SKYROCKETING power bills are set to strike households across the Central Highlands in 2012, following a year where the average family already forked out an extra $170.Consumer watchdog GoSwitch has claimed that the average household in central and western Victoria will face an electricity bill increase of up to 9 per cent, after a 7.7 per cent rise last year.According to a quarterly energy update, Ballarat residents are among a region which spent $2217 per household on electricity in 2011, and will pay $2387 in 2012 — making it the third most expensive region in the country.GoSwitch chief executive officer Ben Freund said the sharp price rise was concerning for struggling families.“The cost of electricity is skyrocketing while inflation is subdued. In real terms electricity is rapidly becoming more expensive compared to a lot of other goods and services,” he said. “But the alarming thing about it is that we’re not talking about ice cream, we’re talking about an essential service that affects everyone.“If you look at the price of electricity five years ago and where it is today, you’re looking at an enormous difference. I wonder where it’s going to be in five years time — it’s probably going to be double.”But Mr Freund said it wasn’t all doom and gloom, pointing out that Victoria has the most competitive energy market in the world.“There is enormous price tension and fierce competition for Victorian consumers,” he said “(If you compare all electricity providers) chances are you will be able to cut your electricity bill by 25 per cent and gas bill by 10 to 15 per cent. That’s the power of competition.”Ballarat Renewable Energy And Zero Emissions group chief executive officer Geoff Adams said the price rises were a good incentive for households to cut down on energy use.“I think it’s a matter of life that it’s going to start costing more, and we might even find that with water in times to come,” he said.“As far as we’re concerned, we’re encouraging people to reduce their energy use right now rather than when they get hit by the big bill. And there are lots of ways they can increase their efficiency by the way they do things around the house.”The state government has encouraged consumers to compare prices between electricity providers before they sign up. “While these increases are below those in other states — for example, NSW prices went up over 17 per cent last July — they are still significant,” a government spokesperson said.“Consumers should always shop around for the best retail deal and approach their retailer if they have bill payment difficulty as there are a number of modified bill payment arrangements available that may assist.”Follow @ballaratcourier