Treasurer reveals loophole in $1000 energy rebate
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As the cost of living continues to rise, Queenslanders have been given a financial lifeline through a $1000 electricity credit, a generous initiative announced by Premier Steven Miles to ease the burden on households.
This substantial credit is set to be applied to electricity accounts in a single lump sum starting from 1 July this year.
But what's got everyone talking is the discovery of a loophole that could turn this credit into cash.
It has been revealed that if households decide to switch their electricity provider, they can cash out any remaining credit on their account.
Treasurer Cameron Dick has stepped in to address these concerns, assuring Queenslanders that this loophole will not exacerbate inflationary pressures.
‘There's obviously got to be processes and procedures when people change retailers or when they move their house,’ he said.
‘That's always been the case in Queensland, but I think Queenslanders know this money comes off their power bill, and then they can use that however they wish, use it on their account as a credit or use in in a different way rather than their power bill.’
In a reassuring statement, the Treasurer denied any effect from the rebate.
‘We've now got that evidence that (last year's rebate) hasn't contributed to inflation. In fact, it's decreased inflation in Queensland, not just for electricity, reduced by almost 10 per cent, but our inflation for the year to the end of March was lower than the national average at 3.4 per cent and the single biggest contributor to reducing inflation in Queensland was our electricity rebate of $550.’
The initiative, which will cost the budget $2.5 billion, is set to be funded by the coal mining royalties.
In a joint statement, Miles and DDick dubbed it as the ‘biggest cost of living initiative by a state government ever’.
Additionally, the state government has committed to continuing its support for small businesses by reducing power bills by $325.
The impact of previous rebates has been significant, with the Australian Bureau of Statistics data showing a 9.5 per cent decrease in electricity bills.
These rebates also contributed to Queensland's lower inflation levels than the national average, with power bills 'remaining lower than under the LNP'.
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This substantial credit is set to be applied to electricity accounts in a single lump sum starting from 1 July this year.
But what's got everyone talking is the discovery of a loophole that could turn this credit into cash.
It has been revealed that if households decide to switch their electricity provider, they can cash out any remaining credit on their account.
Treasurer Cameron Dick has stepped in to address these concerns, assuring Queenslanders that this loophole will not exacerbate inflationary pressures.
The Queensland government announced a $1000 energy credit for all households from 1 July. Credit: Shutterstock
‘There's obviously got to be processes and procedures when people change retailers or when they move their house,’ he said.
‘That's always been the case in Queensland, but I think Queenslanders know this money comes off their power bill, and then they can use that however they wish, use it on their account as a credit or use in in a different way rather than their power bill.’
In a reassuring statement, the Treasurer denied any effect from the rebate.
‘We've now got that evidence that (last year's rebate) hasn't contributed to inflation. In fact, it's decreased inflation in Queensland, not just for electricity, reduced by almost 10 per cent, but our inflation for the year to the end of March was lower than the national average at 3.4 per cent and the single biggest contributor to reducing inflation in Queensland was our electricity rebate of $550.’
The initiative, which will cost the budget $2.5 billion, is set to be funded by the coal mining royalties.
In a joint statement, Miles and DDick dubbed it as the ‘biggest cost of living initiative by a state government ever’.
Additionally, the state government has committed to continuing its support for small businesses by reducing power bills by $325.
The impact of previous rebates has been significant, with the Australian Bureau of Statistics data showing a 9.5 per cent decrease in electricity bills.
These rebates also contributed to Queensland's lower inflation levels than the national average, with power bills 'remaining lower than under the LNP'.
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