Navigating Australia’s complex electricity market can feel like a full-time job, but comparing plans and retailers is one of the most effective ways to slash hundreds off your annual energy bill in 2026. With the Default Market Offer (DMO) and Victorian Default Offer (VDO) rates updated as of 1 July 2026, and the federal universal energy bill relief having concluded, understanding your options is more crucial than ever. This guide provides a state-by-state breakdown of leading retailers, competitive plans, and available rebates to help you make informed decisions and maximise your savings.
Understanding the Default Market Offer (DMO) and Victorian Default Offer (VDO)
The Default Market Offer (DMO), set by the Australian Energy Regulator (AER), is a regulated price ceiling for residential and small business customers on standing offer contracts in New South Wales, South East Queensland, and South Australia. It acts as a safety net for those who haven’t actively chosen a market offer and serves as a crucial reference price for comparing competitive plans. Similarly, the Victorian Default Offer (VDO), set by the Essential Services Commission (ESC), serves the same purpose for Victorian households and small businesses.
From 1 July 2026, the DMO prices have seen reductions across most regions, with NSW residential flat rates falling by 3.4% to 5.0% and South East Queensland by 7.2%. South Australia, however, saw a modest increase of 1.4% for residential customers. In Victoria, the VDO for 2026-27 has resulted in average annual residential bills falling by around 5.0% ($1,591 per year) and small business bills by approximately 6.7%.
“Electricity prices will fall for most households and small businesses on the Default Market Offer (DMO) from 1 July, with the AER today releasing its final prices for 2026-27.”
Market offers from retailers are typically designed to be more competitive than the DMO/VDO, often offering discounts, better solar feed-in tariffs, or specific incentives. Your goal should be to find a market offer that beats your state’s default offer for your usage profile.
Key Factors When Choosing an Electricity Plan
Beyond just the cheapest rate, consider these factors:
- Usage Rates (c/kWh): The cost per kilowatt-hour of electricity consumed. This can be flat, time-of-use (peak, shoulder, off-peak), or demand-based.
- Daily Supply Charge (c/day): A fixed daily fee charged regardless of how much electricity you use.
- Solar Feed-in Tariff (FiT): If you have solar panels, this is the credit you receive for excess electricity exported to the grid. Rates vary significantly by retailer and state.
- Discounts & Incentives: Look for sign-up credits, conditional discounts (e.g., direct debit, online billing), or loyalty programs.
- Contract Terms: Many plans are variable-rate, meaning prices can change. Fixed-rate plans lock in rates but may have exit fees.
- Green Energy Options: Some retailers offer GreenPower or carbon-neutral plans.
- Smart Meter Compatibility: Essential for time-of-use tariffs and programs like Virtual Power Plants (VPPs) or Origin’s new Solar Sharer Offer.
State-by-State Comparison: Best Electricity Retailers & Plans 2026
Here’s a look at competitive offers from major retailers as of September 2026, focusing on typical residential usage and single-rate tariffs where applicable. Prices are illustrative and based on publicly available data; always verify with your specific postcode.
New South Wales (NSW)
NSW residential DMO flat rates decreased by 3.4% to 5.0% from July 1, 2026. Retailers often compete significantly below this benchmark.
| Retailer | Representative Plan (Illustrative) | Est. Annual Cost (Benchmark Usage) | Usage Rate (c/kWh) | Daily Supply (c/day) | Solar FiT (c/kWh) | Key Features |
|---|---|---|---|---|---|---|
| Red Energy | Living Energy Saver | From $1,466/yr | ~28-31 | ~95-105 | 3-5 | $100 sign-up credit, Qantas points options. |
| Origin Energy | Origin Go Variable | From $1,750/yr | ~30-33 | ~100-115 | 5-8 | $200 electricity credit for new customers. Origin Standing Solar Sharer (3 hrs free power 11am-2pm). |
| Alinta Energy | HomeDeal Smart | From $1,700/yr | ~29-32 | ~98-110 | 3 | Competitive introductory rates. |
Note: Red Energy’s cheapest NSW market plan is currently $1,466/yr (23% below the DMO reference price of $1,899).
NSW households can also benefit from the NSW Home Energy Saver Program, offering zero-interest loans up to $15,000 for energy upgrades, and a potential discount of up to $4,000 for lower-income households on solar panels or home batteries.
Victoria (VIC)
The VDO for 2026-27 saw average residential bills decrease by 5.0%. Victoria no longer has a regulated minimum FiT from 1 July 2025, allowing retailers to set their own rates.
| Retailer | Representative Plan (Illustrative) | Est. Annual Cost (Benchmark Usage) | Usage Rate (c/kWh) | Daily Supply (c/day) | Solar FiT (c/kWh) | Key Features |
|---|---|---|---|---|---|---|
| Alinta Energy | HomeDeal Flow | From $1,104/yr | ~19-22 | ~90-100 | 8-10 | Often significantly below VDO. |
| Red Energy | Living Energy Saver | From $1,300/yr | ~23-26 | ~105-115 | 1 | New ‘Smart Rate’ for time-of-use customers. |
| Origin Energy | Origin Go Variable | From $1,252/yr | ~22-25 | ~102-112 | 8-10 | Everyday Rewards integration. |
Note: Alinta Energy’s single-rate plans start from 19.4c/kWh, with an estimated annual cost from $1,104 at benchmark usage (25% below the VDO).
Victorian households can access various rebates, including the Victorian Energy Upgrades (VEU) program for discounts on energy-efficient appliances like heat pumps and reverse-cycle air conditioning. The $100 Power Saving Bonus application period closed on 31 March 2026, but future rounds may be announced.
Queensland (QLD)
South East QLD residential DMO flat rates decreased by 7.2% from July 1, 2026. Regional QLD (Ergon network) has different regulations and a fixed minimum FiT.
| Retailer | Representative Plan (Illustrative) | Est. Annual Cost (Benchmark Usage) | Usage Rate (c/kWh) | Daily Supply (c/day) | Solar FiT (c/kWh) | Key Features |
|---|---|---|---|---|---|---|
| Alinta Energy | HomeDeal Smart | From $1,590/yr | ~22-25 | ~90-100 | 5-10 | Often 20% below DMO reference price. |
| Origin Energy | Origin Go Variable | From $1,650/yr | ~25-28 | ~95-105 | 8.7 | Origin Standing Solar Sharer (3 hrs free power 11am-2pm). |
| Red Energy | Qantas Red Saver | From $1,700/yr | ~26-29 | ~98-108 | 1-5 | Qantas points, competitive. |
*Note: In regional Queensland, Ergon’s fixed FiT is 6.006 c/kWh for 2026-2027. For South East Queensland, GloBird Energy offered the highest rate at 10c/kWh as of July 2026.
Queensland offers an Electricity Rebate of $399.47 per year (GST inclusive) for eligible pensioners and seniors from 1 July 2026. There’s also a Reticulated Natural Gas Rebate of $96.45 per year.
South Australia (SA)
SA residential DMO flat rates increased by 1.4% from July 1, 2026. This makes active comparison even more important.
| Retailer | Representative Plan (Illustrative) | Est. Annual Cost (Benchmark Usage) | Usage Rate (c/kWh) | Daily Supply (c/day) | Solar FiT (c/kWh) | Key Features |
|---|---|---|---|---|---|---|
| Alinta Energy | HomeDeal Flex | From $2,050/yr | ~35-38 | ~115-125 | 0.5 | Flexible payment options. |
| Origin Energy | Origin Go Variable | From $2,100/yr | ~36-39 | ~118-128 | 5-8 | Origin Standing Solar Sharer (3 hrs free power 12pm-3pm). |
| Red Energy | Living Energy Saver | From $2,150/yr | ~37-40 | ~120-130 | 1-4 | Often competitive for high users. |
SA households can access an Energy Concession which, after indexation, is up to $291.27 annually from 1 July 2026 for eligible cardholders.
Federal and State Energy Bill Relief in 2026
It’s important to note that the universal federal Energy Bill Relief Fund, which provided up to $300 for households in 2024-25 and an additional $150 in the first two quarters of 2025-26, concluded on 31 December 2025. From January 2026, no new universal federal energy credits are in place, meaning bills reflect full retail prices without this Commonwealth offset.
However, state and territory governments continue to offer targeted rebates for eligible concession cardholders and specific circumstances. These include:
- NSW: Low Income Household Rebate (up to $285/year), Family Energy Rebate (up to $180/year, applications for 2026-27 open 10 August 2026), Seniors Energy Rebate ($200), and Medical Energy Rebate (up to $285).
- VIC: Annual Electricity Concession (approx. $174/year as of 2026), Utility Relief Grant (up to $1,300), and Victorian Energy Upgrades (VEU) discounts.
- QLD: Electricity Rebate ($399.47/year from 1 July 2026) and Reticulated Natural Gas Rebate ($96.45/year from 1 July 2026).
- SA: Energy Concession (up to $291.27/year from 1 July 2026).
For a comprehensive overview of all available support, refer to our guide: Australia’s Energy Bill Relief Landscape in 2026: A Comprehensive Guide to State and Federal Support.
Leveraging Solar and Batteries for Greater Savings
If you have rooftop solar, optimising your self-consumption and choosing a plan with a competitive solar feed-in tariff is key. While FiTs have generally decreased, they remain a valuable component of your savings. Consider investing in a home battery to store excess solar generation and use it during peak times, further reducing reliance on grid electricity. For more detailed insights, explore our guides: Maximise Your Home Battery Savings: Earn $1,000+ Annually with a VPP in 2026 and Best Home Batteries for Australian Homes 2026: Performance, Warranties & Value Compared.
How to Switch and Save
- Gather Your Current Bill: This will provide your usage history, current rates, and network distributor.
- Use Government Comparison Tools: Websites like EnergyMadeEasy (for NSW, QLD, SA) and Victorian Energy Compare (for VIC) are free, independent, and compare all available market offers for your postcode.
- Check Retailer Websites Directly: Some retailers offer exclusive online deals or sign-up bonuses not listed on comparison sites.
- Consider Your Usage Habits: If you work from home, have an EV, or use a lot of power at night, look for plans with specific time-of-use benefits or EV charging tariffs like Red Energy’s EV Saver.
- Read the Basic Plan Information Document (BPID) / Fact Sheet: This outlines all charges, terms, and conditions clearly.
- Review Annually: Energy prices and plans change frequently (often 1 July each year), so make it a habit to compare regularly.
Bottom Line
In 2026, Australian households can still achieve significant savings on their electricity bills, with potential annual reductions of over $200 by actively comparing and switching plans. While federal universal energy relief has ended, state-specific rebates and the DMO/VDO provide benchmarks and targeted support. Focus on understanding your consumption, leveraging solar if you have it, and using government comparison tools to find a market offer that outpaces the default. Retailers like Alinta Energy, Origin Energy, and Red Energy consistently offer competitive market plans across the eastern states. Don’t settle for a standing offer; proactive comparison is your most powerful tool for reducing energy costs.