Keeping The Lights On

Energy remains a significant household budget concern for many Australians, even if other cost-of-living pressures are competing for attention. While some pricing benchmarks have eased in parts of the market, that does not tell the full story for households, with many customers still facing higher usage costs, daily supply charges and ongoing bill pressure.

Years of elevated energy costs have encouraged Australians to become more conscious of how and when they use power. From switching plans to changing everyday habits, households continue to look for opportunities to keep their energy costs under control.

A pulse survey earlier in 2026 found 76% of Australians surveyed have changed their energy usage due to rising living costs.

Top energy saving techniques

While benchmark prices dropped in some regions, households on market offers generally saw tariffs increase.

Compare the Market analysed several new market offers. In one case the daily supply charge was increasing 40% year-on-year and general usage rates were increasing 6%, while the controlled load tariff was reduced by 20%. In another example, the daily supply charge was increasing 36%, while the general usage tariff was decreasing 20%.

These examples show why headline movements in benchmark prices do not always result in cheaper bills for customers.

Australian households and businesses are installing solar and batteries in record numbers, with more than 500,000 tapping into the government’s Cheaper Home Batteries Program.

But even with a generous discount, batteries can be expensive to buy upfront.

Compare the Market crunched the numbers and found that while batteries can give households more control over when they use their power and what they save off their energy bill, they don’t necessarily put more money back in the monthly budget while the system is being paid off.

But despite batteries delivering additional value to a growing number of households over time, it’s solar that remains the champion of savings to household’s hip pocket when taking into account the cost and benefit.

Under the modelled assumptions, even a household financing a 13kW solar system with no battery could be around $41 a month better off from day one, because the estimated energy savings outweigh the monthly repayments. On an upfront-cost basis, the system would take around 4.1 years to pay for itself.

On the other hand, someone who installs solar and a 10kWh battery would pay $57 more a month under the financed model, while taking 5.8 years to see a payback on the investment.

The figures suggest batteries should be viewed as a long-game strategy, rather than a quick fix for bigger energy bills.

Solar pay-off schedule

• Everything you need to know about Energy
• Solar power for your home
• How to monitor electricity usage
• Switching energy providers with ease
• How to read your electricity and gas bill
• Dealing with energy bill shock