Comparethemarket.com.au compares energy plans with the support of our trusted affiliate. The below information was kindly supplied by Thought World.
Thought World calculator and accuracy:
Thought World’s calculator can be used to determine the results of various energy plans on the market. However the accuracy is relative only to the energy plans provided by the retailer. Thought World is not liable to display all the energy plans for all the energy retailers.
The Thought World calculator makes a number of assumptions. These assumptions do not overrule any rules and laws of any state government.
Assumptions Thought World makes for the underlying energy costs and savings:
- Thought World estimates costs and savings based on the information you provide on our website for at least 12 months and compares the prices against the available market offers. However the results are based on the following assumptions:
- No rate variation for the next 12 months
- Any variation in the costs may appear as savings for the customer or the customer may incur an additional cost.
- In the event you provide energy usage for a period less than 12 months, Thought World will annualise the figures to achieve a 12 month equivalent.
Energy usage is dependent on various factors, such as the number of occupants in the house, weather conditions, electrical appliances used and more. A change in any of these factors will invariably effect the consumption as well. This is why providing the actual usage details for a year is important.
- Under circumstances where the meter type cannot be determined by you – either because you are unaware of the usage, or do not have access to your energy bill – you may provide an estimate in order for ‘Thought World’ to proceed with the calculations. Thought World will then assume the meter as a ‘Single rate meter’, which implies you pay the same rate all day unless specified. Please note all calculations are based on assumptions, and you need to determine your individual needs in order to obtain an accurate result.
Thought World will present the offers ranging from plans offering the most to least amount of annual savings.
However, you will be notified by the retailer they have chosen about the tariff and type of meter. All the relevant information will be provided in the Welcome Pack sent by the retailer. The switch only occurs after a 10 business day cooling off period, should you choose to switch. If for any reason you do not wish to proceed with the new retailer, you can cancel the offer. You can either contact Thought World or you may contact the energy supplier you signed up for during the cooling off period and the offer shall be cancelled. Alternatively, you can also sign a cancellation form that would be provided with the offer letter and send it in the prepaid envelope.
Please note any cancellation after the 10 business day cooling off period will incur a termination fee from the energy supplier.
Assumptions Thought World makes for electricity and gas tariffs:
- Thought World uses the retailer’s current tariffs to deliver the estimate savings for the next 12 months. Any changes to the retailer’s tariff is not under the control of ‘Thought World’.
Please be advised that retailers may or may not offer a fixed rate. All rates are subject to variations periodically affecting the savings and costs. Therefore, you need to be aware of any changes in tariff that may occur in the future.
Thought World strives to deliver up-to-date information, and will only consider the current tariff when estimating the calculations. Thought World will not be responsible for any variations that occur in the future.
- If you fail to provide precise offer details with your current retailer, Thought World will take into account your current energy retailer’s standard rates by default for the chosen suburb. Please note these rates will not have any discounts and may impact the results of savings and costs unless specified. You may make necessary changes to the final result if you do have discounts.
- If there are multiple distribution networks in a particular suburb, Thought World will run a comparison for all the retailers in all the distribution networks offering the savings and costs. To get accurate figures, it is instrumental to choose the correct retailer for someone who will eventually determine the distribution network. This would imply that any application results processed by Thought World will be an outcome of the information provided by the customer, the new energy supplier will then verify the correct distribution network for the property and subsequently the tariffs.
- Savings and costs may also be determined if there is a meter with provision for off-peak or controlled load. Some houses have a two rate meter i.e. when they have electric hot water heating or storage heating.
The off-peak rate will vary from appliance to appliance and when the correct off-peak tariff is selected, Thought World will provide the appropriate results.
The off-peak tariffs in Victoria differ from the rest of the states. Victoria offers 5 different controlled rates which may collectively fall under a single rate GD/GR and a time of use meter which is confirmed by the electricity supplier. A comparison is run for all the above mentioned tariffs. For example if you are a Victorian customer and you choose a peak and off peak meter in your search, then your results will include eight different tariffs from GH/GL to J,J6,J8,JT,Y6,Y8,YT. The highest being GH/GL and the lowest being tariff Y and J. The following is the breakdown of different tariffs.
Tariff Type: GH/GL – This tariff is independent of electrical devices. This tariff is based on time of use, and the peak and off peak are charged based on the electricity usage during the day.
The rest of the tariffs are based on the type of electrical appliance.
Tariff Type J – This tariff offers off peak storage space heating supply for 7 hours at night and 3 hours in the afternoon for permanently wired storage spaces – provided the supply is not taken in combination with tariff for storage water heating. Please note the supply is only applicable for approved types.
Tariff Type J8 – This tariff offers off peak storage space heating supply for 7 hours at night and 3 hours in the afternoon for permanently wired storage spaces provided the supply is taken in combination with tariff type Y8 for storage water heating. Please note the supply is only applicable for approved types.
Tariff Type J6/JT – Off-Peak Storage Space Heating – Supply offered for 7 hours during night and 3 hours during afternoon for permanently wired storage space heaters provided the supply is taken in concurrence with Tariff type Y6/YT. Please note the supply is only applicable for approved types.
Tariff Type Y6/YT – This tariff offers an off-peak load managed storage water heating for 6 hours during night for permanently wired water storage heaters, provided load management requirements are met for approved types.
Tariff Type Y8 – This tariff offers an off-peak water heating storage for 8 hours during night for permanently wired storage water heaters. Please note the supply is only applicable for approved types.
Assumptions Thought World makes about discounts and bonuses:
- Thought World will apply discounts and bonuses by default unless otherwise specified. Energy retailers often follow the market trend and offer deals, such as:
- Fixed retail component for the life of the contract – implying fixing the retail portion of the rates so that it does not affect the rates after the CPI increases.
- Pay on time discount – when a customer pays the bill on or before the due date, they receive the promised discounts.
- Email billing and direct debit- these provisions offer additional discounts
- A guaranteed discount which a customer will receive regardless of the payment date to reduce the customer’s costs.
In certain cases the retailer may also offer lucrative rebates on top of the government rebates.
When a calculation is done, they are based on some of the above-mentioned assumptions.
Thought World assumes you will stay with your new retailer for a minimum of 12 months:
When doing a calculation as mentioned above the results are offered for at least 12 months. Therefore the Thought World calculator will assume you will remain with the chosen retailer for a minimum term of 1 year. Applicable rates, discounts and bonuses are only for the calculated term. You may incur variations in the following terms. Valued customer benefits may not be included in the energy plan result. These may include but may not be limited to gift vouchers, subscriptions or movie tickets.
Thought World establishes estimates based on the information provided by you to us using our search forms. The level of accuracy is based on how much information is provided by you. For example, if you can provide usage details over a longer period, your meter type, solar panel installation etc, the more precise the estimates will be. However, while a comparison can still be done with fewer details, the estimates may not be as accurate.
Loss of statutory protection:
Governments in certain states provide a standing offer contract to their customers, which enable the customer to be charged only as per the government regulations. In the event a customer chooses to switch retailers, the standing offer changes to a market offer.
However, a customer can choose to go back to the previous offer, should they choose to no longer be on the current market contract.
Customers can determine their plans (regulated or non-regulated) depending on if they switched retailers following the introduction of energy market deregulation. For example, if a customer has not changed energy retailers since the deregulation of the market, they will be on a regulated offer and may lose the protection if they choose to switch to a non-market offer.
Thought World is an effective tool that provides a comprehensive comparison for a range of energy suppliers. We do advise you to do your own research on the available government websites and respective energy retailers, so that you can make an informed decision.