Today, further queries were put up regarding whether the awaiting execution of the emissions trading scheme (ETS) is being used to the fiscal profit of energy firms.

Retail increases that will put in 3.3 percent and 3.2 percent correspondingly to domestic power bills after July 1 on account of the execution of the ETS have been declared by Mercury Energy and Contact Energy.

Ari Sargent, Chief Executive of online energy retailer Powershop, stated, “the ETS scheme has been known about for quite some time, so our view is that wholesale prices already reflect the ETS scheme. So it seems a little bit opportunistic to be using the ETS as an excuse to put up prices now, when in fact they would have been reflected in wholesale prices for probably the last nine or 12 months”.

According to Mr. Sargent, traders who had not pointed out forthcoming price rises were expected to have already worked them into costing structures in the last few months.

Today, Contact Energy said that increased costs which were never popular were a direct outcome of the ETS and were based on the standard emissions intensity estimations of the Economic Development Ministry.

ACT Party MP John Boscawen emphasized in Parliament today that figures in the finances forecasting a boost in the worth of electricity generation assets of $821 million.

He also asked, if that incorporated windfall revenues from the likes of Mercury Energy.