The South Australian Business Chamber is urging the state government to fully fund and double the $650 energy rebate scheme in the upcoming 2024 – 2025 state budget.
In a formal submission ahead of budget deliberations, the Chamber has proposed replacing the existing state/federal government co-funded scheme with a state-based programme increasing it to $1300 in rebates distributed over four quarterly instalments during the 2024 – 2025 financial year.
Andrew Kay, CEO of the South Australian Business Chamber, emphasises the urgent need for additional support, saying that the $650 had little impact given the size of energy price increases over the past few years.
“With average bills soaring by 20 – 30% annually over the last two years and similar increases forecast for the year ahead, the need for additional assistance is urgent,” said Mr Kay.
The South Australian Business Chamber and William Buck’s recent survey of business expectations in December 2023 revealed that 60% of businesses have experienced energy price hikes since the rebate was first introduced.
“South Australia already has the highest electricity bills for small businesses in the country, almost double that of Tasmania. Many businesses simply cannot sustain these price increases without assistance from the government”, Mr Kay added.
Today’s announcement of the Australian Energy Regulator’s draft Default Market Offer, offering an average relief of $481 per year for small business customers, will only affect those on default plans, which is approximately 15% of South Australian customers.The South Australian Business Chamber’s full state budget submission is expected to be released in the coming weeks.
