With the increasing energy costs, many Australians are wondering if they are truly getting the best deals! Energy Australia—a leading provider in the country—has a variety of plans to offer. But are they as competitive or cost-efficient as they seem?
There are many consumers that overpay because of hidden fees, missed discounts, or outdated contracts. The ACCC (Australian Competition and Consumer Commission) has found that over 80% of households in the National Electricity Market could save by contacting their provider or shopping around for better offers!
Are you also spending more than necessary on Energy Australia electricity rates? It might be time to understand your energy plans thoroughly and compare alternatives to save money.
In this blog, we will unlock the reality behind Energy Australia’s plans, break down key cost factors, and provide actionable tips to help you avoid overpaying. Let’s dive in –
Energy Australia – The Basics at a Glance!
Before you compare Energy Australia deals, get a quick understanding of its background!
Energy Australia, a leading energy retailer, serves 1.6 million customers with gas and electricity plans powered by coal, gas, and renewables.
It aspires to transition out of coal by 2040 and achieve net zero emissions by 2050 under its Climate Transition Action Plan. Aligned with the Australian government's Powering Australia plan, this initiative aims to reduce emissions by 43% by 2030, cut energy costs, and drive job creation through renewable energy.
Understanding Energy Plans Made Easy
Energy Australia comes with a variety of plans, including the Flexi Plan, with details available in BPID (Basic Plan Information Documents) for ACT, QLD, SA, and NSW, and Energy Fact Sheets for VIC. These documents contain crucial details such as Energy Australia electricity rates, benefits, conditions, etc.
Prices differ based on location and usage. For example, in the SA Power Networks area, an average home using 4,000 kWh per year on a flat tariff could pay as little as $2,074.
Energy Market Trends: Price Shifts and Future Savings
The 2023 State of the Energy Market report of AER shows wholesale energy costs have improved since 2022, but retail prices still increased 9%–20% in 2022-23 because of wholesale and network costs.
While prices might be stabilizing, you should still compare Energy Australia deals and plans for better savings. Meanwhile, the energy policy of Australia is gradually shifting to renewables, with the AEMC predicting around a 13% drop in residential electricity price over the next decade as electrification increases.
The Loyalty Penalty – Are You Paying More Than Necessary?
The ACCC (Australian Competition and Consumer Commission) has shed light on a phenomenon called the "loyalty penalty." This takes place when long-term customers stay on outdated plans, causing steeper charges compared to newer offerings.
Specifically, around 80% of households in the National Electricity Market could easily save on electricity rates by either contacting their current provider or switching to new plans. The customers on outdated plans pay an average of $238 more annually than those on new plans.
Decoding the Benchmark Price
To help consumers compare energy plans or prices, the Australian Government introduced the DMO (Default Market Offer), commonly known as the reference price. This benchmark showcases the maximum annual bills that consumers on standing offers must receive if they utilize the average amount of electricity in their area.
Energy companies are obligated to compare their prices to this reference, making it easier for customers to thoroughly assess the competitiveness of different plans.
Are You Getting the Best Deal? Compare to Find Out!
One of the simplest ways to determine you're getting the best deal is by relying on Energy Made Easy, a free, independent energy cost comparison service by the Australian government, available in SA, NSW, QLD, TAS, and ACT.
Here’s how you can use it –
| Step | Description |
| 1 | Enter your postcode or suburb to find energy companies covering your location. |
| 2 | Answer questions regarding your business or home for tailored plan suggestions. |
| 3 | Provide energy usage information including your NMI, or use Quick compare. |
| 4 | Compare all the plans to find the most suitable option, considering tariffs and discounts. |
Backed by it, you can compare Energy Australia’s plans against competitors. In Victoria, rely on Victorian Energy Compare, while websites such as wattever.com.au rank plans by cost and include solar feed-in tariffs.
Factors to Keep in Mind While Comparing Plans
When you compare Energy Australia dealsor electricity rates, consider these factors as mentioned by the ACCC or comparison sites –
- Payment Methods and Discounts – Seek plans with discounts for eBills or direct debit that can lower costs.
- Tariffs – Consider checking whether flat tariffs or time-of-use complement your usage patterns, particularly if you have electric vehicles or solar panels.
- Solar Feed-in Tariffs – If you have a solar system, make sure that the plan provides a good feed-in rate for the energy exported to the grid.
- Concessions and Rebates – Don’t forget to check eligibility for state-specific energy concessions, which can lower bills, particularly for cardholders.
The December 2024 report of ACCC urges customers to compare various plans, as around 80% of households in the National Electricity Market could easily switch to more affordable options.
Additional Tips to Optimize Your Experience
Yes, you must compare Energy Australia deals and check Energy Australia customer reviews to ensure you are getting the best value for your money. Additionally, follow these tips to be on the right track –
- Assess Your Latest Plan – Review your current electricity bill to understand the current rates, any offers/discounts applied, and the expiry date of the plan.
- Contact Your Provider – Feel free to connect with Energy Australia to ask about the better deals available. There might be some unadvertised offers, which could add to significant savings.
- Consider Long-Term Trends – Given the renewable energy push of Australia, future plans might provide more EV-friendly and solar options. Hence, factor in long-term suitability.
- Beware of Conditional Discounts – Some plans provide discounts contingent on conditions such as timely payments. Make sure that you consistently meet these conditions to make the most of the discounts.
- Compare Plans Frequently – The energy market of Australia is dynamic, with frequent changes in costs and offers. Compare plans regularly to be on a competitive rate.
- Check the Terms and Conditions: Switching plans based on Energy Australia customer reviews? Don’t forget to check your chosen plan’s terms like contract lengths, exit fees (if any), and other crucial details.
Compare Better, Save More – With Comparable!
If you are short on time or want to avoid the hassle of navigating complex energy plans, Comparable has you covered! It helps you compare Energy Australia deals and other leading providers, making sure that you pick the most affordable option effortlessly.
With real-time price tracking, transparent plan breakdowns, and an intuitive interface, Comparable makes informed decision-making easy. So why are you waiting? Start comparing today and take charge of your energy savings!