Savvy's 2022 survey of 1005 Aussies learns how rising utility prices are affecting the cost of living in Australia.
- Estimated 8.7 million Australians cite utility prices as the greatest cost of living concern
- Average Australian spending $137 per week on utilities
- 54% of those surveyed have experienced electricity price rises
- 42% say they have experienced gas price rises
Savvy’s latest nationally representative survey (n=1,005) has shown that 45% of respondents say that rising utility bills are of the greatest concern to their cost of living – an estimated 8.7 million adult Australians if extrapolated across the current population.
While all age groups expressed significant concern over the cost of utility bills, the 55–64-year-old cohort were the most concerned (56%) followed the over 65s (49%) and 45-54-year-olds (47%).
Respondents to the survey also reported they are spending an average $137 per week on utilities, when water, gas, electricity, and internet bills are combined.
The average reported spend on electricity throughout Australia was $49 per week, with NSW topping the averages at $55.60 per week, followed closely by Western Australia $55.20 per week.
The reported average spent on gas per week was $26.50 per week, with ACT residents claiming to pay the most on $48.60 per week, followed by Tasmania on $45.30 per week.
Respondents to the survey say they spend an average of $31.60 per week on internet access.
Utility bills continue to rise
This comes in the wake of Australian wholesale electricity prices more than doubling over the last 12 months, according to the Australian Energy Market Operator (AEMO).
54% of Australians reported their electricity bills have gone up. Topping the list were Tasmanian and Western Australian residents at 74% and 72% respectively.
Gas prices have also increased over the previous year, now an average of $9.93 per gigajoule compared with $6.05 per gigajoule in the March 2021 quarter.
42% of respondents agreed that gas has increased, with Victoria leading the results at 50%.
Bill Tsouvalas, Savvy Managing Director & personal finance expert;
Savvy CEO Bill Tsouvalas says rising energy and utility prices are going to affect everyone over the coming year. “Inflation is coming whether we like it or not; and utility prices will fuel much of that hip-pocket pain,” he says. “With everyday Australians already feeling the impact of cost-of-living pressures from every direction, it could be a cold and bitter winter for many."
In this situation, many people are inclined to put more and more on the credit card, though over the long run a better option is to take out a personal loan with fixed interest and repayments."
Future of Australian's Finances
The impact of utility bill increases is being felt acutely by Australians with regard to their family finances. When combined with other necessities, such as fuel and groceries, rising electricity prices only serve to increase the pressure on individuals and families.
This information is general in nature and not a substitute for professional financial advice.
For more information, contact Adrian Edlington – [email protected]
Sources:
Savvy – 2022 Cost of Living Survey (n = 1005)
https://aemo.com.au/energy-systems/electricity/wholesale-electricity-market-wem/data-wem/data-dashboard
