Extreme Heat Exacerbates Energy Poverty in Central Australia
Vanessa Napaltjari Davis allocates $70 weekly to her prepaid electricity card, but as Alice Springs endures increasingly scorching summers, that credit now lasts a mere two to three days. Since summer began, Davis and her grandchildren have been sweltering in their two-bedroom home, with temperatures in the southern Northern Territory soaring well above average, leading to frequent disconnections of their single air-conditioner.
'We Almost Had 40 Days Over 40'
'We almost had 40 days over 40,' Davis recounts. 'I was struggling to keep on top of the power bill and keep my little grannies [grandchildren] cool.' An Arrernte and Luritja woman, Davis resides with her granddaughter and two great-grandchildren in Nyewente, also known as Trucking Yards, one of 18 town camps encircling Alice Springs.
Her state-owned home, like many in the town camps, urgently requires upgrades. However, since the Northern Territory government installed a prepaid electricity smart meter several years ago, she has faced constant challenges in maintaining power.
Prepaid Electricity and Frequent Disconnections
'I usually put $70 a week on my electricity when it's normal temperature, and it will last me until the next pay week,' Davis explains. 'But because of this extreme hot weather, that $70 is only like two or three days.' The Northern Territory has just recorded its tenth hottest January on record, with climate change expected to drive even more extreme temperatures. Warnings suggest Alice Springs and surrounding central desert communities could become uninhabitable for humans.
To sustain electricity, Davis must top up her prepaid card at service stations or local groceries. When credit depletes, her power automatically disconnects, cutting off lights, refrigeration, and cooling. She is among over 65,000 Aboriginal people relying on prepaid electricity across the Northern Territory, South Australia, Western Australia, and Queensland. A 2025 study by the First Nations energy justice organisation Original Power reveals these households endure an average of 49 disconnections annually—nearly one per week—due to unaffordable bills.
Impossible Choices Between Electricity and Food
As the sole provider in one of Australia's most impoverished communities, Davis often confronts the agonising decision between keeping the power on or purchasing food for her family. 'What's more important, the electricity or food? But to us, they are both important,' she states. 'We need the electricity to keep the fridge cool for the food to be stored in. If we don't keep the electricity on then the food goes off, then a lot of people have to wait until their next payday to buy more food. This is the decision that we make every day, everybody.'
Davis provided a breakdown of her power costs since last winter. During June, July, and August, she paid $1,331.12 due to cold nights. In September, October, and November, she paid $920.64. For December and January, she has already paid $663.97, experiencing over four disconnections monthly from inability to afford top-ups.
Energy Retailer Response and Government Stance
A spokesperson for Jacana Energy, the retailer supplying electricity across the Northern Territory, noted that electricity prices are 'regulated and subsidised by the Northern Territory Government.' They explained household consumption typically rises during extreme temperatures, causing prepaid credit to deplete faster, though tariffs remain unchanged. 'Prepaid and smart meters record electricity consumption. Charges are based on recorded electricity usage measured by the meter.' They added that supply is temporarily interrupted only when credit exhausts and can be restored immediately upon adding credit, with safeguards like emergency credit and hardship programs in place.
Health Impacts and Advocacy for Change
Extreme heat is the leading cause of weather-related hospitalisations and deaths in Australia, with Aboriginal people particularly vulnerable due to high temperatures and poor housing. Dr Simon Quilty, a physician with over two decades in the Northern Territory, highlighted that heatwaves are 'catastrophic to people's wellbeing,' noting increased hospital admissions during hot months due to inadequate housing.
Original Power's study recommended urgent actions, including banning disconnections when temperatures exceed 40°C. Lauren Mellor, co-director of Original Power's clean energy communities program, criticised governments for 'dragging their heels' on implementation. A proposal was submitted to the Albanese government for a trial ban on disconnections above 40°C. 'Poor quality housing and a reliance on box air-conditioners in many First Nations communities cause families to spend more to keep homes at safe temperatures,' Mellor said. 'Prepayment customers already experience precarious energy access, so it's critical that governments and electricity retailers offer protection from disconnection on dangerously hot days.'
Government Initiatives and Future Outlook
A federal government spokesperson affirmed commitment to addressing energy poverty and supporting clean energy transitions in remote areas, thanking Original Power for their report. The Northern Territory government has launched campaigns to educate customers on reducing power usage, keeping meters topped up, and utilising emergency credit. They noted prepayment meters offer benefits like supporting cultural mobility and shared living arrangements, but acknowledged that complex issues require collaborative solutions across governments and communities.
