The tailing off of Queensland State Government electricity rebates lifted inflation in a key sector last month, according to Australian Bureau of Statistics (ABS).
ABS Head of Prices Statistics Michelle Marquardt said the monthly Consumer Price Index (CPI) indicator rose 2.5 percent in the 12 months to January this year.
“Annual CPI inflation at 2.5 percent in January was the same as it was in December 2024,” Ms Marquardt said.
She said the largest contributors to the annual movement were Food and non-alcoholic beverages (+3.3 percent), Housing (+2.1 percent), and Alcohol and tobacco (+6.4 percent).
“Most of the increase in annual inflation for the Housing group to January was caused by increases in electricity prices for those Queensland households that had used up the Queensland State government electricity rebates.”
Ms Marquardt said electricity rebates lowered the price of electricity for households.
“The Queensland government introduced a one-off electricity rebate of $1000 from July 2024. This rebate exceeded the average electricity bill for Queensland households.
“The impact of the rebates was lower in January than December as some households had exhausted the full value of the rebate,” she said.
Ms Marquardt said, overall, Australia’s annual trimmed mean inflation was 2.8 percent in January, up slightly from 2.7 percent in December, while the CPI excluding volatile items and holiday travel measure rose 2.9 percent in the 12 months to January, compared to a 2.7 percent rise in the 12 months to December.
She said Food and non-alcoholic beverages prices rose 3.3 percent in the 12 months to January, up from a rise of 2.7 percent to December.
“The increase in annual food inflation was mainly driven by Fruit, with prices 12.3 percent higher compared to 12 months ago.
“Berry prices remain elevated following poor growing conditions in mid-2024. Prices for avocadoes, mangoes and citrus fruit have risen recently due to lower supply during the summer growing season.”
