Cutting your electricity bills in Australia in 2026 is entirely achievable, with many households capable of saving up to $600 annually by simply switching to a more competitive electricity retailer and plan. The key lies in understanding the Default Market Offer (DMO) and Victorian Default Offer (VDO) benchmarks, comparing specific usage and supply rates, and leveraging conditional discounts and solar feed-in tariffs.
For most Australian households, the ‘best’ plan isn’t a single universal product, but rather one tailored to their specific state, energy consumption patterns, and whether they have solar or a home battery. However, in September 2026, retailers like OVO Energy, Red Energy, and GloBird Energy are consistently offering some of the most competitive rates and attractive incentives in the major eastern states, often outperforming the larger incumbents like AGL, Origin, and EnergyAustralia on price, particularly for customers willing to engage with conditional discounts or higher solar feed-in tariffs.
Understanding Australia’s Electricity Market in 2026
The Australian energy market is dynamic, with prices influenced by wholesale costs, network charges, and retailer competition. The Default Market Offer (DMO) in New South Wales, South East Queensland, and South Australia, and the Victorian Default Offer (VDO) in Victoria, serve as crucial benchmarks. These are safety net prices set by regulators for customers who don’t actively shop for a better deal. Any competitive market offer (CMO) should ideally beat these prices.
The Australian Energy Regulator (AER) announced the DMO for FY2026-27 (effective 1 July 2026) saw an average increase of 2.1% in NSW, 1.8% in SA, and a slight decrease of 0.5% in South East Queensland, reflecting ongoing wholesale market volatility and network cost adjustments.
This means that if your current plan is on or above the DMO/VDO, you are almost certainly paying too much.
Key Factors Affecting Your Bill and Plan Choice
- Location: Prices, retailers, and even regulations vary significantly by state and network zone.
- Usage Patterns: Do you use most electricity during peak hours (e.g., 4 pm - 9 pm) or off-peak? Time-of-Use (TOU) plans can offer substantial savings for off-peak users.
- Solar Panels: If you have solar, a plan with a high feed-in tariff (FiT) is crucial. Some retailers offer premium FiTs (e.g., 10-15 c/kWh) but might have higher usage charges.
- Home Battery: Combining solar with a home battery can unlock even greater savings, especially when paired with a Virtual Power Plant (VPP) enabled plan. Consider reading our guide on Maximise Your Home Battery Savings: Earn $1,000+ Annually with a VPP in 2026 for more details.
- Conditional Discounts: Many competitive plans offer discounts for paying on time, direct debit, or bundling with gas. Always check the conditions.
- Supply Charges: The daily fixed charge for being connected to the grid. These can range from $0.90 to $1.50 per day.
Best Electricity Retailers and Plans by State (September 2026)
It’s imperative to use an energy comparison website like EnergyMadeEasy.gov.au (for NSW, QLD, SA, ACT, TAS) or Victorian Energy Compare (for VIC) to get a personalised quote. However, here are some examples of competitive offerings in September 2026, illustrating the types of plans to look for:
New South Wales (NSW)
NSW typically sees strong competition. Look for plans with significant conditional discounts or robust solar FiTs.
| Retailer | Plan Name (Example) | Daily Supply Charge | Peak Usage Rate | Off-Peak Usage Rate | Solar FiT (Standard) | Key Features |
|---|---|---|---|---|---|---|
| GloBird Energy | Boost Saver | $1.15 | $0.38/kWh | $0.19/kWh | 7 c/kWh | Up to 15% conditional discount off usage, competitive rates, often beats DMO by 10-12%. |
| OVO Energy | The One Plan | $1.25 | $0.39/kWh | $0.18/kWh | 8 c/kWh (standard) | 100% GreenPower option, competitive rates, sometimes higher FiT for VPP participants. |
| Red Energy | Living Energy | $1.18 | $0.37/kWh | $0.20/kWh | 6 c/kWh | Qantas Frequent Flyer points, often strong sign-up bonuses, competitive for non-solar homes. |
| Amber Electric | Wholesale Price | $1.50 | Varies hourly | Varies hourly | Varies hourly | Pass-through wholesale prices, ideal for smart homes/EVs to shift usage to low-cost periods. Requires active management. |
Note: Rates are illustrative for a typical Sydney residential customer on a single-rate or controlled load tariff and include GST. Actual rates depend on your specific network distributor and tariff.
Victoria (VIC)
Victoria has its own regulatory framework and the VDO. Focus on plans that offer good value against the VDO, especially for solar customers.
| Retailer | Plan Name (Example) | Daily Supply Charge | Peak Usage Rate | Off-Peak Usage Rate | Solar FiT (Standard) | Key Features |
|---|---|---|---|---|---|---|
| OVO Energy | OVO Solar | $1.05 | $0.30/kWh | $0.16/kWh | 12 c/kWh (premium) | Excellent for solar homes, carbon neutral, competitive usage rates, often VPP-compatible. |
| GloBird Energy | Super Saver | $1.00 | $0.31/kWh | $0.17/kWh | 6 c/kWh | Often 10-15% discount off VDO equivalent, simple plans, good for general consumption. |
| Origin Energy | Go Variable | $1.10 | $0.32/kWh | $0.16/kWh | 7 c/kWh | Often has sign-up credits or loyalty bonuses, competitive for general usage. |
Note: Rates are illustrative for a typical Melbourne residential customer on a single-rate tariff and include GST. Actual rates depend on your specific network distributor and tariff.
Queensland (South East QLD)
South East Queensland (Energex network) is deregulated, offering choice. High FiTs are a major draw for solar households.
| Retailer | Plan Name (Example) | Daily Supply Charge | Peak Usage Rate | Off-Peak Usage Rate | Solar FiT (Standard) | Key Features |
|---|---|---|---|---|---|---|
| Red Energy | Qantas Red Solar | $1.20 | $0.36/kWh | $0.22/kWh | 10 c/kWh (premium) | Strong FiT for solar customers, Qantas points, competitive for solar homes. |
| GloBird Energy | Value Maximiser | $1.10 | $0.35/kWh | $0.20/kWh | 7 c/kWh | Often 8-10% discount off DMO equivalent, straightforward plans. |
| AGL | Solar Savers | $1.25 | $0.37/kWh | $0.21/kWh | 8 c/kWh | Reputable major retailer, competitive FiT, often bundled with gas. |
Note: Rates are illustrative for a typical Brisbane residential customer on a single-rate tariff and include GST. Actual rates depend on your specific network distributor and tariff.
South Australia (SA)
South Australia generally has the highest electricity prices in the country, making switching even more critical.
| Retailer | Plan Name (Example) | Daily Supply Charge | Peak Usage Rate | Off-Peak Usage Rate | Solar FiT (Standard) | Key Features |
|---|---|---|---|---|---|---|
| OVO Energy | The One Plan SA | $1.35 | $0.45/kWh | $0.25/kWh | 9 c/kWh | Green energy options, competitive for both solar and non-solar, often VPP opportunities. |
| Origin Energy | Solar Boost Plus | $1.40 | $0.46/kWh | $0.26/kWh | 10 c/kWh | High FiT for solar customers, large retailer support. |
| Alinta Energy | HomeDeal | $1.30 | $0.44/kWh | $0.24/kWh | 7 c/kWh | Often strong introductory discounts, competitive for general households. |
Note: Rates are illustrative for a typical Adelaide residential customer on a single-rate tariff and include GST. Actual rates depend on your specific network distributor and tariff.
How to Compare and Switch Electricity Providers in 2026
- Gather Your Current Bill: This contains your National Meter Identifier (NMI), current usage, and tariff information.
- Use Official Comparison Sites: These are free, government-backed, and provide accurate comparisons:
- EnergyMadeEasy.gov.au: For NSW, QLD, SA, ACT, TAS.
- Victorian Energy Compare: For VIC.
- Input Your Details Accurately: The more information you provide about your actual usage (from your bill), the more precise the comparison will be.
- Consider All Factors: Don’t just look at the headline discount. Compare:
- Daily supply charge
- Usage rates (peak/off-peak/shoulder)
- Solar feed-in tariff (if applicable)
- Any conditional discounts or exit fees
- Contract length and terms (variable vs. fixed rates)
- Read the Energy Fact Sheet: Every offer has one, detailing all charges and conditions.
- Switching is Easy: Once you choose a new retailer, they handle the entire switching process. There’s no interruption to your power supply.
Government Energy Bill Relief and Rebates in 2026
Australians continue to benefit from various government initiatives designed to ease the cost of living. In 2026, both federal and state governments offer support:
- Federal Energy Bill Relief Fund: Eligible households (pensioners, concession card holders, some families) could receive up to $500 in bill relief, applied directly to their electricity account.
- NSW: Low Income Household Rebate ($285 annually), Family Energy Rebate ($180 annually), and Medical Energy Rebate (up to $285 annually).
- Victoria: Annual Electricity Concession (17.5% of electricity bill, up to an annual cap, currently $2,000 for FY22-23, likely adjusted for FY26-27), and potentially a new round of the Power Saving Bonus (e.g., $250 one-off payment for using Victorian Energy Compare).
- Queensland: Electricity Rebate of $372 annually for eligible concession card holders.
- South Australia: Energy Concession (up to $240 annually, adjusted for CPI).
Ensure you check your eligibility and apply for any rebates you are entitled to. For a detailed breakdown, refer to our comprehensive guide: Australia’s Energy Bill Relief Landscape in 2026: A Comprehensive Guide to State and Federal Support.
Beyond Retailers: Further Savings Strategies
While choosing the right retailer is crucial, additional measures can significantly reduce your energy footprint and costs:
- Solar Power: Installing a solar system remains one of the best long-term investments. Consult our guide on Solar System Installation Costs in Australia 2026: A Complete Guide to understand the upfront investment and potential returns.
- Home Batteries & VPPs: Store excess solar and use it when rates are high, or participate in a Virtual Power Plant (VPP) to earn additional income.
- Energy Efficiency: Simple changes like using energy-efficient appliances, sealing draughts, and optimising heating/cooling can have a major impact.
- Smart Home Energy Management Systems: These systems can automate energy usage, optimising for cost and comfort. Explore Best Home Energy Management Systems in Australia 2026: Slash Bills by $1,000+ Annually.
Bottom Line
Don’t settle for the Default Market Offer. In September 2026, proactive Australian households can save hundreds of dollars annually by comparing electricity plans. The most significant savings, often up to $600 per year, come from switching from a standing offer or non-competitive plan to a market offer with strong conditional discounts and, for solar owners, a high feed-in tariff. Utilise government comparison websites, understand your usage, and don’t be afraid to switch every 12-24 months to ensure you’re always on the best deal for your specific circumstances. Retailers like OVO Energy, GloBird Energy, and Red Energy are consistently offering competitive plans across various states, making them excellent starting points for your comparison.