Compare business electricity plans

The main difference between residential and business electricity plans is that businesses typically use more electricity and attract different rates and tariffs than you’d find in a residential plan.

Meters can also be different for businesses. Larger businesses tend to use more electricity, so their meters are configured to handle a larger load. Small business meters don’t look that different from residential ones, but they’re configured differently and have different tariffs.

Your business’ electricity bills will vary depending on several factors, including the:

• meter configuration at the business property;
• postcode your business is in, as electricity prices vary around Australia;
• retailer you choose;
• business tariff you’re on (for example, a single rate tariff sets a single price for electricity usage, time-of-use tariffs charge differently for electricity usage in peak and off-peak times;
• electricity prices that retailers set (which includes the supply charge for electricity to be supplied to your business and the usage charge for the electricity your business consumes);
• size of your business (i.e. number of employees); and
• energy needs for your business (e.g. a shop vs office).

If you’d like an idea of how much your business could potentially pay to keep the lights on and the computers or appliances running, you can complete a quote through our business electricity comparison service. Please note your quote is indicative only.

There’s no way to ensure your business uses only green energy, as the electricity grid we rely on for power includes various sources of energy. However, most retailers allow you to opt-in for green energy plans, where they purchase renewable energy on your behalf or where they will make your business carbon neutral by offsetting any carbon your business produces. Learn more about renewable energy options in Australia here.

The increasing deregulation of energy markets across Australia means more small businesses can freely choose their electricity retailer, regardless of whether you’re a new customer or not.

If your business is located in New South Wales (NSW), south east Queensland (SE QLD), coastal South Australia (SA), Victoria (VIC) or the Australian Capital Territory (ACT), you may be able to change retailers or plans freely and take advantage of cheaper energy prices.

Conversely, the government still sets energy rates in Western Australia, regional Queensland and the Northern Territory. As a result, businesses in these areas can’t choose their electricity providers, although this may change in the future. While the government also sets energy rates in Tasmania (TAS), you may still be able to choose your retailer (although there isn’t a lot of choice).

Finding an electricity deal and signing up may only take a few minutes, and the application can be completed quickly. As of 1 October 2021, electricity transfers no longer take up to 90 days as they did in the past. Instead, transfers can now occur within two business days in the future or retrospectively up to 65 days in the past, subject to eligibility. Future transfers may be based on an estimated read.

Always read your electricity plan information carefully, as your previous retailer may impose exit fees.

A Default Market Offer (DMO) is a maximum electricity price that energy providers can charge businesses (and residents) in NSW, SE QLD, SA and the ACT on standard plans for power in their area, set by the Australian Energy Regulator. It’s a fair and standard price that doesn’t offer any discounts or perks.

Market offers are typically cheaper than the DMO and are usually better for your business as they offer discounts and rewards to keep electricity prices down. All market offers use the DMO as a reference price.

VIC uses a similar process to the DMO known as the Victorian Default Offer, but these prices are set by Victoria’s Essential Services Commission.

You shouldn’t expect a power interruption when switching energy plans, unless you’re moving to a new premises.  If you are moving, just let us know your intended move date to arrange the connection to your new electricity distributor at the new premises.

A move to a new premises might also be an excellent time to review and potentially switch electricity plans. Our simple electricity comparison service can help you find your business’ new plan in just a few minutes.

• Consider investing in solar panels. On top of decreasing your energy bills, installing solar panels can be an excellent business investment. Depending on where your business is, you can take advantage of the feed-in tariffs – meaning you get paid for the electricity fed back into the grid from your solar panels.
• Set up ducted air conditioning. While it can be costly to install, ducted air conditioning systems can be the most energy-efficient cooling and/or heating option.
• Don’t set the thermostat too low or high. If you have a wall-mounted temperature controller at your premises, try and set it to the lowest/highest temperature you can work with or use the thermostat to automate room temperatures.
• Turn off the air conditioner for the last business hour. Unless it’s a scorching hot day outside, powering down the aircon before you’re finished for the day is a way of minimising afternoon energy costs.
• Use natural ventilation when you can. Have you thought about using a ceiling or floor fan instead of an air conditioning unit or even keeping the windows open in good weather? This could make a big difference to your energy bills.
• Choose the right type of insulation. There are two common insulation types: bulk (used in areas that have colder weather) and reflective insulation (typical for warm, sunny areas).¹ Bulk insulation materials include polyester, glass wool and recycled paper, while reflective insulation consists of shiny foil-covered thick paper or plastic sheets.
• Draught-proof your premises. Properly sealing your building and making sure doors and windows are shut when using the heating can lower your bill by up to 40%!²

• Consider installing a gas heater for your hot water system. Gas heaters are often more cost- and energy-efficient than electrical heaters.
• Look into getting a solar hot water system. Aside from being a common renewable energy solution, ‘going solar’ may be a way of slashing hot water bills.
• Leave sink taps in the ‘cold’ position after use. This prevents hot water from accumulating and cooling in the pipe.
• Consider getting a heat pump. A heat pump doesn’t require solar panels and can be an excellent way to save on hot water costs.

• Install energy-efficient lamps. Lighting accounts for up to 40% of energy use in commercial premises,³ so using smart lighting could potentially make a huge difference. For example, light-emitting diodes (LEDs) use 75% less energy than halogens and emit 50% less CO 2 than compact fluorescent lights (CFLs). By using smart lighting, you can save both on your bill and greenhouse gas emissions.
• Clean the lamps every six months. Dirty light bulbs emit less light while using the same amount of electricity as clean ones. Dusty light covers, in turn, reflect low amounts of light.
• Use lighting fixtures with a dimmer. There’s no reason for a dimmer to be less efficient in the workplace than in a home setting.

• Switch off at the wall. If you don’t switch appliances off at the wall, you’ll still be using ‘standby power’. This common occurrence is also called ‘phantom load’ or ‘vampire power’, as electronics on standby leech electricity. Standby power can account for more than 10% of electricity use.⁴
• Invest in a good powerboard. Some newer models can detect when devices are in standby mode and will cut off the electricity supply to those draining power.
• Consider switching from desktop to laptop computers. Laptops, notebooks and ultrabooks are more energy-efficient than standard desktop computers because they can rely on battery power for extended periods.⁵
• Downsize your printer. Why get a laser printer when an inkjet is 90% more energy efficient?6 Also, there’s no value in keeping an oversized copier at your premises when you can get a compact, energy-smart equivalent.
• Look into higher-rated ‘Energy Star Model’ electronics. Some devices can automatically power down after a period of inactivity.

• Choose the right size. Large, improperly stocked refrigerators waste energy on cooling empty spaces. Learn more about choosing – and using – energy-efficient appliances.
• Maintain your refrigerator. Making a habit of cleaning and defrosting your fridge ensures both good hygiene and electricity economy. Ice build-up in a fridge can eventually lead to leakage, while dirt and dust can house bacteria.

1. Australian Government Your Home – ‘Insulation’ – Accessed 26/10/2021
2. Sustainability Victoria – ‘Reduce heating, ventilation and air conditioning (HVAC) costs in your business’ – Accessed 26/10/2021
3. Australian Government Department of Industry, Science, Energy and Resources – ‘Lighting’ – Accessed 26/10/2021
4. Australian Government Department of Industry, Science, Energy and Resources – ‘Reduce your energy bills’ – Accessed 26/10/2021
5. Australian Government Department of Industry, Science, Energy and Resources – ‘Working from home and energy use’ – Accessed 26/10/2021
6. Queensland Government: Business Queensland – ‘Energy saving ideas for business’ – Accessed 26/10/2021