Tackling the cost of living pressures seems complex, and it may well be for the parties who take a very “siloed” approach.  It is true, cost of Living pressures for voters of Aston is many different forms.  We need to break down the problem to the core components and make it manageable – because at the moment, cost of living is unmanageable for many families.

Daily Living Costs

The pressure in everyday costs have sky-rocketed.  There are several different impactors at play here.

Supermarket Monopoly

Australia may only have a market size that supports the four current chains (Aldi, Coles, IGA and Woolworths), and whilst this may be a market fact, it doesn’t give them the right to price-gouge and engage in profiteering.  I support increased powers for the ACCC to investigate and prosecute them for behaviour that is or should be illegal.

Shrinkflation

This is one of the most insidious forms of cost of living pressures.  Shrinkflation is where a company reduces the size of their product whilst maintaining or increasing the price of a product.  I would advocate for new laws that meant any company that was ‘shrinking’ its product would need to make an announcement, supermarkets would need to place a sign advising of the brand and size difference and list similar products available – where they are, their size and price.  This will give consumers the opportunity to support their competitor.

Energy

The cost of energy keeps going up.  The energy relief from the current government was a $300 to each household.  That was nice, but didn’t even cover the cost of the daily charges for a year of just having an electricity account.

There has been significant push for the past 20 years about solar energy.  Subsidies have been offered and has seen reasonable uptake of these systems.  The problem that this has now created is that over production is putting our power grids at risk of overload.  The other, often unmentioned issue with this system is that houses are producing large amounts of energy, which if used whilst the sun is at its full strength, will save you money, unless of course you are at work… and then when the sun goes down, you are home from work and using power – it is at peak rates and you are paying the highest tariffs for the power.

I am proposing that the push is to solar includes substantial increases for solar batteries.  This will mean that the energy you produce can be used by you when the sun goes down.

I also want a proper review of the dollar value that households receive when they produce free energy for the energy companies.  Effectively a home needs to produce 10Kilowatts of power onto the grid to cover 1 kilowatt of electricity used during peak.  This to me is wrong. We need to have people produce and store power to reduce demand on the grid and to ease the cost of living pressures we are facing.

Insurance costs

It seems every time we get a renewal – the price has gone one way – UP.  I would advocate for a full review into the insurance industry to identify their hidden conditions, clauses and fine print.  Steps could then be taken to address the issues.

Financial Costs – banks

I love it how when there is an interest rate rise – the banks are really quick to pass on the ‘costs’ to us.

In speaking with self-funded retiree’s, it was noted that the banks don’t move that fast to pass on increases in savings rates, when the rates goes up.

I am proposing that legislation be introduced so that the banks would select the timeline to introduce interest rate increases.  Before any increase can be implemented any savings rates must be adjusted at least 24 hours before the rate increase and rate increases must be within a scheduled range of the proposed mortgage rate increase.  Likewise, when there is a decrease – this timeline that the banks have elected for increases, will apply for decreases.  The only difference is that saving account rates could only be changes 24 hours after the decrease in the mortgage rates.

Fuel – Petrol, Autogas and Diesel

I think the major petroleum distributors went to the same business school as the bank executives.  It is incredible how quickly price rises in oil are passed on at the pump, yet when the price falls, not so much the same urgency.

Like banks, companies would be required to nominate the price rise % that they would tolerate (no increase in price) and when it exceeds that %, would then nominate the timeline for the increase in price.  This same % would be used to trigger similar timelines for decreases.

Both the banks and the petroleum companies have shown that self-regulation does not work, at least not in favour of us their customers.  It is time that we regulate their activities and make the systems work in our favour, not theirs.

Conclusion

Cost of living efforts by the current government and the proposals thus far from the opposition do not offer a solution. My points are a starting point for discussion for the voters of Aston.  My role as an independent is to represent your views.  Please leave a comment and provide feedback.  I can only represent youor views if I know what they are.  I appreciate that i will never come up with a package that pleases all the people all the time, but I am committed to representing the voters of Aston as a priority, not a party.