Electricity price hike puts Queenslanders on edge

Queensland residents are up in arms over the plan to increase electricity prices by 21% with many households wondering where the extra funds will come from.

The Queensland Competition Authority (QCA) has released a draft determination outlining increases in regulated pricing in 2013-2014.

The 21% price hike will see an average $400 increase in quarterly power bills which leaves many Queenslanders struggling to rearrange their budgets.

Personal Debt Management company Debt Rescue assists people with budgeting and money management and says many people feel they have no choice but to cut back on their grocery bill.

“We have had a lot of people calling us at wits end, who are struggling to repay their bills, but don’t know where to find the extra money as they are already struggling to put food on the table”, Debt Rescue Operations Manager, Rachael Witton said.

“And this is before the new electricity prices have been introduced”.

Yet after working through their budgets, they aren’t left with many options.

One worried Queenslander was asked where she might be finding the extra money to cover the inflated power bill and she said it was coming straight out of her food budget.

“There's simply nothing left to cut and we've already reduced our food budget by $50 a fortnight in an effort to pay our son's kindy fees,” she said.

Ms Witton said as sad as it is to think there are people in our country who are struggling to feed their children, it is a sad reality for more families than we know.

“By the time people call us for help, they have been struggling on their own for years before it all gets too much to bear,” she said.

“We have noticed an increase in debt in the last 6 months, and that is only through people who are asking for help, there must be thousands of people who are trying to make it on their own.”

Debt Rescue has been operating since 2005 and provides debt relief solutions such as budgeting help, Debt Consolidation, Debtstroyer Agreements, Debt Agreements and can even assist people through the Bankruptcy process.

“We help people at every stage of debt, whether they are struggling to pay a huge bill or if they are 6 months behind on their repayments,” Ms Witton said.

“The worst thing you can do to overcome your debt is nothing at all and I encourage anyone in financial trouble to give us a call,” Ms Witton said.