Heat or eat? How families are coping with high energy bills

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Heat or eat? How families are coping with high energy bills

Danielle Melnyczenko standing outside the house she moved to to cut her power bills

When Danielle Melnyczenko found herself forking out upwards of $1,200 per quarter on her energy bill, she realised the only way to reduce it would be to move house.

"I guess moving seems kind of radical, but it was the best thing for us to do as a family because we had to manage our bills," she told 7.30.

Ms Melnyczenko, who lives in the Hawkesbury region of Sydney, spent more than six months searching for the perfect rental home which would help keep her energy bill relatively affordable.

"We have the highs and lows of temperature, so we have to be practical on how we're heating and cooling our home," she said.

Danielle Melnyczenko and her son in their new house

She chose a home with lots of natural sunlight, helping to reduce her reliance on heaters and electric lights.

She has also progressively thrown out a lot of electronic goods in a bid to further reduce her usage.

With energy prices spiking since Danielle moved two years ago, she believes she'd now be paying even more if she hadn't moved.

"It may have been a lot of expense for us initially upfront to move but it's just so much better, especially where we live now," she said.

"I think if we'd stayed in the previous property it would have sat easily around $1,600."

More families turning to charity

Rachel Grimshaw and her three sons sitting on the sofa in their lounge

But with the rising costs of electricity the Melnyczenko family aren't the only ones suffering the burden of unaffordable bills.

"You get your electricity and it's like $800 and you're thinking, 'where is this going to come from?'" western Sydney resident Rachel Grimshaw said.

The mum of three was recently forced to quit her job when her rheumatoid arthritis became unmanageable.

She estimates that the family income has dropped by $60,000, and it's meant she hasn't been able to pay her last two electricity and gas bills.

"It actually physically hurts me when I look at it because I know I cannot pay," she told 7.30.

She has tried to cut all unnecessary energy usage, but still finds that the bills are out of reach.

"I've got my fridge, lights, washing machine," she said.

"That's all I use. I've got clothes on the line right now and it's raining."

Her gas was almost disconnected twice, and eventually she was forced to turn to the charity Anglicare to help cover her $2,000 debt.

Karina Honyi, Anglicare case worker, standing in front of a shelf of food items.

Anglicare's Penrith office also helped Ms Grimshaw get a better discount with her energy retailer and put her on a payment plan for future bills.

The charity is seeing an increasing number of people needing assistance to stay connected.

"Bills these days, because they're quarterly, are reaching the $1,000 mark, if not over, just for a family," Anglicare case worker Karina Honyi told 7.30.

"There are always tissues on our desk, and I find it really hard when people are upset and it's about an electricity bill.

"I wish it didn't affect people that much, but it does."

Pressure on politicians and energy retailers

Power providers feeling the heat

Although energy price increases this year haven't mirrored the 20 per cent hikes seen 12 months ago, they're still one of the biggest bills many families face.

The Government is under pressure from its own side to consider a royal commission into high energy prices.

While the Prime Minister has dismissed those calls, he has announced that a major report by the Australian Competition and Consumer Commission (ACCC) into the cost of electricity will be released this week.

"It's a very, very comprehensive report," he said.

"It'll bear a lot of careful consideration and discussion.

"It will be a very, very illuminating report."

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