TAXPAYERS will foot the bill for a $45m power bill increase for the State Government in what Treasurer Rob Lucas says is the result of a “rushed and incompetent” deal struck by the former Labor Government.
Mr Lucas blamed the spike on “hurried” agreements entered into by Labor for the government’s energy supply, which locked in high energy prices for 2018.
Electricity costs across government are expected to increase to $106m this year – or by 73pc – with Mr Lucas saying the Country Fire Service (CFS) would be among the hardest hit.
It is estimated electricity costs for the CFS will jump 500pc in 2019.
Mr Lucas said bridging contracts were required as a result of the government’s generation project agreement with Solar Reserve and its Aurora solar thermal generation project near Port Augusta from 2020.
One-year contracts were entered into with incumbent suppliers Origin Energy and Simply Energy for small metered and unmetered lighting sites.
The announcement foreshadows the release of the state budget, which will be handed down on September 4.
