Aussie households facing upwards of $280 extra to keep lights on during 2026 financial year as regulator sets new rates
Australians will have to pay as much as $280 extra to keep the lights on from July, the national energy regulator's latest default market offer for the 2026 financial year has revealed.
The Australian Energy Regulator on Monday handed down the FY26 Default Market Offer – the maximum price a retailer can charge customers in NSW, south-east Queensland and South Australia.
It applies to households and small business in those areas, while Victoria's energy regulator, the Essential Services Commission (ESC), sets the Victorian Default Offer.
NSW households are copping some of the highest power price increases, with costs increasing by up to 9.7 per cent or $280 for the year.
Small businesses in the state will incur an increase of up to $489 per year, equating to a 8.5 per cent increase for the coming financial year.
The Australian Energy Regulator's chair Clare Savage acknowledged it was a 'difficult decision' as many Australians continue to struggle with crippling price pressures.
'We know this is not welcome news for consumers in the current cost-of-living environment,' Ms Savage said in a statement.
Households in NSW are facing power price rises between 8.3 and 9.7 per cent, while those in south-east Queensland are facing jumps upwards of 3.7 per cent and South Australian households are looking at increases between 2.3 and 3.2 per cent.
Victorian prices are expected to rise about one per cent on average, however, those with CitiPower are facing a 6.2 per cent surge in the coming financial year.
Ms Savage said the price rises come amid 'sustained pressure' across all components of the power network and urged Aussies to shop around.
'I strongly encourage all consumers to avoid staying on an old or uncompetitive plan,' Ms Savage said.
'Contact your retailer to see if you can get a better offer or shop around.
'At least every 100 days your retailer must tell you on the front page of your bill if they can offer you a better deal.'
Deputy opposition leader Ted O'Brien said the increase in power prices are "not sustainable for families, businesses and industry".
"The Australian Energy Regulator's final Default Market Offer released today confirms that Australian households are now paying up to $1,300 more for electricity than Labor promised them," Mr O'Brien said in a statement.
While households are copping significant price increases, small businesses in NSW will face power price rises between 5.5 and 8.5 per cent.
South Australian businesses could see their prices jump by upwards of 3.5 per cent while businesses in south-east Queensland could see their bill jump 0.8 per cent.
The major price hikes for those in NSW comes as the costs of building transmission lines for renewable energy output will impact power bills, according to the Australian Energy Market Operator.
Overhead transmission line project costs have ballooned up to 55 per cent , leading the operator to review uncommitted projects in a bid to keep costs down.
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