Electricity suppliers address consumer carbon tax concerns

Electricity suppliers are working to address consumer concerns regarding the commencement of the carbon tax on July 1.

A statement from the Energy Retailers Association of Australia (ERAA) said that suppliers are working closely with federal and state government departments to help residential, commercial and industrial customers understand how the tax will affect their bills.

"Estimates and modelling of the potential impact of the carbon price varies between state and federal governments as well as industry," said ERAA chief executive officer Cameron O'Reilly.

Government and industry leaders in New South Wales have already decided on a course of action to make the added costs of the carbon tax clear for customers - a standard figure will be printed on customer accounts to show the estimated cost.

According to Treasury, the average household can expect to pay an extra $9.90 per week in the first year of the tax.

However, the tax-free threshold has been significantly raised from $6,000 to $18,200 and tax cuts have been introduced to mitigate the impact of this increase.

Posted by Charlie Moore