Catholic Social Services Australia says the Albanese Government’s plan to cut power bills will help millions of low-income Australians suffering power stress.
Millions of people on income support and welfare payments will have their power bills cut under a $1.5 billion plan announced on Friday by Prime Minister Anthony Albanese.
It is expected power prices will start to fall by mid-next year, after the government struck a deal with the states on a package including discounted energy bills for people receiving government payments and some small businesses.
Under the plan, federal assistance will go to the power providers to cut bills before they go to households. The subsidies are temporary.
CSSA chair Francis Sullivan said rising energy bills were “hitting people on low incomes the hardest”.
“This plan will give them some breathing space and a little financial room to move,” Mr Sullivan said.
“Hopefully, it will mean they can spend more on everyday basics like food, medicines and other essentials that many have been going without as power costs hit record highs during winter.”
While final details on how the payments will be made are yet to be determined, if the $1.5 billion were shared among all six million recipients of income support under federal social security programs it would amount to $250 per household.
Power bills for low-income earners to fall after Commonwealth and state governments agree to subsidies (CSSA)