Major energy bill shake-up puts savings front and centre for Australian households

Michelle Engbino · 2025-09-11T10:07:43+1000

When your next electricity bill arrives, you might notice something different—and it could save you hundreds of dollars a year.

But the changes coming to Australian energy bills go far deeper than what meets the eye, with sweeping reforms designed to put more money back in your pocket.

The Australian Energy Market Commission (AEMC) announced major new reforms that will deliver stronger protections for energy consumers and help more households access better energy deals.

The centrepiece? Energy companies will be forced to display savings opportunities so prominently on your bills that they'll be almost impossible to miss.

Why this matters for your household budget

The timing couldn't be more crucial. Residential consumers will see increases ranging from 0.5 per cent to 9.7 per cent depending on their usage and location from July 2025, with NSW households facing the steepest rises.

Residents in South Australia will see hikes of between 2.3 and 3.2 per cent, while those in southeast Queensland will pay between 0.5 and 3.7 per cent more. Meanwhile, research reveals a startling truth: as many as 40 per cent of customers do not always open their bills, missing important messages about potential savings.

The Australian Bureau of Statistics also found that business turnover in the electricity, gas, water and waste division grew by 15.8 per cent in July 2025, a surge driven by wholesale electricity and gas prices and setting a new record high.

For those managing household expenses on a fixed income, every dollar counts. The new rules, taking effect from December 30, 2026, will require retailers to put better offer messages in cover emails and bill summaries—not buried in the fine print where they're easily overlooked.

'Don't wait for our rule to take effect. If you haven't checked your energy bill lately, take a few minutes to look for the better offer message. It could save you hundreds of dollars a year, and switching typically only takes a few minutes'

Anna Collyer, AEMC Chair

AEMC Chair Anna Collyer also described the reform as being like placing 'important price information on the shopfront, making it clear, upfront and hard to miss.'

More than just better visibility

The reforms extend well beyond making savings messages more obvious. The new rules, approved by the AEMC after a request from Energy Minister Chris Bowen in August 2024, will restrict energy retailers from raising prices more than once per year, remove unfair fees for vulnerable customers, and ensure hardship customers benefit from their retailer's cheapest available deals if they cannot switch.

This means an end to what Energy Minister Chris Bowen calls 'sneak price hikes' - those unexpected mid-year price jumps that can wreak havoc on your budget planning. The final rule will: protect customers from paying higher prices for their loyalty by ensuring they pay no more than the standing offer price if their energy plan's benefits change or expire

Help available right now

While waiting for these reforms, significant assistance is already flowing to households. Australian households and eligible small businesses with electricity bills may receive up to $150 in energy bill rebates from 1 July 2025 to the end of 2025. Most households will receive their Bill Relief payment automatically from their electricity provider in two quarterly instalments of $75 on their electricity bill from 31 July 2025 and 1 October 2025.

Better still, this builds on existing support. Under the 2024-25 program, households are eligible for up to $300 of energy bill relief, and eligible small businesses may receive up to $325.

Special support for seniors

If you hold a Commonwealth Seniors Health Card, you're entitled to additional help. Customers receive $200 each financial year. To be eligible, you must be named on the electricity account and hold a valid Commonwealth Seniors Health Card. This Seniors Energy Rebate is available in most states and can be combined with other concessions.

Available seniors energy support

Commonwealth Seniors Health Card holders: $200 annual rebate

Pensioner Concession Card holders: Up to $285 annual Low Income Household Rebate

Medical equipment users: Up to $1,343 annual Life Support Rebate

Gas users: $110 annual Gas Rebate

All households: $150 Energy Bill Relief Fund payment (2025-26)

Taking action to switch and save

One of the easiest ways to reduce energy costs is to compare energy offers. You don't necessarily need to change companies—Start by talking to your current electricity company to find out what deal they can offer you.

The switching process itself is straightforward. However, stakeholders indicated that the switching process is easy and generally only takes a few minutes. The real challenge lies in finding and evaluating which plan suits your needs best.

For comparing offers, Energy Made Easy is a free Australian Government energy price comparison service for households and small businesses in New South Wales, Queensland, South Australia, Tasmania and the Australian Capital Territory... Customers in Victoria can visit Victorian Energy Compare.

What to watch for when switching

Consumer advocacy groups are actively investigating concerns about misleading savings claims. 'The issues raised by CHOICE exacerbate the challenges and confusion that consumers may face when navigating the often complex energy market,' Ms Lowe said. This makes the upcoming reforms even more important for protecting households.

When evaluating offers, focus on the total cost rather than flashy discounts. Conditional discounts may not be worthwhile if you can't meet the condition. For example, a pay on time discount may not be beneficial if you often struggle to pay your bill on time.

Smart switching checklist for seniors

Check your current bill for existing 'better offer' messages

Use Energy Made Easy or Victorian Energy Compare to compare deals

Apply for seniors rebates you're entitled to

Ask your current retailer what better deals they can offer

Focus on total cost per kilowatt hour, not discount percentages

Consider asking family to help review contract details

The bigger picture looks brighter

Despite current price pressures, the long-term outlook offers hope. Residential electricity costs are projected to decline by about 13 per cent over the next 10 years under our base case as more renewable energy comes online and reduces wholesale costs.

The reforms represent what AEMC Chair Anna Collyer describes as placing 'important price information on the shopfront, making it clear, upfront and hard to miss.' For households navigating the energy market, these changes can't come soon enough.

Don't wait—check your bill today

While the new display requirements won't take effect until late 2026, you can start saving immediately. It's important to look at your bill and any letters or emails they send you. Look for 'better offer' messages that might already be there, apply for any rebates you're eligible for, and consider using the government comparison websites to see what's available.

The message is clear: with energy costs rising and comprehensive reforms on the way, now is the perfect time to take control of your energy bills and ensure you're getting the best possible deal.

What's your experience with energy bill offers and switching providers? Have you found any particular strategies that work well, or do you have questions about the rebates available? Share your thoughts in the comments below.

Original Article

https://www.news.com.au/finance/mon...s/news-story/14547d347b9c996d045369ef5ca5b9d0

AEMC delivers enhanced consumer protections to help customers find better energy deals | AEMC

Cited text: The Australian Energy Market Commission (AEMC) today announced major new reforms that will deliver stronger protections for energy consumers and help ...

Excerpt: The Australian Energy Market Commission (AEMC) today announced major new reforms that will deliver stronger protections for energy consumers and help more households access better energy deals.

https://www.aemc.gov.au/news-centre...tions-help-customers-find-better-energy-deals

The Australian Energy Regulator releases new default electricity prices | energy.gov.au

Cited text: Residential consumers will see increases ranging from 0.5 per cent to 9.7 per cent depending on their usage and location.

Excerpt: Residential consumers will see increases ranging from 0.5 per cent to 9.7 per cent depending on their usage and location

https://www.energy.gov.au/news/australian-energy-regulator-releases-new-default-electricity-prices

AEMC delivers enhanced consumer protections to help customers find better energy deals | AEMC

Cited text: Research shows as many as 40 per cent of customers do not always open their bills, missing important messages about potential savings.

Excerpt: as many as 40 per cent of customers do not always open their bills, missing important messages about potential savings.

https://www.aemc.gov.au/news-centre...tions-help-customers-find-better-energy-deals

AEMC delivers enhanced consumer protections to help customers find better energy deals | AEMC

Cited text: The new rules, responding to requests submitted by Energy Ministers in August 2024, will restrict energy retailers from raising prices more than once ...

Excerpt: The new rules, responding to requests submitted by Energy Ministers in August 2024, will restrict energy retailers from raising prices more than once per year, remove unfair fees for vulnerable customers, and ensure hardship customers…

https://www.aemc.gov.au/news-centre...tions-help-customers-find-better-energy-deals

AEMC delivers enhanced consumer protections to help customers find better energy deals | AEMC

Cited text: The final rule will: · protect customers from paying higher prices for their loyalty by ensuring they pay no more than the standing offer price if th...

Excerpt: The final rule will: protect customers from paying higher prices for their loyalty by ensuring they pay no more than the standing offer price if their energy plan's benefits change or expire

https://www.aemc.gov.au/news-centre...tions-help-customers-find-better-energy-deals

Energy Bill Relief Fund | energy.gov.au

Cited text: · Australian households and eligible small businesses with electricity bills may receive up to $150 in energy bill rebates from 1 July 2025 to the end...

Excerpt: Australian households and eligible small businesses with electricity bills may receive up to $150 in energy bill rebates from 1 July 2025 to the end of 2025.

https://www.energy.gov.au/energy-bill-relief-fund

National Energy Bill Relief | NSW Climate and Energy Action

Cited text: Most households will receive their Bill Relief payment automatically from their electricity provider in two quarterly instalments of $75 on their elec...

Excerpt: Most households will receive their Bill Relief payment automatically from their electricity provider in two quarterly instalments of $75 on their electricity bill from 31 July 2025 and 1 October 2025.

https://www.energy.nsw.gov.au/households/rebates-grants-and-schemes/national-energy-bill-relief

Energy Bill Relief Fund | energy.gov.au

Cited text: Under the 2024-25 program, households are eligible for up to $300 of energy bill relief, and eligible small businesses may receive up to $325.

Excerpt: Under the 2024-25 program, households are eligible for up to $300 of energy bill relief, and eligible small businesses may receive up to $325.

https://www.energy.gov.au/energy-bill-relief-fund

Find an energy rebate | NSW Climate and Energy Action

Cited text: Customers receive $200 each financial year. To be eligible, you must be named on the electricity account and hold a valid Commonwealth Seniors Health ...

Excerpt: Customers receive $200 each financial year. To be eligible, you must be named on the electricity account and hold a valid Commonwealth Seniors Health Card.

https://www.energy.nsw.gov.au/households/rebates-grants-and-schemes/find-energy-rebate

Switch to save | energy.gov.au

Cited text: One of the easiest ways to reduce energy costs is to compare energy offers.

Excerpt: One of the easiest ways to reduce energy costs is to compare energy offers.

https://www.energy.gov.au/households/find-the-best-energy-deal

Electricity prices and plans | ACCC

Cited text: Start by talking to your current electricity company to find out what deal they can offer you.

Excerpt: Start by talking to your current electricity company to find out what deal they can offer you.

https://www.accc.gov.au/consumers/specific-products-and-activities/electricity-prices-and-plans

AEMC delivers enhanced consumer protections to help customers find better energy deals | AEMC

Cited text: · 'However, stakeholders indicated that the switching process is easy and generally only takes a few minutes.

Excerpt: However, stakeholders indicated that the switching process is easy and generally only takes a few minutes.

https://www.aemc.gov.au/news-centre...tions-help-customers-find-better-energy-deals

Electricity prices and plans | ACCC

Cited text: Energy Made Easy is a free Australian Government energy price comparison service for households and small businesses in New South Wales, Queensland, S...

Excerpt: Energy Made Easy is a free Australian Government energy price comparison service for households and small businesses in New South Wales, Queensland, South Australia, Tasmania and the Australian Capital Territory...

https://www.accc.gov.au/consumers/specific-products-and-activities/electricity-prices-and-plans

Electricity prices and plans | ACCC

Cited text: Customers in Victoria can visit Victorian Energy Compare.

Excerpt: Customers in Victoria can visit Victorian Energy Compare.

https://www.accc.gov.au/consumers/specific-products-and-activities/electricity-prices-and-plans

ACCC to investigate energy plans that potentially mislead consumers about savings | ACCC

Cited text: “The issues raised by CHOICE exacerbate the challenges and confusion that consumers may face when navigating the often complex energy market,” Ms Lowe...

Excerpt: 'The issues raised by CHOICE exacerbate the challenges and confusion that consumers may face when navigating the often complex energy market,' Ms Lowe said.

https://www.accc.gov.au/media-relea...t-potentially-mislead-consumers-about-savings

Switch to save | energy.gov.au

Cited text: Conditional discounts may not be worthwhile if you can't meet the condition. For example, a pay on time discount may not be beneficial if you often st...

Excerpt: Conditional discounts may not be worthwhile if you can't meet the condition. For example, a pay on time discount may not be beneficial if you often struggle to pay your bill on time.

https://www.energy.gov.au/households/find-the-best-energy-deal

Residential Electricity Price Trends 2024 | AEMC

Cited text: · Residential electricity costs are projected to decline by about 13 per cent over the next 10 years under our base case · Electrification is projected to red...

Excerpt: Residential electricity costs are projected to decline by about 13 per cent over the next 10 years under our base case

https://www.aemc.gov.au/market-reviews-advice/residential-electricity-price-trends-2024

Electricity prices and plans | ACCC

Cited text: It’s important to look at your bill and any letters or emails they send you.

Excerpt: It's important to look at your bill and any letters or emails they send you.

https://www.accc.gov.au/consumers/specific-products-and-activities/electricity-prices-and-plans

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