Publication Date



The carbon tax, imposed on July 1 2012, placed a substantial impost on electricity prices. With the repeal of the tax on July 17 2014, the question as to how much of the tax saving will be passed back to consumers is of consider able interest as it is a test of how competitive the electricity generation and retail sectors are. This statistical investigation addresses the first part of the question, that is, the extent to which the repeal of the tax has been passed back though wholesale electricity prices. This is intended to serve as a benchmark against what consumers might expect to see in retail electricity prices and their utility bills.