Energy Consumers Australia recognises that there have been unprecedented movements in the wholesale energy market over the past year, with prices expected to remain high into the future. We accept that this volatility has had a substantial impact on the calculations of the Essential Services Commission (ESC) on the Victorian Default Offer (VDO) and the large increases that have been announced.

However increases of over 30% for residential and small business consumers will be hard to absorb by consumers who are already indicating to us that they are struggling with rising energy costs. The significance of the VDO’s objective to “provide a simple, trusted and reasonably priced electricity option that safeguards consumers unable or unwilling to engage in the electricity retail market” is only amplified in this context.

Read our full submission here.