Shock for West Australians as State Government set to raise power and water bills by up to three per cent

The cashed-up State Government is set to slug West Australians up to 3 per cent more for their power and water as criticism grows about its spending priorities. Informed Labor sources say even backbenchers are questioning the Government’s agenda, just weeks after the party won a third term. The Sunday Times understands power and water bills are set to go up from July 1 by about 2.8 per cent — the same as Perth’s consumer price index — despite calls from welfare groups for a freeze on Government fees and charges in next month’s State Budget to help West Australians doing it tough. It’s understood the Government has also decided against another power credit, despite Premier Roger Cook saying before the State election that he wasn’t ruling out electricity-bill reprieve for West Australians. Welfare groups on Saturday said the Government’s strong financial position — a $3.5 billion surplus forecast for the 2025-26 financial year — meant it could afford to freeze bills. Treasurer Rita Saffioti this week made it clear Labor’s $3.4b pre-election commitments were her top priority. “We’ve been clear from the start that this upcoming budget is about delivering on our commitments, investing heavily in key services and priority areas like jobs, health and housing, and continuing to propel this State forward,” she told The Sunday Times. In last year’s budget, power charges went up 2.5 per cent. But the Government gave households a $400 power-bill credit. According to Treasury, a “representative” household can now expect to pay $1900 in power bills each year compared to $1779 in 2021. Water bills also went up 2.5 per cent this financial year, and vehicle licence charges went up 3.9 per cent. The move to again raise power and water tariffs is likely to aggrieve Labor backbenchers, already incensed over a decision to proceed with a contentious $217 million racetrack and amphitheatre at Burswood. “They are wondering whether the money could be better spent on crumbling schools,” one senior Labor source said. Ms Saffioti said “responsible financial management and delivering for Western Australians” was a “hall mark” of this State Government. “We’ve kept the increase in the basket of State Government fees and charges to less than inflation for the past five Budgets,” she said. “That’s in stark contrast to the Liberals and Nationals that not once kept the basket of State Government fees and charges to below inflation. In fact, electricity prices rose by an average of more than 8 per cent per annum or 90 per cent over eight years.” The Government’s strong financial position was further highlighted in this week’s quarterly financial results which showed an operating surplus of $2.8b in the first nine months of this financial year. According to Treasury, revenue was $1.9b higher than last year due to higher Commonwealth funding and tax revenue, partly offset by lower royalty income from iron ore and lithium. WA Liberal leader Basil Zempilas on Saturday questioned whether the Government had its priorities right in deciding on what to spend its billions of dollars on. “The latest quarterly financial statements from Treasury show the Cook Labor Government is flush with cash, and they’re spending more than ever, but on the wrong priorities,” he said. “Spending on core services like hospitals, schools and community support is dwarfed by the Treasurer’s obsession with delivering Metronet at any cost — $10 billion over budget already. “And instead of making a racetrack at Burswood Park their priority, the Government should be focusing on getting the basics right — making sure West Australians doing it tough can access support, addressing the health crisis and better supporting schools. “How about ensuring sick and injured patients can get into a hospital bed instead of waiting hours in an ambulance and kids in government schools have room to play on ovals, instead of play spaces taken up with transportable classrooms. “ Welfare agencies are calling for further reprieves for the most vulnerable. “We want to see a total freeze on increases in fees and charges, particularly utilities, electricity and water, but also on transport licenses,” Anglicare WA boss Mark Glasson said. “Western Australia is in sufficiently strong position that we can provide a dividend through this budget for people that are doing it really tough.”