Is the government's plan to give free power not as good as it seems? | The Business | ABC NEWS

Описание: From July next year, households will have access to at least three free hours of power as long as they take up the default market offer and have a smart meter. The government's newly announced Solar Sharer Scheme will force retailers to make it available to consumers in NSW, South East Queensland, and South Australia. The aim is to soak up the nation's abundant daytime solar power, stabilising the grid and lowering power prices in peak periods. The founder of SolarQuotes, now owned by Origin Energy, Finn Peacock says its a great headline, but the devil is in the detail. " I think its a good idea to reduce the cost of electricity during the day, to encourage more electricity during the day, but I think forcing retailers to offer it for free for three hours is only likely to push up other costs for consumers." Power retailers say they've been blindsided and shocked by the scheme that puts smaller operators under pressure. Chief Executive Officer at the Australian Energy Council says "Generally the charge that comes from the companies that operate the poles are wires still exists for that middle of the day but retailers are effectively covering that cost in the middle of the day." she says " For smaller retailers in particular we do need to think carefully about whether they can actually cover those costs. "

#ABCBusiness
Subscribe: http://ab.co/1svxLVE

ABC NEWS provides around the clock coverage of news events as they break in Australia and abroad. It's news when you want it, from Australia's most trusted news organisation.

For more from ABC NEWS, click here: https://ab.co/2kxYCZY
Watch more ABC NEWS content ad-free on ABC iview: https://ab.co/2OB7Mk1

Go deeper on our ABC NEWS In-depth channel: https://ab.co/2lNeBn2
Like ABC NEWS on Facebook:   / abcnews.au  
Follow ABC NEWS on Instagram:   / abcnews_au  
Follow ABC NEWS on X (Twitter):   / abcnews  

Note: In most cases, our captions are auto-generated.

#ABCNEWS #ABCNEWSAustralia