6 March 2002
The Energy Action Group launches research appeal
The Energy Action Group, an independent Victorian consumer and
environmental advocacy group for household users of gas, electricity &
water is seeking to raise funds to enable independent research into the
impacts of full retail competition (FRC) in the electricity market.
Currently, Victoria and NSW have fully de-regulated and SA is scheduled
to de-regulate supply to households and small business in 2003. Tasmania
may follow depending on whether Basslink goes ahead. Queensland and the
ACT have rejected FRC on the grounds that the costs outweigh the
benefits and that the outcomes would be inequitable.
Assessment of competition elsewhere and in other essential service
industries such as banking and telecommunications strongly indicates
that certain households will be very vulnerable to economic
discrimination in the market. Low-income customers, those who have
invested in energy efficiency, and those living in rural and remote
areas are likely to find themselves "redlined" (the negative side of
price/service discrimination - the positive is finding yourself
"cherry-picked"). (For further detail go to
www.vicnet.net.au/~eag1/report.htm)
In fact, the most vulnerable customers - those who are poorest in our
community - face the prospect of being denied connection as the
Victorian Government has not provided for an obligation to supply after
December 2003. The issue of whether or not there will be an on going
obligation to supply in SA is currently the subject of regulatory review.
The Victorian government has rejected funding independent research on
the distributional impacts of competition, preferring to rely on the
Essential Services Commission (ESC). The ESC has ignored calls for
consultation on how it will assess the "effectiveness" of competition.
As an economic regulator the ESC has developed no expertise in the area
of fuel poverty.
What will the funds be used for?
The funds will enable a large longitudinal survey of 1100 Victorian
households, and associated focus groups. The donations will be used to
pay trained people to undertake telephone canvassing, statistical
analysis and to recruit people for the focus groups (including at least
one non-English speaking group).
The survey and focus groups comprises part of EAG's president, Andrea
Sharam's PhD studies at the Institute of Social Research (ISR) at
Swinburne University. The research will be supervised and a Reference
Group will be established. Donations will not be used for any other purpose.
How much is needed?
The cost of the actual survey and associated focus groups is anticipated
as being $45,000 over three years. $10,000 is needed to enable the
first survey in May/June.
Making a donation
Please fill in the form below and return to the
Energy Action Group
PO Box 136
North Melbourne 3051
Any further inquiries can be made to Andrea Sharam at Swinburne
University on 9214 5243 during business hours
To find out more about the Energy Action Group go to our website
www.vicnet.net.au/~eag1/.htm
Donations for the Energy Action Group's Research Fund
Name__________________________________________________
Address_______________________________________________
Postcode___________________
Telephone_____________________________________________
Email_________________________________________________
I wish to donate $............for the EAG Research Fund
I need a receipt yes no
I wish to be acknowledged as a donor yes no
In the event that there is excess funds I wish to have my donation
returned yes no
If you have indicated you do not want your donation returned in the
event of excess funds being raised, the money will be put towards other
research and/or advocacy by the EAG.
Please make out cheques and/or money orders to the Energy Action Group.
Thank you for your assistance
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