Australian Energy Industry at SMBtech

Supply Charge Up 40 Per Cent? Why Your Next Energy Bill Could Be More Expensive

Households could be in for another price shock when electricity retailers adjust their market rates on 1 July, with new daily supply charges driving potential bill rises.

Letters have started arriving in inboxes informing customers of retail offer price changes. Compare the Market has analysed two examples where pricing adjustments varied across bill structures.

For example, in one case the daily supply charge was increasing 40% year-on-year and general usage rates were increasing 6%, while the controlled load tariff was reduced by 20%.

In another example, the daily supply charge was increasing 36%, while the general usage tariff was decreasing 20%.

Confirmed retail supply charge changes for 1 July

Example 2025 price cents/day 2026 price cents/day – after 1 July $ change % change  
Retailer 1 94.49 cents  $1.32484  37.994 cents +40.2% 
Retailer 2 $1.41438  $1.92049 50.5769 cents +35.78% 
Retailer 3 $1.32 $1.778524  45.8524 cents +34.73% 
Retailer 4 $1.16666 $1.46828 30.162 cents +25.85% 

Source: Compare the Market

Compare the Market’s Chris Ford said the mixed bag of positive and negative changes across bill structures was confusing for customers.

“It’s hard to make heads or tails of these changes and work out if you’ll actually be better or worse off next year,” Mr Ford said. 

“The reality is there’s no single answer for everyone – it’s going to depend on how you use your electricity and the type of tariff and plan customers are on. If you are a big energy consumer and have a lot of energy-guzzling appliances and things like pool pumps running during the day, then a reduced usage rate could work in your favour.

“But if you’re not, then these bigger daily supply charges could really end up stinging you, because they aren’t something you can influence with smarter energy use – you pay this charge every single day just to be connected to power.”

While the default pricing benchmarks set by regulators are due to fall in NSW, Victoria and southeast Queensland, Mr Ford warned that not everyone could bank on a positive change.

“It’s great news that the pricing safety nets are falling in many parts of the country, but it’s important to remember these changes only apply to households on standing offers, which make up around just 10% of the energy market,” Mr Ford said.

“The remaining 90% are on what’s called market offers and can also expect a range of price changes on 1 July, but in many cases prices could be heading up, and I think that’s going to come as a real shock.

“With more households taking up solar and using less from the grid, it is possible we will continue to see a trend in supply charges moving up as energy retailers look for a consistent way of recouping costs and making revenue.

“In such a confusing time for consumers and so much industry change, the message is more important than ever to shop around and switch where savings are available. Circle 1 July in your calendar and set aside a few minutes to look for better value, ranking options against the comparison prices set by the Australian Energy Regulator.”

ACCC findings* on potential energy savings show:

  • Households on the same electricity plan for three years or more pay on average $221 more compared to customers on new plans.

  • Only 27% of electricity customers were on their retailer’s best plan at some point in financial year 2024/25.

  • The remaining 73% of customers could be paying more than they need to for their electricity supply.

Last Updated on June 24, 2026 by Nick Ross

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