IPART reports annually on the performance and competitiveness of the retail electricity and gas markets for small customers in NSW.
What we found
We found that in 2023-24, more consumers in NSW switched energy retailer or plan, and new and innovative energy products and services continued to emerge.
However, customers faced higher electricity prices, with prices increasing by around 35% in the year to August 2023, driven by higher wholesale energy and network costs.
We also analysed the cost of demand tariff plans. Demand tariff plans include a charge that is usually based on a customer’s highest half hour of usage in month during peak times.
We found that for customers in Sydney and Newcastle (in the Ausgrid distribution network), a demand charge from their retailer could add as little as $10 to over $800 to an annual electricity bill, depending on the plan.
We also found a typical non-solar customer in the Sydney or Newcastle area would have paid more over the 2023-24 financial year on a demand tariff plan compared to a time-of-use or flat-rate tariff plan given their existing electricity usage. On average, around $200 more if they had lower peak demand, and around $300 more if they had higher peak demand.
We have made 10 recommendations in our report to improve competition and customers outcomes in the retail energy markets in NSW.
What can you do to reduce your energy bills?
You can shop around to find a better energy deal on the Australian Government’s Energy Made Easy website.
The NSW Government has advice on small changes you can make to help reduce your energy consumption and lower your bills.
The NSW Government also offers a range of assistance and rebates to households including the:
- Low Income Household Rebate (Maximum rebate of $350 per year)
- The NSW Gas rebates (Maximum rebate of $110 per year).
You can visit the NSW Government’s Savings Finder website or book an appointment with a specialist to see if you are eligible for assistance or rebates.