By Luke Voogt
Geelong pensioners will bear the brunt of electricity price rises when one Victoria’s largest power plants closes next year, according to senior citizens branches.
Australian consulting firm Frontier Economics forecast a 25 per cent price increase after Hazelwood closes in March.
Pensioners living week-to-week would be among the hardest hit, said local senior citizen club presidents.
Norlane president Jennifer Kirby-Forte said about 90 per cent of her members would struggle.
“Any closure of any place that produces power is going to be bad for people on a limited income,” she said.
Many elderly residents already had big power bills because they spent a large amount of time at home, Ms Kirby-Forte said.
“For those people life will become more difficult.”
Whittington branch president Graeme Stephen’s said his latest bill was particularly high thanks to “a cold, rotten winter”.
“We have a lot of people who just pile on the blankets and deal with the cold because they can’t afford it,” he said.
“They live from day to day and 25 per cent is not peanuts.”
Mr Stephens said the price rises could vary based on postcode.
“I’m not sure if they’ll actually go up here. We’ll have to see what eventuates.”
Energy company ENGIE, which owns the plant, announced it would close in March 2017 after becoming economically unviable.
Frontier Economics’ study indicated a subsequent 25 per cent increase and smaller ongoing annual hikes.
But State Government-commissioned modelling indicated lower increases of 4 to 8 per cent.
World Wildlife Foundation Australia listed Hazelwood power station as the least carbon-efficient in the OECD and one of the most polluting in the world.
Environment Victoria hailed the decision as a landmark moment for Australia’s transition away from fossil-fuel power, saying it would make room for billions of dollars of “clean” energy.
