Hamish Thompson from Westpoint IGA is apprehensive about electricity prices

The recent federal budget has warned that there will be a sharp increase in energy bills, which will add pressure to those already struggling with cost-of-living demands.

It has been estimated that electricity prices will rise by an average of 20 per cent in late 2022, before jumping by a further 30 per cent in 2023-24.

Hamish Thompson, who owns a number of IGAs in the region, including Westpoint, said electricity is already one of their major costs annually.

"It's a big cost of doing business for us," he said.

"I think all up between the four stores we pay something like $400,000 annually ... and that could go up to about $1 million."

Mr Thompson said that if the costs were to elevate at the projected rate, it would be dire for business.

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"I would be very upset. It is already a major cost to this business," he said.

These substantial electricity costs come from having to power a multitude of mechanisms.

"The major use of our electricity is refrigeration - all the fresh food and all the freezers. There's freezer rooms, there's dairy rooms, all the perishable stuff needs to be refrigerated," he said.

"We have lighting, air-conditioning, computers and all that stuff."

If the projected increase in electricity prices eventuated, it would not only increase the price of electricity for the business, but also the price for individuals with an increase in cost for goods and services.

"You would see a doubling in your power bill at home at least and the cost of food would be more," he said.

"With the price of petrol and diesel having already gone up, to see a whack from electricity as well would be a big cost.

"We're price makers ... we would have to adjust the prices as best as we can but then if people can't afford the products, then they don't buy them and that's not sustainable."

Though the price of electricity was obviously a considerable concern for Mr Thompson, he said that he was trying to remain positive that these increases would not be as substantial as originally estimated by the government.

"I'm sort of optimistic that hopefully they will get their act together to provide some type of certainty," he said.

"There's all this indecision about where the power is going to come from in the future.

"The government needs to put some measures in place to ensure the reliability of power supply."

The increases in electricity costs are also affecting Lisa Pitts, the owner of Annie's Old-Fashioned Ice Cream Parlour in Bathurst.

"Electricity is getting ridiculous," Ms Pitts said.

As well as the freezers in the store to ensure the ice cream stays cold and creamy, Annie's also has frozen store rooms, fridges for perishable items and utilises electricity for cash register systems.

"We use a massive amount of electricity," Ms Pitts said.

"We generate so much heat in here that we have to have the air-conditioner on all day, every day.

"It's 10 times the amount here than my house."

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