Energy poverty in the climate crisis: What Australia and the European Union can learn from each other
As the transition to clean energy unfolds, some fear the decarbonisation of the electricity sector will mean higher prices. And high prices can lead to energy poverty: when a household cannot afford the essential electricity ...
Our new report, released today, compares approaches to energy affordability in the EU and Australia.
The EU is experiencing an energy price spike due to an increased demand as part of the post-COVID economic recovery and gas supply constraints from Russia. In Australia, wholesale electricity prices reached unprecedented levels in 2018, although they've since declined.
We found Australia can learn a lot from the EU about putting policies in place to alleviate energy poverty. We also show that under the right regulatory and market settings, electricity prices can be kept in check as the electricity sector decarbonises.
Apples and oranges?
Why compare a large populous union of member states with Australia? The EU and Australia have important similarities when it comes to the energy sector, such as a vast grid that crosses jurisdictions and shared governance arrangements.