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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 Someone 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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Antonius
Antonius from NSW commented:

We currently use more gas in winter to heat our home on cold nights, so we are moving to another area and will be making our own gas and fuel so in the long term we will no longer be affected. 

Elizabeth
Elizabeth from NSW commented:

Ok, So what can be done about it.??? 

Jackie
Jackie from VIC commented:

Why do we as Australians get stung everytime. In America, the gas companies have to supply the domestic market first, then excess gas can be sold off to the international market. That makes sense. Where is this oil? In Australian waters? Doesn't Australia belong to all Australians. In Dubai (or somewhere around there, could be Saudi Arabia), they distribute the oil wealth to their citizens, they don't miss out on the natural wealth of their country. We are not asking for that but its crazy that we have to compete with international prices for OUR gas. The government needs to intervene. We can't have the elderly freezing in winter because they can't afford the 'international' gas price. Something is not right here. 

Paul
Paul from NSW replied to Jackie:

Jackie, I hope more Australians Read and Heed your observations. Of course Australia's Resources and Australia's Government belong to All Australians. Why do we sit back, chill and down a beer while Government Decision Makers listen to special Interest groups instead of their Employers aka The Australian Tax Payer! 

Bruce
Bruce from NSW commented:

when is the FiftyUp Club going to offer a gas deal, like your electricity deal? 

Connie
Connie from NSW commented:

How about looking after us for a change instead Of the overseas market . 

Marianne
Marianne from NSW commented:

My gas is bottled gas. , will that go up too ? It's already expensive . I haven't got natural gas available to our address . 

Phillip
Phillip from NSW commented:

Why are we competing with International gas users over our own gas. The domestic market MUST be protected from International corporations seeking the highest possible export price for gas. If they don't like it, get out. 

Belinda
Belinda from QLD commented:

I feel that Australians own the gas, so some should be put aside for domestic consumption. We should be running our cars, trucks (?) and buses on OUR gas instead of paying Middle Eastern countries for oil. To me, it just makes sense. 

John
John from NSW commented:

Why doesn't our country have a domestic price for OUR Gas? Other countries have a two price structure. John from Sydney 

Adrienne
Adrienne from QLD commented:

Sorry Paul, it is already too late. We have been the milking cows with high prices in this country for many many years. It will not change because the Powers that Be have no interest at all in making any changes....and if they did...listen to the squeals of the Fat pigs who run these companies....we may as well accept that nothing we say or do will have the slightest effect at all. 

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