October 28, 2014
A new report commissioned by two leading rural industry bodies claims Ergon Energy is “raking in profits” from irrigators.
The report, by Carbon Market Economics, was commissioned by Canegrowers and the Australian Sugar Milling Council.
“Irrigators consume 2 per cent of the power distributed by the rural energy provider Ergon but contribute 3 per cent of the revenue,” Canegrowers CEO Brendan Stewart said.
“In contrast, the largest user group, which is made up of high-use customers who number less than 100, consume 30 per cent of the power and contribute just 4 per cent of revenue.”
Mr Stewart said rural users in Queensland were charged amongst the highest network tariffs in Australia.
He said the report puts paid to any suggestion irrigators were being subsidised.
“The report shows that advice being given to the Minister for Energy and Water is flawed and nothing could be further from the truth,” Mr Stewart said.
He said the system was “broken and must be fixed”.
