Plans underway to increase competition in WA market

The West Australian Government’s plan to increase competition in the state’s electricity market has been heralded as a sensible approach and a win for households.

The Australian Energy Council’s chief executive officer Matthew Warren said competition was the best way for customers to get the best deal for energy.

“It’s even more important given the growth of new consumer energy technologies that can help consumers save money,” he said.

“Energy is rapidly shifting from being a utility service into a consumer good. Consumers demand choice and the ability to tailor the service to meet their needs. This is an important step to delivering this.”

Mr Warren said competition could only work in the state if everyone was on the same level playing field.

“That’s why having energy prices move towards their true costs is so important. Cost reflective pricing for energy is long overdue in WA. First it will be fairer, as big energy users would no longer be subsidised by more frugal ones,” he said.

“It will also bring in new competitors and create clearer incentives for technologies that help customers to use energy more efficiently, while saving taxpayers more than $300 million a year.

“Full retail competition for electricity has already been introduced into every other state in Australia.

“The WA grid is unique in many ways, but its customers should still be able to benefit from a dynamic competitive market.”