The Essential Services Commission (ESC) has today projected that electricity prices could fall by much as 3% from 1 July for some Australians on default offers in Victoria.
It comes as new Compare the Market research shows that 81.1% of Aussies surveyed have noticed increases in their electricity bills over the past year.*
Compare the Market’s Economic Director David Koch said today’s drafts were still a reminder that Australians need to take back the power to lower their electricity bills.
“It boggles my mind when people stay loyal to their electricity retailers – especially when there are often cheaper deals available,” Mr Koch said.
“With price changes on the horizon, now’s the time to line your ducks in a row and ensure you’re not being stung with higher prices. Regardless of who your retailer is, you’re still being supplied with the same electricity at the power socket. And looking for a better deal has never been so important, with the government already confirming that we won’t be receiving an energy rebate to shield us from higher prices this year.”
The ESC predicts the following changes in average annual Victorian Default Offer bills for domestic customers on flat tariffs:
-$45 (2%) in Ausnet distribution zone (new price proposal: $1,893)
-$46 (3%) in Citipower distribution zone (new price proposal: $1,500)
-$46 (3%) in Jemena distribution zone (new price proposal: $1,592)
-$48 (3%) in Powercor distribution zone (new price proposal $1,655)
-$43 (3%) in United Energy distribution zone (new price proposal $1,536)
Around 2.5 million Australian households pay more than they need to for their electricity because they’re on or above default offers, according to recent ACCC data. Customers who stick with the same retailer for three or more years fork out $221 more annually than those on new plans.
“Far too many Australians are paying more than they need to for electricity when there are often more competitive plans available,” Mr Koch said. “One of the easiest ways to know if you’re throwing your money down the gurgler is to check the ‘better offer’ message on your electricity bill. It’ll tell you right away if your retailer can offer a cheaper plan. If they can, chances are there are even better deals available elsewhere.”
Amid price changes, Mr Koch said there were several things to check when comparing your electricity bills.
Don’t overlook supply charges
These fees can vary widely and may be higher than those of other retailers offering similar usage rates. Make sure you compare both usage and supply costs.
Understand your tariff type
Tariffs differ between households. Time‑of‑use tariffs charge different rates depending on the time of day, while single‑rate tariffs charge the same price at all times. Some customers may also have demand tariffs, which add extra charges based on how much energy you use during periods of high demand.
Check your solar feed‑in tariff
The rate you’re paid for exporting solar energy to the grid varies by retailer. In Victoria, minimum feed‑in tariffs change each year on 1 July. Compare what you earn from solar exports with what you use from the grid. Solar feed-in tariffs have been decreasing for some time and now some retailers charge you for exporting electricity during off‑peak times, while offering higher rates during peak periods.
Review your energy plan regularly
If it’s been more than a year since you last switched plans or retailers, it’s worth comparing your options again. Discounts may have expired, your rates may have increased or there may simply be better deals available. Even plans from the same retailer can have different prices.
*Compare the Market survey of 1,017 Australian adults, conducted January 2025.
For more information, please contact:
Phillip Portman | 0437 384 471 | [email protected]
Compare the Market is a comparison service that takes the hard work out of shopping around. We make it Simples for Australians to quickly and easily compare and buy insurance, energy, and home loans products from a range of providers. Our easy-to-use comparison tool helps you look for a range of products that may suit your needs and benefit your back pocket.
