Latest news with #energyretailers
Yahoo
17 hours ago
- Business
- Yahoo
$300 electricity bill hike looming for millions as price increases confirmed: ‘Inevitable'
Millions of Australian households will face higher electricity prices in the coming weeks. Major retailers AGL and Origin have confirmed their price changes for customers, and some households will see their bills increase by as much as $300 next year. AGL's prices will increase by 13.5 per cent in New South Wales, 7.8 per cent in South Australia, 7.5 per cent in Queensland and 6.8 per cent in Victoria from July 1. NSW customers will see their bills go up by as much as an extra $300 a year, based on medium usage. The average increase across all NSW customers will be $267, according to the retailer. Meanwhile, South Australia customers will see an average $200 increase, Queensland $155 and Victoria $110. RELATED Aussie mum's $1,200 electricity bill shock sparks warning for millions ATO superannuation warning as deadline for $30,000 deduction approaches Rare $2 coins worth up to $350 amid huge spike in demand Origin will raise its prices by an average of 9.1 per cent in NSW, 5.5 per cent in South Australia, and 3 to 4 per cent in Queensland. Electricity charges for Victoria have not been locked in yet, but gas will cost the average Victorian household an additional $85 a year. Aussie households will receive letters and emails from their energy retailers over the coming weeks ahead of price changes coming into effect from July 1. It follows the decision by the energy regulators to increase the majority of default prices for the year, which will see standard energy plans rise by up to $228. These are contracts offered to customers who can't or don't shop around. While only 10 per cent of customers are on default offers, retailers use the default pricing as a benchmark for their market contracts. The latest price hikes have been blamed on increased network charges, higher costs to serve customers and higher wholesale electricity expenses. The federal government has extended its energy bill relief until the end of the year, with the first $75 quarterly instalment to hit accounts from July 1. The price hikes follow two years of price increases across most networks, with the average annual electricity bill increasing by as much as $360 since June 1, 2023. Canstar data insights director Sally Tindall has urged households to shop around. 'The cold hard truth is that electricity price hikes are pretty much inevitable in states such as NSW, Queensland and South Australia this winter after the regulator approved hikes to the reference prices across all networks in these states,' she said. 'The exact costs for your daily supply charge and electricity rates are up to each provider, however, unless you're on an embedded network or in a state where there are limited options, this is one bill you can, and should, take control of.' Tindall said the reference price could be a good starting point, with providers required to tell you where the cost of your plan sits in relation to it. The greater the difference a plan is below the reference price, the more competitive it is. 'In Sydney, single rate plans are, on average, 7 per cent lower than the reference price, however, there are plans available that are up to 23 per cent lower than the regulator's benchmark,' she said. 'In Brisbane, the gap is even wider, with the average discount listed at 6 per cent, while the highest is 27 per cent.' Australians can use the Australian Energy Regulator's Energy Made Easy comparison website to compare prices. Victorians can use Victorian Energy Compare.
ABC News
26-05-2025
- Business
- ABC News
NSW to see largest power price rises as default rates revealed
Energy prices could lift anywhere from 0.5 per cent to 9.7 per cent in different parts of the national electricity grid, in figures released on Monday. The Australian Energy Regulator (AER) releases a default market offer (DMO) — essentially a price safety net — that limits what retailers can charge customers in New South Wales, south-east Queensland and South Australia. The prices are meant to protect customers who don't shop around, as well as provide consistency so that people can compare alternative retailers. The offer takes into account issues like what customers can afford, the cost of the overall system, and the need for the different parts of it to make a profit. In its report, the operator says the cost-of-living crisis has been among the top of its considerations. To help with the cost of living, despite pressure from energy retailers and generators, the operator did not impose a fee of $22 on residential customers and $26 on small businesses. The so-called "competition allowance" helps profits. "(But) due to sustained cost-of-living pressures as indicated by the sustained nature of elevated underlying inflation, (the offer) does not include the competition allowance," the AER noted in its determination. Still, prices will rise. This is the final determination for Australia's most populous state, NSW, which will see the steepest price rises: The offer also covers south-east Queensland: The AER's determination also covers South Australia, which will see price changes between the other two states: Victoria's energy regulator makes its own determination, which is also released on Monday. The state's Essential Services Commission says residential customers on a flat tariff should expect to see a 1 per cent increase in prices, while small business customers can expect a 3 per cent rise. All of the price increases take effect from July 1. In its pre-election budget, the Albanese government announced an extension of electricity bill relief to the value of $75 a quarter for households and small businesses. The bill rebates will apply for the two quarters at the end of this calendar year.
