Headworks subsidy a winner, Woodhams

Author: Grant Woodhams
Published on: 03-June-2010

Member for Moore, Grant Woodhams MLA has welcomed the announcement by the Minister for Energy, Hon Peter Collier, that the Distribution Headworks Scheme will be fully subsidised from July 1st.

The headworks charge is a one-off payment for customers to connect to the electricity network, or upgrade their connection, at remote or edge of grid locations.

The Distribution Headworks Scheme was originally introduced to replace the ‘first user pays all’ approach to headworks charging, with a part subsidy provided in the most remote locations where the charge was the highest.

Mr Woodhams said that the subsidy is a real bonus for regional customers who were previously subject to prohibitive headworks charges.

“The headworks subsidy will provide a much needed boost to regional business and remove a prohibitive cost that impacted on regional growth,” Mr Woodhams said.

It will also be of great benefit to community organisations who are struggling to upgrade or build new facilities.

“I have received many calls from community organisations who received headwork charges far exceeding the costs budget for, even those eligible for a rebate.” Mr Woodhams said.

“Headworks costs had put many projects in jeopardy and it is such a relief that these charges will now be subsided.”

“The Nationals fought hard to reduce headworks costs while in opposition and it’s great that we can deliver on this through Royalties for Regions.” Mr Woodhams said.

Charges paid by customers since the scheme was introduced in 2007 will also be refunded, with funding provided through Royalties for Regions.