Price Factors, Tariffs and 2026 Rules
What makes up an electricity or gas bill, how the DMO and VDO reference prices work, and the tariff and solar rules that apply in 2026–27.
compare electricity plans
Understand supply charges, usage rates and the 2026–27 reference prices, then compare offers on Energy Made Easy or Victorian Energy Compare using your real usage, not a headline discount.
What makes up an electricity or gas bill, how the DMO and VDO reference prices work, and the tariff and solar rules that apply in 2026–27.
Step-by-step plan comparisons, bill calculations and switching checklists with the arithmetic shown.
Common plan and billing mistakes, hardship and payment plans, and how to complain to your retailer and the energy ombudsman.
Worked Examples and Comparison Checklists
A practical method for comparing energy plans with Energy Made Easy or Victorian Energy Compare using your NMI and real usage, plus what to check before you switch.
Price Factors, Tariffs and 2026 Rules
The AER's DMO 8 for 2026–27 explained — regions covered, how prices moved in NSW, South East Queensland and South Australia, what the cap applies to and how to use it.
Bill Mistakes, Complaints and Official Help
A map of common electricity and gas bill problems and the right place to take each — your retailer, the energy ombudsman in your state, the regulator, concessions and free financial counselling.
Price Factors, Tariffs and 2026 Rules
Supply charges, usage rates, tariff types, the DMO and VDO reference prices and gas pricing explained, with the 2026–27 changes and links to every detailed guide.
Price Factors, Tariffs and 2026 Rules
How the Solar Sharer Offer (from 1 July 2026 in NSW, SE Qld and SA) and Victoria's Midday Power Saver (from 1 October 2026) work, who can get them and how to test if they suit you.
Price Factors, Tariffs and 2026 Rules
The ESC's VDO for 1 July 2026 to 30 June 2027 explained — the typical bill change, the five distribution zones, the solar soak period and how to compare offers.
Estimate a 90-day electricity bill range from your usage, the usage rate range for your tariff type and the daily supply charge.
Turn an offer's 'X% less than the reference price' statement into an estimated yearly dollar figure at the reference usage.
Estimate how many years a rooftop solar system takes to repay its cost from bill savings and feed-in credits.
Tick off the documents, comparisons, contract terms and cooling-off steps before and after you switch electricity or gas plans.
| Tariff or offer type | How it works | Often suits | Watch out for |
|---|---|---|---|
| Flat (single) rate | One usage rate for every kWh, plus a daily supply charge | Households that use power evenly or cannot shift usage | Some networks assign a time-of-use network tariff once a smart meter is installed; check what your retailer offers |
| Time-of-use | Different rates for peak, shoulder and off-peak periods set by the plan | Households that run laundry, dishwashers, hot water or EV charging outside the evening peak | Peak rates are usually well above a flat rate; heavy 4–9 pm use can make the bill higher |
| Demand tariff | Usage rates plus a charge based on your highest kW demand in a set window | Households that can avoid running several big appliances at once during the demand window | One hot afternoon with air conditioning, oven and dryer running together can set the demand charge for the month |
| Controlled load | A separately metered circuit (often hot water) supplied at set times at a lower rate | Electric storage hot water, slab or pool heating | Supply windows are set by the network; heat pumps and solar diverters may suit a different arrangement |
Use the free government comparators: Energy Made Easy (run by the AER) for NSW, Queensland, South Australia, Tasmania and the ACT, and Victorian Energy Compare for Victoria. Enter your NMI or upload your usage data so offers are priced on your own consumption rather than a typical household.
The Default Market Offer (AER) caps standing offer prices in NSW, South East Queensland and South Australia; the Victorian Default Offer (Essential Services Commission) does the same in Victoria. Both are also the reference price that advertised offers must be compared against. For 2026–27 they took effect on 1 July 2026.
According to the final decisions published in May 2026, the residential flat-rate DMO fell in NSW and South East Queensland and rose slightly in South Australia, while the VDO fell by about 5% for a typical Victorian household. Your own bill depends on your plan, tariff and usage.
A regulated, opt-in plan available from 1 July 2026 in DMO regions for households with a smart meter. It includes three free hours of electricity each day (11 am–2 pm in NSW and South East Queensland, 12–3 pm in South Australia), with time-of-use rates outside that window. Victoria's equivalent, the Midday Power Saver, started on 1 October 2026.
No. Following an amendment to the Electricity Industry Act 2000, the Essential Services Commission stopped setting minimum feed-in tariffs from 1 July 2025. Retailers set their own feed-in rates, which cannot be below zero.
For a new market retail contract, households generally have 10 business days from receiving the contract terms to cancel without penalty. Ask the retailer to confirm in writing if you cancel.
First contact your retailer and ask for a complaint reference number. If it is not resolved, contact the free energy ombudsman in your state, such as EWON (NSW), EWOV (Victoria), EWOSA (South Australia) or EWOQ (Queensland).
No. The Fund paid quarterly credits on household bills in 2024–25 and was extended for the second half of 2025 (up to $150, to 31 December 2025). The Government confirmed it would not be extended into 2026. Check energy.gov.au for the official position.
Peak & Shoulder is an independent information project. Guides are drafted with the help of AI writing tools and checked against official and primary sources before publication; see our Editorial Policy. We are not affiliated with any provider mentioned on the site and do not sell products or services.