Electrical costs to rise as Queensland dumps fuel rebate

Consumers of electrical services in the Australian state of Queensland will pay an additional A$2 million (US$1.68 million) every year as a result of the government’s decision to end its fuel tax rebate scheme on July 1. Queensland electrical contractors will feel the pain of the extra eight cents a liter at the bowser, and they will be forced to pass the additional cost to their customers. “Fuel is a significant operating cost to members of our industry and they cannot afford to absorb the costs of higher of fuel prices themselves”, said Paul Daly, national workplace policy manager of the Master Electricians Australia. Queensland cut the tax rebate to save a $2.4 billion (US$2.01billion) over four years from the state budget. “Unfortunately, this is a direct transfer of costs from the government to individuals — effectively a new tax for families and businesses alike”, he said (June 20, 2009)