Carbon tax axing good for NSW: state govt

NSW households will enjoy lower gas and electricity bills with the carbon tax now scrapped, the state government says.

After days of debate and stalling tactics, the Senate on Thursday finally threw its support behind the coalition's pledge to "axe the tax", voting 39 to 32 to unwind the carbon pricing scheme introduced by Labor in 2012.

NSW Energy Minister Anthony Roberts says that means millions of people in NSW will now be better off.

"The repeal of Labor's carbon tax means energy retailers can now remove the carbon component from their customers' bills," the Liberal MP said in a statement.

Because of the repeal, the average electricity bill could fall by six to eight per cent, while gas bills may drop by four to six per cent, Mr Roberts said.