The brunt of the rising costs of electricity are being born by the poorest in society, a new report in Australia has said.
The report is written by the Australian Council of Social Service (Acoss) and the Brotherhood of St Laurence.
The report also highlighted the prohibitively high cost of renewable sources of energy and the fact that people are being forced to pay the price for these sources of energy through their bills.
“Put plainly, there are concerns that, without significant policy and regulatory reform, the future energy market will create a two-tiered system that favours those who can access and afford distributive energy resources (such as solar panels) and those who cannot, further widening the gap between the haves and the have-nots,” the report says, highlighting the prohibitively high cost of renewable energy.
“This inequity is further exacerbated when incentives to support the uptake of distributive energy are recouped in a regressive manner through electricity bills, rather than more progressive means, such as from government budgets.”
The chief executive office of Acoss, Cassandra Goldie, said: “Efforts to provide access to affordable, reliable and clean energy are failing and low-income and disadvantaged households are bearing the brunt.”
This comes after news that 68,400 households in New South Wales are at risk from being disconnected because they cannot pay their bills.