Legislative Authority
Veterans' Entitlements Act 1986 (Part IIIE and Part VIIAD)
Military Rehabilitation and Compensation Act 2004 (ss 83A, 209A & 238A)
Veterans Children Education Scheme (Part 3A)
Military Rehabilitation and Compensation Act Education and Training Scheme (Part 3A)
Stated Purpose/Intent
The energy supplement provides fortnightly or quarterly financial assistance to certain members of the veteran and defence community to assist in paying electricity or gas bills.
Eligibility
It is paid automatically to Australian residents receiving one of the following underlying payments or benefits:
- VEA service pension
- VEA seniors supplement
- VEA Disability Compensation Payment
- VEA war widow(er)'s pension
- MRCA permanent impairment payment
- MRCA special rate disability pension
- MRCA wholly dependent partner payment
- VCES fortnightly education allowance for secondary or tertiary students
- MRCAETS fortnightly education allowance for secondary or tertiary students
- VEA or MRCA Gold Card (holders over qualifying age and not receiving income support)
- Commonwealth Seniors Health Card (CSHC) holders with grandfathered status
Notes
- The energy supplement can be paid during the first six weeks of a temporary absence from Australia.
- CSHC holders who leave Australia for more than 6 weeks lose entitlement to Energy Supplement.
- Energy supplement may be available to certain recipients of income support payments paid under the social security law.
- Multiple entitlement exclusions prevent a person receiving more than one energy supplement. However, a person receiving Disability Compensation Payment, MRCA permanent impairment payment or MRCA special rate disability pension, as well as another underlying payment, can receive two energy supplements.
Date of Introduction
The clean energy advance commenced on 1 July 2012.
The clean energy supplement (now the energy supplement) commenced on:
- 20 March 2013 for most payments
- 1 July 2013 for MRCA permanent impairment payments
- 1 January 2014 for VCES and MRCAETS fortnightly education allowance for secondary or tertiary students
The clean energy supplement was renamed the "energy supplement" on 20 September 2014 and was no longer indexed.
From 20 March 2017, energy supplement was no longer paid to new CSHC holders. CSHC holders who were entitled to the energy supplement on 19 September 2016 continue to receive energy supplement for as long as they continuously hold a CSHC. Where a person becomes a CSHC holder within 42 days of losing an income support payment, energy supplement will also continue.
Original Purpose/Intent
Clean energy payments (the clean energy advance and the clean energy supplement) were introduced through the Household Assistance Package, which formed part of the Government's Plan for a Clean Energy Future. The payments commenced effective from 1 July 2012 when the price on carbon commenced. The price on carbon was revoked in 2013 but the energy supplement continued to be paid at a non-indexed rate.
| Significant Changes in Criteria or Purpose since introduction | |
|---|---|
| 2012 | The clean energy advance commenced on 1 July 2012. The first clean energy advance payments were paid on 14 June 2012, for the period commencing on 1 July 2012. The clean energy advance also required the person to be in Australia. |
| 2013 | The clean energy supplement commenced on 20 March 2013 for most underlying payments. The clean energy supplement commenced on 1 July 2013 for MRCA permanent impairment payments. |
| 2014 | The clean energy supplement commenced on 1 January 2014 for VCES and MRCAETS fortnightly education allowance for secondary or tertiary students. The clean energy supplement was replaced by the energy supplement on 20 September 2014. Indexation also no longer applies from this date. |
| 2017 | From 20 March 2017, new CSHC holders were not eligible for the energy supplement. Grandfathering provisions were established for existing CSHC holders and clients moving from an income support payment to becoming a CSHC holder. Energy Supplement is payable for the first six weeks of a temporary absence from Australia. For CSHC holders, grandfathered status is removed after 19 weeks temporary absence from Australia. |