New South Wales Electricity: How It Works
Currently, New South Wales has twelve core retail energy providers to over 3 million households, making it Australia’s largest energy market. All three state-wide networks are owned by state government business enterprises, and are subject to regulation by the Independent Pricing and Regulatory Tribunal of NSW (IPART). IPART is an independent regulator, and sets maximum prices that retailers can charge.
Prior to the introduction of a competitive market in 2002, the following organisations were publicly-owned distributors and retailers that directly supplied New South Wales with their energy requirements:
- Ausgrid (formerly EnergyAustralia), which supplies parts of Sydney, the Central Coast and Hunter regions.
- Endeavour Energy (formerly Integral Energy), supplying western Sydney, the Blue Mountains, Southern Highlands, Illawarra and Shoalhaven.
- Essential Energy (formerly Country Energy), supplying all other areas of NSW.
Following the sale of the retail parts of these three businesses by the NSW Government in 2011 these organisations are responsible for operating and maintaining the electricity networks in their respective regions.
Paying For Your Electricity In NSW
Where you live will usually determine the rates your provider will charge, with city dwellers benefiting from the lower cost of distributing energy to a denser population. There are other ways of reducing your costs, however, with interval and smart meters gaining popularity for their ability to offer lower rates per kilowatt hour at quieter times of the day. For example, usage outside of business hours and on weekends will be cheaper than usage in the middle of a week day. If you don’t have a smart meter, your single-rate meter will tick over at the same rate, no matter when and how much electricity you’re using.
There are two fundamental components to how your power charge is calculated: the fixed supply charge, based on cents per day, and the usage component, which is charged on cents per kilowatt hour. No matter who your provider is, using less power will always result in a reduced usage charge.
Saving On Your Electricity Bills
With each of these factors influencing how much you pay for an essential service, it’s worth using comparethemarket.com.au to see whether you can find yourself a better deal on your home energy supplies.