The shocking high cost of public electricity
Author: The Daily Telegraph Date Posted:10 June 2014
AVERAGE household prices would fall $256 a year if the NSW electricity networks were privatised, according to Deloittes Access Economics research for Infrastructure Partnerships Australia.
The biggest drop in price — $299 a year — would occur in regional areas serviced by Essential Energy, the state-owned power company whose sale National Party MPs are today moving to block.
The modelling was done comparing Victorian and South Australian network costs — where the poles and wires companies are privatised — to those in NSW.
The report found the reason electricity network costs — which make up 35 to 55 per cent of a household bill — would be cheaper under private ownership is that private companies built and operated electricity infrastructure more cheaply and efficiently than government.
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