe it's time to find others sources of energy. 

Someone
Someone from NSW commented:

The BEST energy saving tip is to go solar! Drive on the speed limit, and never support a coal seam gas industry that is trying to get into NSW. The farmers of NSW need your support, please. Will you help by going to the website Our Land Our Water Our Future and sign the petition to protect the foundation farmlands, stock, water and farmers from coal seam gas? Thankyou! and Good on you, we need your support, thanks. Please stand with us and say no to coal seam gas. 

Neville
Neville from QLD commented:

Allowing multinationals to mine Coal Seam Gas in Australia has got to one of the biggest mistakes of all time, on-par with the introduction of Cane Toads. Who are the winners here ? 

Michael
Michael from NSW commented:

It's like everything else it has gone beyond the joke. We are being slugged from all directions and its never ending even when we die. 

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