📈Energy bill relief for households - March 2025 📈

The Australian government has announced the extension of its energy bill subsidies until the end of 2025, providing another $150 in rebates for Australian households and about 1 million small businesses. This will take place on July 1 2025, and will be automatically applied to their electricity bills in quarterly instalments. This extension builds upon previous energy bill relief rebates, which were estimated to reduce electricity prices by 25.2 percent.

The Treasury estimates that the 2025 energy rebate will directly reduce headline inflation by 0.5% in 2025, and reduce household.bills by 7.5% on average nationally, showing its ability to east cost of living pressures for businesses and households.

The announcement comes as thousands of Australians prepare for higher energy prices after July 1, with authorities warning they would increase the maximum amount customers can be charged for energy usage by up to 8.9% compared to FY2023-24.

While some consumers feel the relief will be effective, others express that the $150 rebate may not be sufficient to offset rising energy costs. With electricity prices set to rise by up to $200 a year for an average household, the rebate might "fall short for many struggling families."

However, some argue that the policy would not address the structural shortages affecting Australia’s energy grid, such as inadequate energy infrastructure and transitional delays into renewable energy. Prime Minister Albanese emphasises the immediate benefits of the rebates and ongoing energy grid reforms is part of the government's economic strategy.

__ 

Want more? We offer both physical teaching at our Parramatta and Burwood campus, as well as online with CREST+. Visit www.cresteconomics.com and enquire now for a free TRIAL lesson. 

#economics #news #update #hsc #prelim #exams #tutoring #education #coaching #crest

Image source: BBC