❓ Mr. Masters asks about the accuracy of the Leader of the Opposition's claims regarding gas and electricity price increases. Mr. Barnett refutes the claims, attributing any increases to the GST and correcting the stated percentages.
AnsweredQoN 383Legislative Assembly
QuestionView source ↗
gas and electricity charges, increases
On 31 October 2000, the Leader of the Opposition addressed the WA Division of the Association for Independent Retirees. In the address he stated: "We know however of the 12 per cent rise in gas prices and the 11 per cent rise in electricity". Can the minister comment on the accuracy of the figures and the relationship to inflation? Mr BARNETT
On 31 October 2000, the Leader of the Opposition addressed the WA Division of the Association for Independent Retirees. In the address he stated: "We know however of the 12 per cent rise in gas prices and the 11 per cent rise in electricity". Can the minister comment on the accuracy of the figures and the relationship to inflation? Mr BARNETT
AnswerView source ↗
I thank the member for some notice of this question. Until he gave me prior notice, I had not known about the comments. I accept that the member for Vasse is correctly reflecting the Leader of the Opposition's comments. I make the observation that the electricity tariff for households during the course of this Government increased in one year, 1997, by 3.5 per cent. It was for residential customers only and there were no other increases. There were no increases for business customers. The gas tariff increased during one year, 1997, by 3.4 per cent for small business and residential customers. There have been no other increases in the price of electricity or gas. The GST is a tax that applies to goods and services and, therefore, applies to electricity and gas. As such, it is not an increase in gas and electricity prices. The fact is that the federal GST applies to electricity and gas. The Leader of the Opposition failed to inform people of that distinction. He also got the arithmetic wrong. To even the effect of the GST, sales tax and the like were removed. The net effect is an increase of 9.3 per cent, not 11 or 12 per cent. The Leader of the Opposition failed to explain that properly and the distinction between a tax and a price. His figures are wrong.
Mr BARNETT replied: I thank the member for some notice of this question. Until he gave me prior notice, I had not known about the comments. I accept that the member for Vasse is correctly reflecting the Leader of the Opposition's comments. I make the observation that the electricity tariff for households during the course of this Government increased in one year, 1997, by 3.5 per cent. It was for residential customers only and there were no other increases. There were no increases for business customers. The gas tariff increased during one year, 1997, by 3.4 per cent for small business and residential customers. There have been no other increases in the price of electricity or gas. The GST is a tax that applies to goods and services and, therefore, applies to electricity and gas. As such, it is not an increase in gas and electricity prices. The fact is that the federal GST applies to electricity and gas. The Leader of the Opposition failed to inform people of that distinction. He also got the arithmetic wrong. To even the effect of the GST, sales tax and the like were removed. The net effect is an increase of 9.3 per cent, not 11 or 12 per cent. The Leader of the Opposition failed to explain that properly and the distinction between a tax and a price. His figures are wrong.
I thank the member for some notice of this question. Until he gave me prior notice, I had not known about the comments. I accept that the member for Vasse is correctly reflecting the Leader of the Opposition's comments. I make the observation that the electricity tariff for households during the course of this Government increased in one year, 1997, by 3.5 per cent. It was for residential customers only and there were no other increases. There were no increases for business customers. The gas tariff increased during one year, 1997, by 3.4 per cent for small business and residential customers. There have been no other increases in the price of electricity or gas. The GST is a tax that applies to goods and services and, therefore, applies to electricity and gas. As such, it is not an increase in gas and electricity prices. The fact is that the federal GST applies to electricity and gas. The Leader of the Opposition failed to inform people of that distinction. He also got the arithmetic wrong. To even the effect of the GST, sales tax and the like were removed. The net effect is an increase of 9.3 per cent, not 11 or 12 per cent. The Leader of the Opposition failed to explain that properly and the distinction between a tax and a price. His figures are wrong.
Mr BARNETT replied: I thank the member for some notice of this question. Until he gave me prior notice, I had not known about the comments. I accept that the member for Vasse is correctly reflecting the Leader of the Opposition's comments. I make the observation that the electricity tariff for households during the course of this Government increased in one year, 1997, by 3.5 per cent. It was for residential customers only and there were no other increases. There were no increases for business customers. The gas tariff increased during one year, 1997, by 3.4 per cent for small business and residential customers. There have been no other increases in the price of electricity or gas. The GST is a tax that applies to goods and services and, therefore, applies to electricity and gas. As such, it is not an increase in gas and electricity prices. The fact is that the federal GST applies to electricity and gas. The Leader of the Opposition failed to inform people of that distinction. He also got the arithmetic wrong. To even the effect of the GST, sales tax and the like were removed. The net effect is an increase of 9.3 per cent, not 11 or 12 per cent. The Leader of the Opposition failed to explain that properly and the distinction between a tax and a price. His figures are wrong.
I thank the member for some notice of this question. Until he gave me prior notice, I had not known about the comments. I accept that the member for Vasse is correctly reflecting the Leader of the Opposition's comments. I make the observation that the electricity tariff for households during the course of this Government increased in one year, 1997, by 3.5 per cent. It was for residential customers only and there were no other increases. There were no increases for business customers. The gas tariff increased during one year, 1997, by 3.4 per cent for small business and residential customers. There have been no other increases in the price of electricity or gas. The GST is a tax that applies to goods and services and, therefore, applies to electricity and gas. As such, it is not an increase in gas and electricity prices. The fact is that the federal GST applies to electricity and gas. The Leader of the Opposition failed to inform people of that distinction. He also got the arithmetic wrong. To even the effect of the GST, sales tax and the like were removed. The net effect is an increase of 9.3 per cent, not 11 or 12 per cent. The Leader of the Opposition failed to explain that properly and the distinction between a tax and a price. His figures are wrong.
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