THE State Government has no plans to alter the commercial electricity tariff for new businesses – and may even retro-actively apply the tariff to existing businesses – according to Minister for Energy, Peter Collier.
“Horizon Power has a statutory obligation to connect customers consuming less than 160 megawatt hours per annum,” Mr Collier said.
Mr Collier said this obligation did not apply to “large customers consuming more than 160 megawatt hours per annum.
“As a commercial corporation, Horizon Power can only connect new customers consuming more than 160 megawatt hours per annum at commercial rates or with additional funding.
“The Government made a decision that all new large businesses consuming more than 160 megawatts per annum in regional areas outside the South West Interconnect System would be connected at commercial rates.”
Mr Collier said the State Government was also considering retroactively applying the increased tariff – a move that would be devastating to local businesses.
“Government is considering the transition of existing large business customers in regional areas to cost reflective rates.”
The Esperance Express also asked Mr Collier if he felt the increased power tariff would create an unfair playing field for new businesses, and if he felt it would discourage new businesses in the regions.
Mr Collier did not provide an answer to these questions.