Gas pricing
The Western Australian Government regulates gas prices for small use customers (consuming less than one terajoule per annum) serviced by gas distribution systems in the Mid West/South West Kalgoorlie-Boulder and the Albany supply areas. A retailer must have a gas trading licence issued by the Economic Regulation Authority (ERA) to sell gas to these customers. The Energy Coordination (Gas Tariffs) Regulations 2000 sets out a cap on the price that retailers can charge small use customers.
The region within which regulated gas tariffs apply includes Geraldton and surrounding areas, Carnamah, Perth metropolitan area extending North to Gingin and south to Busselton. Regulated tariffs do not apply to the reticulated LPG systems in Margaret River, Leinster and Esperance, or to bottled gas.
Alinta is licenced to supply natural gas to small use customers in the mid-West/South-West, Kalgoorlie-Boulder and Albany areas.
Retailers that supply large users are not bound by tariff caps.
In addition to the regulated gas tariff, retailers may charge additional fees. The government does not regulate these additional charges.
Prices and supply costs
Retail gas prices have increased due to higher prices for wholesale gas combined with higher costs to deliver gas to households and businesses through the gas distribution system. There have been significant increases in the prices charged to retailers by ATCO Gas Australia for the use of its distribution network. These charges are independently determined by the ERA.
Price changes
Residential customers
There was a 10% increase in gas prices for residential customers in the Mid West/South West, Kalgoorlie-Boulder and Albany areas on 1 August 2011.
Non-residential customers
There was a 10% increase in gas prices for all non-residential customers in the Mid West/South West, Kalgoorlie-Boulder and Albany areas on 1 August 2011.