Energy bills for households and small businesses are forecast to fall by up to 10 per cent across parts of the eastern states. The final Default Market Offer, which sets out the maximum amount retailers can charge on plans, shows price reductions for households and even bigger drops for small businesses.
Price Reductions Across the Board
Household standing offer time-of-use prices will fall by up to 10.7 per cent across South Australia, New South Wales, and southeast Queensland. Small business standing offer time-of-use prices are set to fall by up to 20.9 per cent. The Australian Energy Regulator sets the default market offer as a benchmark for residential and small business electricity bills in these regions.
Government Reforms Driving Change
The government said the 2026/27 determination is the first under a reformed framework designed to bolster protections for customers and deliver a better deal. Energy Minister Chris Bowen cited three key reasons behind the fall in prices: increased renewable energy availability, batteries reducing reliance on coal and gas during peak evening times, and measures to shield the grid from global energy volatility.
"We've got the best sun and wind in the world, and we're using our sovereign renewables to shield our grid from global energy volatility and to bring down your energy bills," Mr Bowen said. He acknowledged that energy bills remain too high, noting that when coal breaks down, bills go up, but described the reductions as steady progress.
New Consumer Protections
From July 1, new consumer rule changes will provide additional help. These changes ensure that plan benefits last the entire contract, stop price increases during fixed contracts, ban unfair fees and dodgy discounts, and limit price increases to once a year.
