Tasmanian Labor promises to scrap electricity connection fees if it wins state election

Blackmans Bay pensioner Fran Spears says her son has paid a lot of connection fees, having moved rentals eight times. (ABC News: Jake Grant)

Tasmanians would no longer have to pay power connection and disconnection fees when they move house if Labor wins next month’s election.

Residents who relocate are currently charged a $100 electricity connection fee if their property has a basic meter.

They are also billed a further $64 for a final meter reading when they move out.

In its latest pitch to voters impacted by cost-of-living pressures, Labor, which has been in opposition for the past decade, said it would waive the “unfair” fees.

“These are charges that a lot of people simply haven’t got the money to pay for because of all the other cost pressures that they’re feeling in their life,” leader Rebecca White said.

The policy would primarily benefit the almost 16,000 Tasmanian households that shift into new rental properties each year, Labor said.

“Renters have to move on average every two years and they’re paying really significant charges when it comes to their connection and reconnection fees,” the party’s energy spokesman Dean Winter said.

“They’re under enormous stress from instability in their housing, but also the cost that they have to pay and that’s why we want to fix it.”

He said the policy would amount to about $4 million per year, with the cost borne by TasNetworks, which recoups the charges via bills issued by Aurora Energy.

Policy welcomed by renters and the Tenants Union 

The Tenants Union of Tasmania says the move will help ease the pressure on renters.

“It is often difficult for renters to move, given they have to pay two weeks rent in advance as well as four weeks rent as bond,” the union’s principal solicitor Ben Bartl said.

“So waiving the electricity connection fee will make it easier.”

Blackmans Bay resident Fran Spears, who recently moved into a new rental property, said she supported any initiative designed to reduce the rising cost of living.

While the policy would have benefited her, she said her main concern was for her son, who has been forced to move with his family from one rental property to the next over recent years.

“He’s moved six houses in eight years,” she said.

“Every time he moves, they’ve had had to pay disconnection fees and reconnection fees.

“That starts them behind the eight ball to begin with.”

Last week, Labor announced it would reduce household energy bills by $400 over the next financial year if it wins the March 23 poll.

It would also cap electricity price rises at 2.5 per cent per year.

It said the policy would cost $50 million, but the Liberal Party has accused Labor of falsifying its costings.

When asked what a re-elected Liberal government would do about power connection fees, its leader Jeremy Rockliff would not say.

“We’ve got another three or four weeks to go [until the election],” Mr Rockliff said.

“We will be every single day rolling out our 2030 strong plan for Tasmania’s future.

“I look forward to announcing policies that will positively impact on all Tasmanians.”

The Liberals have already announced several election commitments focused on cost of living challenges.

They include scrapping stamp duty for first home buyers and adding 200 properties to a scheme that caps rents at 30 per cent of the market rate.

The Greens today announced an election commitment to abolish levies charged by public schools.

The party also promised to provide $110 vouchers for concession card holders to assist with preparing their children for school.

“These initiatives… are going to go a long way to cutting the cost of living, supporting public education and ensuring families do it a lot easier in this day and age,” the party’s education spokesman, Vica Bayley, said.

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