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NewsThe Government Could Slash Your Power Bill by Up to $750
The Government Could Slash Your Power Bill by Up to $750

The Government Could Slash Your Power Bill by Up to $750

Tags: Energy Information
Last updated by The FiftyUp Team on

Australian energy bills are at an all-time high and they’ve become the number one political issue in the country. A new 400-page report from consumer watchdog the Australian Competition and Consumer Commission has recommended 56 changes to the Australian energy market that they say could save Aussie homes up to $750 on their annual bill.

We read the report so you didn’t have to and here are 5 things you need to know.

  1. Loyalty doesn’t pay Switchers benefit most from the current energy market, rather than those who stay loyal to a provider, the ACCC says.
  1. It’s too hard to compare Energy offers, but that could change You’re not alone if you find it hard to compare all those rates and discounts and work out which offer is cheapest. The ACCC agrees.
  1. You need to look at both the discount AND the rates Even if the government enacts all the ACCC’s recommendations, it will take months not weeks, so in the meantime you need to keep looking at both rates and discounts when comparing.
  1. ‘Pay-on-time’ discounts could become a thing of the past These are great if you’re an on-time payer and they can be as high as 30% or even 40% in some cases, but they can act as a penalty for late payers who miss out on the discount and end up paying the full amount.
  1. Reforms could save households $500 to $750 per annum If governments follow through and accept all the ACCC’s recommendations, the watchdog claims they could save us $500 to $750 per annum (25-35 per cent) per household.

“Similarly, small and medium businesses could save $1450-$2250 (30-35 per cent) per year by moving to a standard ‘default’ offer. Currently over 20 per cent of small businesses are on high ‘standing’ offers.”

Estimated electricity bill savings

 

VIC

NSW

SE QLD

SA

TAS

Average residential customer

$290

20%

$410

24%

$420

25%

$370

21%

$415

21%

Average residential standing offer customer

$500

30%

$550

30%

$500

25%

$750

35%

  *  

Average SME customer

$600

20%

$1050

25%

$950

25%

$800

20%

  *  

Average SME standing offer customer

$2000

35%

$2250

35%

$1450

30%

$1500

30%

 *   

* As electricity prices are regulated in Tasmania there is no distinction for standing offer customers. Equivalent SME data to other states was not available for this analysis.

Source: ACCC

Originally posted on .

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Pamela
Pamela from NSW commented:

I had been on a 30% pay on time discount for the past year with AGL. I received a letter from AGL telling me that discount was finished and they would now offer me 25% pay on time. I promptly did a comparison spreadsheet of the different providers, and ended up choosing Click Energy 40% pay on time discount. AGL contacted me both my phone and then by letter, offering to match Click. I answered them by saying "YOU chose to change my terms. This showed that you did not value my custom, my loyalty, nor my promptness in paying. I would not have changed if you had let my discount remain at 30%! 

Gordon
Gordon from WA commented:

WA. The Socialist State ! NO CHOICES HERE 

Someone
Someone from SA commented:

How about showing actual details of pricing and rates. At the beginning of the offer. NOT at the end. After you have taken all private details of possible new customers. It seems to me you have ulterior motives. 

kerri
kerri from VIC commented:

The government does not say how much we could save if new coal power generation replaced the renewables in the pipeline. Trevor 

Joe
Joe from ACT commented:

Thank yo for your reply. It is then a question as to why the ACCC does not cover all of Australia if the "A" in ACCC means Australian. Maybe another issue??? 

Frank
Frank from WA commented:

Well I scrolled thru the comments and saw only two from SA, I am a pensioner living just north of Adelaide, and we know that power accounts are and have been too bloody exhorbitantly expensive, why because successive Governments are collecting indirect income from energy accounts just as they are from the ridiculous petrol prices,past governments created this fiasco mess, nothing will change until there is someone with the cohones to kick arse, micky SA 

Frank
Frank from WA commented:

so what! I learned nothing. How do I save ordinary household bills? 

Anita
Anita from WA commented:

It would be really nice if WA was able to have lower prices. We are well and truly stuck and ripped off by the monopoly Western Power/Synergy. No choices available over here. 

Gordon
Gordon from NSW commented:

The problem & fix is crystal clear: (a) Withdraw from the absurd Paris agreement; & (b) re-engage our high energy/low emission coal. 

Someone
Someone from NSW commented:

You can bet we will not see this report enacted upon. We have to many fingers in the pie and they stand to lose we have up to six electricity bodies this does not include the power companies themselves. If you want prices to reduce remove all this oversight until this happens nothing will change. Turnbull who is a labour stooge and Shorten are hell bent on taken us down a path that will ensure we have high electricity prices for the long term. They are not interested in what we have to say because they know the Australia people will just accept what's dished up. All government's have failed its people in this policy area. A government is there to protect its people and ensure essential services are delivered to its people. We have been sold out and it continues with the Paris Agreement they are just warming this up not much will happen here until the next election is over. 

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