Under pressure: families under the pump as oil and gas fuel high costs of living
Parents for Climate and Climate Council
14 November, 2024
New research shows the vast majority of Australian families are struggling to afford household essentials, including food, and the high prices of oil and gas are driving up bills and crunching already stretched household budgets.
This comes as a new report from Parents for Climate and Climate Council, ‘Under Pressure’, examines how extreme weather is driving up insurance bills and finds parents are worried that climate change will make our cost of living crisis even worse. The report includes YouGov polling which shows:
- More than half of Australian families have reduced the amount or quality of food they’re buying and one third said their children had been impacted by a lower variety and quality of food.
- Insurance stress is causing 71% of parents to worry about higher premiums due to more intense and frequent unnatural disasters driven by climate pollution.
- Two in three families have cut back on heating and cooling their homes.
- The vast majority (71%) of parents are worried about both the rising cost of living and climate change.
Overwhelmingly, parents want access to popular solutions to our cost of living and climate crises, like solar panels, household batteries and energy efficient appliances. But many can’t afford the upfront costs or live in rentals, and need help from governments to access upgrades that cut bills and climate pollution at the same time.
Parents for Climate CEO Nic Seton said: “Our research shows how nearly every Aussie family is copping rising costs, made worse by oil and gas prices and unnatural weather events. With the majority of parents having to make tough choices, it’s our kids’ health and wellbeing that’s on the line.
“It’s heartbreaking to hear from so many parents through this research who have to cut back spending on essentials like food, heating, cooling and insurance just to make ends meet.
“The vast majority of parents worry that our dependence on coal, oil and gas is compounding cost of living pressures, but they also know that climate solutions can ease household budget pressure, such as better support for solar and batteries for lower income households.”
Bernie Systa, a mum living in Redlands, Brisbane, with three of her five kids said they could no longer afford insurance due to rising costs. “We currently do not have house and contents insurance because it went up so much and it is unaffordable,” she said. “I am very concerned about not having insurance.”
Independent economist and Climate Councillor Nicki Hutley said: “Oil and gas are fuelling two crises at the same time: climate change and cost of living. Aussies are doing it tough every time we fill up cars with pricey petrol or use expensive gas to heat our homes. These polluting products are also driving up inflation.
“Insurance bills are through the roof because climate pollution is driving more unnatural disasters globally and hiking insurance premiums as a result. Australians are paying $30 billion more today on insurance than they were only 10 years ago – more than double the average rate of inflation.
“The good news is that cutting back on the oil and gas that’s straining our wallets will also cut climate pollution, and there is huge demand out there for rooftop solar, household batteries and energy efficient appliances. Making these solutions more accessible lowers bills and cuts climate pollution to help protect kids’ futures. That’s a win-win situation for Aussie parents.”
For media queries and interview requests, please contact Emily Watkins on 0420 622 408 or emily.watkins@climatemediacentre.org.au or Jacqui Street 0498 188 528 jacqui.street@climatecouncil.org.au
Note: Audio grabs of Parents for Climate CEO Nic Seton and Climate Councillor and economist Nicki Hutley are available for download here.
Available for interview:
Nic Seton, CEO Parents for Climate
Case studies in Melbourne, Sydney, Brisbane and northern NSW:
- A Brisbane mum who has forgone home and contents insurance due to rising costs
- A Ballina (Northern NSW) mum who has cut back on food and kids’ sport activities and is also facing housing insecurity in the rental market
- A single mum living in Bronte, Sydney, who is unable to install solar panels or afford converting from gas to electric hot water
- A Melbourne mum facing significant financial strain, with a sick child at home and struggling to manage the rising costs of essentials
- A Marrickville, Sydney dad who has been working longer hours to be able to pay rising energy bills
- A Newtown, Sydney dad who hasn’t had any electricity bills this year after installing solar panels and a battery at home
Dr Grant Blashki, Climate Council Fellow and practising General Practitioner
More results from YouGov polling:
- 53% of parents have cut back on the amount or quality of food they buy and 66% of families have cut back on heating and cooling their homes.
- 33% of parents reported struggling to afford power bills or insurance frequently or all the time.
- Young families with children aged 5 or under were much more likely to say they are financially stressed (42%).
- 32% of parents polled report being forced to reduce their children’s participation in sport or recreation activities, such as dancing and swimming lessons, that have significant benefits for childhood academic performance and sense of belonging.
- 71% of parents said they were concerned about higher insurance costs, as more intense and frequent unnatural disasters are fuelled by coal, oil and gas. Some parents reported being priced out of insurance altogether.
- Most parents have either installed, or would consider installing, solar panels (88%), batteries (70%) and energy efficient appliances (84%). These parents cited upfront costs as the biggest barrier to accessing upgrades, followed by being unable to make changes in rental or social housing.
About the YouGov poll: All figures, unless otherwise stated, are from YouGov Plc. The total sample size was 1,590 Australian parents (of kids under 25 living at home), nationally representative. Fieldwork was undertaken between 13 September and 21 September 2024. The survey was carried out online.
A separate survey was managed by Parents for Climate in September 2024, with more than 1000 Australian parents participating.