For Australian households and small businesses grappling with persistently high energy costs in 2026, understanding the current landscape of support is crucial. The direct, universal federal Energy Bill Relief Fund, which provided automatic credits to electricity accounts, largely concluded on 31 December 2025 for most households. While this specific federal payment is no longer active for standard households, significant state and territory concessions, alongside ongoing federal incentives for energy-efficient upgrades, continue to offer substantial financial support for managing utility expenses.

This guide outlines the current (as of May 2026) energy bill relief measures, state-specific rebates, and long-term strategies to genuinely reduce your utility expenses across Australia.

The Shift from Universal Federal Energy Bill Relief

The Australian Government’s Energy Bill Relief Fund provided a total of $300 to households in the 2024-25 financial year, followed by an additional $150 (delivered in two $75 instalments) for the first half of the 2025-26 financial year, ending on 31 December 2025. This means that from January 2026 onwards, most households will no longer see these automatic credits applied to their electricity accounts.

However, specific federal support for small businesses continued with a $150 rebate (two $75 quarterly instalments) for eligible businesses during the 2025-26 financial year, also concluding on 31 December 2025. This was applied automatically for most, or required manual application for embedded networks by 30 June 2026.

While some reports suggest potential new direct federal relief for households from July 2026, the primary governmental focus has shifted towards long-term energy independence through efficiency upgrades and renewable energy adoption. This means the onus is increasingly on consumers to proactively seek out available state-based concessions and invest in home improvements to achieve lasting savings. For more on navigating this transition, see our guide on How to Cut Your Electricity Bill This Winter in Australia 2026: Strategies After Federal Rebates End.

Understanding Your Current Energy Costs in 2026

Energy prices have continued to trend upward modestly across most states in 2026, with year-on-year increases ranging from 2.9% to 5.1%. Knowing the average costs can help you benchmark your own bills. Average quarterly electricity bills in Australia are approximately $399, with gas bills near $229. However, these figures vary significantly by state and household size.

StateAverage Annual Electricity Bill (Estimated 2026)Average Annual Gas Bill (Estimated 2026)
SA$1,580$595 - $1,100 (incl. heating)
WA$1,490$400 - $700 (varies by usage)
NSW$1,450$540 - $900 (incl. hot water & cooking)
QLD$1,420$417 - $500 (lower heating usage)
VIC$1,380$551 - $1,100 (incl. ducted heating)
TAS$1,340(Limited reticulated gas, relies on electricity)
ACT$1,310$500 - $800 (varies by usage)

In March 2026, residents of Queensland were paying the most for their electricity bills, with New South Wales close behind. Western Australians generally paid the least for electricity.

State-by-State Energy Bill Relief and Concessions (2026)

While federal direct relief has largely ended, state and territory governments continue to offer targeted concessions and rebates. Eligibility often depends on holding an eligible concession card (e.g., Pensioner Concession Card, Health Care Card) and being the primary account holder.

New South Wales (NSW)

  • Low Income Household Rebate: Eligible concession card holders can receive $285 per year off their electricity bill.
  • Family Energy Rebate: For those who received Family Tax Benefit in the 2024-25 financial year, applications are open until 15 June 2026.
  • Energy Savings Scheme (ESS) & Peak Demand Reduction Scheme (PDRS): These schemes provide discounts on energy efficiency retrofits. As of 1 April 2026, PDRS offers streamlined Virtual Power Plant (VPP) incentives, providing up to six years of incentives upfront for connecting an eligible battery to a VPP.
  • Heat Pump Hot Water Rebates: Discounts are available for eligible heat pump hot water systems via the ESS.

Victoria (VIC)

  • Solar Victoria Rebates: For eligible owner-occupiers, rebates are available for solar panels (up to A$1,400) and heat pump or solar hot water systems (up to $1,000, or $1,400 for Australian-made products). These can be combined with federal STCs and VEU discounts. Eligibility includes a combined household taxable income under $210,000 and property value under $3 million.
  • Victorian Energy Upgrades (VEU) Program: Offers discounts on a wide range of energy-saving products, including LED lighting, efficient heating/cooling systems, and heat pump hot water systems (up to $1,000 or 50% of the purchase price). From 1 October 2026, ceiling insulation rebates will expand to all eligible residential homes, reducing typical installation costs by 30-50% (e.g., a $3,000 install to around $1,500).

Queensland (QLD)

  • Federal STCs for Solar Panels: A 6.6kW system in Brisbane receives approximately $2,800 to $3,200 off the installed price in 2026.
  • Battery Storage Loans: Queensland offers interest-free loans of up to $10,000 for home battery storage.
  • Solar for Rentals Rebate: Landlords can receive a rebate of up to $3,500 for installing eligible solar systems on rental properties, tiered by system size.
  • Electricity Rebate: Available for eligible pensioners and seniors.

South Australia (SA)

  • SA Concessions Energy Discount Offer (SACEDO): Eligible concession card holders can receive 20% off electricity usage and supply and 15% off gas usage and supply with Origin Energy, running until at least 2029.
  • Retailer Energy Productivity Scheme (REPS): Requires energy retailers to help households achieve energy savings, with highest incentives for Priority Group households.
  • Virtual Power Plant (VPP) Incentives: Joining an approved VPP can provide additional cash rebates or significant ongoing tariff discounts.

Western Australia (WA)

  • Energy Concession Extension Scheme (ECES): Provides an annual subsidy to assist with electricity costs, including the Energy Assistance Payment, and in certain cases, a Dependent Child Rebate and/or an Air Conditioning Rebate for eligible concession card holders.
  • Distributed Energy Buyback Scheme (DEBS): Rewards households for exporting solar energy during late-afternoon peak periods.
  • Heat Pump Hot Water Rebates: Active rebates are available for heat pump hot water systems.

Tasmania (TAS)

  • Annual Electricity Concession: Provides a bill discount of $1.76866 per day (approximately $645.56 per year) for eligible low-income concession card holders from 1 July 2025.
  • Heating Allowance: $56 per year (paid twice) for Pensioner Concession Card holders.
  • Energy Saver Loan Scheme: Offers interest-free loans up to $10,000 for energy efficiency upgrades.

Australian Capital Territory (ACT)

  • Sustainable Household Scheme: Offers low-interest loans up to $15,000 for products like EV chargers, induction cooktops, and ceiling insulation.
  • Electricity, Gas and Water Rebate: An annual rebate is available.

Northern Territory (NT)

  • NT Concession Scheme – Electricity: Eligible concession card holders can receive up to $1,200 per year in electricity concessions (capped at 8,000 kWh).
  • Medical Support Allowance: A $154 allowance for those exceeding the concession cap due to medical criteria.
  • NT Home and Business Battery Scheme: This scheme has reached its funding allocation and is currently closed to new grants.

Beyond Government Relief: Proactive Strategies to Reduce Your Bills

With the cessation of direct federal bill relief for households, focusing on long-term energy efficiency and smarter consumption is paramount.

1. Compare Energy Retailers Regularly

Electricity and gas prices vary significantly by state and retailer. Using government comparison websites like Energy Made Easy (for electricity and gas) and Victorian Energy Compare (for Victoria) can help you find the cheapest plans. Even a small difference in cents per kWh or per MJ can lead to significant annual savings. For example, South Australians typically face higher electricity rates, averaging around 43.4 cents per kWh with SA Power Networks, while Victorians benefit from the Victorian Default Offer (VDO) which helps stabilise prices.

2. Invest in Energy-Efficient Home Upgrades

Many state and federal programs now focus on incentives for upgrades that reduce your long-term energy consumption.

  • Solar Panels: The federal Small-scale Renewable Energy Scheme (SRES) continues to offer an upfront discount on new solar panel installations across Australia through Small-scale Technology Certificates (STCs). While the deeming period for STCs reduced from 6 to 5 years from 1 January 2026, leading to a 15-20% reduction in upfront discounts, solar remains a strong investment. For a 6.6kW system in Brisbane, the STC value in 2026 is approximately $2,800 to $3,200. Choosing an accredited installer is vital for maximising benefits. Learn more with our guide: How to Choose a Solar Installer in Australia 2026: Accreditation, Warranties & Avoiding Scams.
  • Home Batteries: The federal Cheaper Home Batteries Program (also part of the SRES) makes home battery storage more affordable. From 1 May 2026, the rebate structure shifts to a tiered model with faster step-downs. Current values are around $330-340 per usable kWh, but will be approximately $272 per kWh from May-December 2026. This program allows many households to add a battery to existing solar systems, improving self-consumption and reducing reliance on the grid. Queensland also offers interest-free loans up to $10,000 for battery storage.
  • Heat Pump Hot Water Systems: These systems are up to three times more efficient than traditional electric or gas systems, drawing heat from the air to warm water. Rebates are available in Victoria (up to $1,400) and NSW through the ESS. For a detailed breakdown, consult our guide: Best Heat Pump Hot Water Systems in Australia 2026: Costs, Rebates & Buyer’s Guide.
  • Insulation and Draught Sealing: Proper insulation can significantly reduce heating and cooling costs. Victoria’s VEU program offers discounts on ceiling insulation from October 2026, potentially saving households around $400 per year on energy bills.

3. Adopt Smarter Consumption Habits

Simple changes around the home can make a difference:

  • Optimise Heating & Cooling: Heating and cooling account for about 40% of a household’s electricity usage. Set thermostats efficiently (e.g., 20-21°C in winter, 24-26°C in summer), use timers, and zone heating/cooling. Consider upgrading to energy-efficient reverse cycle air conditioners. For more tips, read: Winter is Coming: How to Slash Your Australian Heating Bills in 2026 as Energy Rebates End.
  • Address Draughts: Seal gaps around doors and windows to prevent heat loss in winter and heat gain in summer.
  • Appliance Efficiency: Use energy-efficient appliances and switch off devices at the power point rather than leaving them on standby.
  • Understand Your Tariff: If you’re on a Time-of-Use (TOU) tariff, shift high-energy activities like laundry or dishwashing to off-peak periods when electricity is cheaper.

Bottom Line

While the era of broad, automatic federal energy bill relief payments for households has largely passed, Australian consumers are not without options in 2026. The focus has decisively shifted towards state-specific concessions and federal incentives for long-term energy efficiency upgrades. Proactively comparing energy plans, claiming all eligible state and territory rebates, and investing in technologies like solar, batteries, and heat pump hot water systems are the most effective strategies for securing genuine, lasting relief from high energy bills. By combining smart consumption habits with strategic upgrades, households can significantly reduce their utility costs this year and beyond.