This is the final report in a series on improving support for low-income households through the transition to clean energy.
- People on low incomes are more vulnerable to climate change impacts and a poorly managed transition to a clean economy.
- Energy prices have risen significantly in the last decade and low-income households are hardest hit.
- An emissions trading scheme can help reduce energy prices but low-income households will still pay disproportionately more.
- Measures to reduce the size of energy bills and improve people’s capacity to pay are needed.
- Investment in energy efficiency could provide annual savings from $289 for apartments to $1,139 for houses. It could reduce energy expenditure as a percentage share of income for lowest-income households from the current 6.4% to 4.1%.
- A fair regulated retail price could save $261 to $436 per annum for 37–60% of households and reduce energy expenditure as a percentage share of income for lowest-income households from the current 7.6% to 6.1%.
- Increasing Newstart by $75 a week would reduce energy expenditure as a percentage share of income for Newstart households from the current 6.3% to 5.6%, a $110 increase would reduce it to 5.3%.
- A shift to percentage-based concessions improves equity, responsiveness to change in energy bills, and provides greater support to couple and single parent families.
- A faster transition to clean energy is desirable and achievable with targeted affordability measures.
The previous two reports can be found at: