Price caps and safety nets
In most states (excluding WA and NT), the government sets a “safety net” price for electricity. This is the maximum price (or “reference price”) that retailers are allowed to charge customers on “Standing” contracts. A Standing contract is like a default product where the terms are regulated. In Victoria, it’s called the Victorian Default Offer (VDO) and NSW, QLD and SA it’s the Default Market Offer (DMO).
You can ask your energy provider to be on a standing contract any time you like, and some people might feel safe knowing they’re on a government-regulated price. Although, there may be better rates out there if the provider is advertising “market” contracts – where the energy company set their own prices.
All energy providers also need to compare these “market” plans against the reference price when they advertise, so you can easily weigh up one plan against another when you’re shopping around.
It’s important to understand that when you see a discount off the DMO or VDO advertised, it’s not necessarily a discount off your bill. It’s there as a reference point only, so you can compare one price against another at a specific point in time.
Paying bills
What if I think my bill is wrong?
If you’ve received a high bill that doesn’t seem right, your meter is a good place to start. You can check that the usage on your meter matches the usage on your bill, and send us your own meter read. You can also request for your bill to be reissued with your self-read if the meter readings don’t match. Here’s a step-by-step tutorial on reading your meter.
If that’s not it, and you’ve not managed to resolve it with one of our energy specialists, you can always raise the issue with the Ombudsman in your state.
What if I can’t pay my bill?
If you’re experiencing financial difficulty, energy providers and the government have strong protections in place to help make sure you’re not left without power. The first step is to get in touch so we can talk through your options. There are a range of ways we can support you with your energy bills.
Can I be disconnected?
Energy companies can disconnect you, but there are a lot of steps they generally have to go through first – including giving you notice you’ll be disconnected if you haven’t been paying your bills. Keep communicating with your energy retailer to let them know what’s going on. If you do, it’s less likely you’ll be disconnected.
Is my energy company allowed to increase my prices?
Yes, with some rules. If you signed up to a variable rate plan, your rates can be varied even if you signed up for a 12-month plan. Generally, retailers review their prices a few times per year taking into account lots of factors, including what’s going on in the wider energy market.
- You have to be notified in writing of a price increase, at least 5 working days before it happens (10 days in Queensland)*
- You must be provided with information that helps you shop around and compare your new rates to other providers*
- In Victoria, your prices can only be changed once per year
If you feel that the price increase is unfair, ask your current company if they can offer you a better rate. Or, you can shop around using the government comparison websites Energy Made Easy or Victorian Energy Compare.
*This doesn’t apply in WA or NT.
Helpful links
Government bodies provide the framework of laws and other rules that protect you.
Click here for links
2023-24 DMO price increase decision
2023-24 VDO price increase decision
ACT, New South Wales, Queensland, South Australia and Tasmania are covered by the National Energy Customer Framework (NECF). The NT has adopted a modified version of the NECF.
In Victoria, it’s the Essential Services Commission (ESC).
In WA, it’s the WA state government.
