Some of the smaller players in the ACT electricity market want prices adjusted to improve competition.

There have been submissions from all parts of the ACT energy sector in the Independent Competition and Regulatory Commission’s annual review of power prices.

Among the calls from providers is the suggestion of creating a ‘competition allowance’, to inspire more electricity retailers to start up in the ACT.

Energy Australia, one of the largest retailers in the market, wants more incentives to bring more retailers and better competition.

The ACT government has not been thrilled at the proposition, with Energy Minister Simon Corbell saying there is no proof an incentive subsidy would improve competition. He says it would only leave consumers paying more.

Joint electricity and telecommunications provider, ActewAGL, says competition is being stifled by the ICRC’s need to set prices.

The company is also looking for permission to up its profit margins from 5.4 per cent to 6 per cent this year.

“The ACT has the lowest electricity prices across Australia and the most reliable network as well,” ActewAGL general manager of retail Ayesha Razzaq says.

“What we're saying is let's just close the gap.”

It is unclear which of the many recommendations the ICRC is considering taking on, but a draft of their decision on power prices is expected next month.