Power cost shocker as utility prices soar

The Northern Territory Government has announced utility cost increases that will push up bills for the average family by more than $2,000 a year.

From January 1, power bills will rise by 30 per cent, water by 40 per cent, and sewerage by 25 per cent.

Pensioners and some seniors will pay half of those increases.

The Power and Water Corporation says the moves will increase revenue by $163 million a year.

The corporation has a debt of $1.9 billion.

This is about 40 per cent of the Territory Government's total debt.

Chief Minister Terry Mills had flagged the "substantial" price rises in a taxpayer-funded advertising campaign earlier this month.

The announcement of the actual rises was made this afternoon.

Mr Mills says the cost rises are needed to reduce the Territory's financial risk.

He says the previous Labor government put off raising prices to a more sustainable level and would have been forced to make the same decision if it had won the election.

"If we were continue along with the ill-disciplined, self-indulgent view of the former government ...

that would further jeopardise the financial future of the Northern Territory," he said.

Water and sewerage rates had already risen by 60 per cent since 2009, and electricity costs by more than 20 per cent.

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    0.9327-0.0005-0.05%
    AUDUSD=X
    0.5555-0.0003-0.05%
    AUDGBP=X
    0.6753-0.0003-0.05%
    AUDEUR=X
  • Commodities
    Commodities
    NamePriceChange% Chg