Regulator Agrees Power Prices Too High
The Australian Energy Regulator (AER) concedes that more scrutiny needs to be applied to electricity networks with regards to cost efficiencies and their pass-through to consumers.
brisbanetimes.com.au, August 9, 2012:
THE federal regulator which approves power price increases says consumers are paying too much for electricity but it is unable to do much about it.
The chairman of the Australian Energy Regulator, Andrew Reeves, told the Herald yesterday that unless the regulations which govern its decision-making process were overhauled, network operators, including state governments, will continue to overinvest in infrastructure, forcing consumers to cover the costs which the operators receive back as dividends.
''We consider consumers are paying more than necessary for a reliable supply,'' Mr Reeves said.