Mark Collette, EnergyAustralia Chief Customer Officer, said:
“For customers on the default tariff – this is welcome news at a very difficult time.
“The vast majority of our customers already pay less than the default offer. That’s why we encourage any customer on a default offer to get in touch – there are better, lower-cost deals available.
“Australian homes and businesses are facing real pressure from the economic impacts of the pandemic crisis. There’s support available for anyone struggling with their power bills. We are here to help.”
NOTES TO EDITORS:
- On 30 April 2020 the independent Australian Energy Regulator decreased the default electricity price for households and businesses in New South Wales by up to1 1.7 per cent and 1.8 per cent respectively, Queensland by up to 6 per cent and 4.4 per cent and South Australia by up to 7.3 per cent and 8.9 per cent for financial 2020/21.
- This default market offer (DMO) is the maximum amount energy companies are allowed to charge; EnergyAustralia offers multiple tariffs below this rate with 80 per cent of residential customers paying less than the DMO.
- An energy bill comprises four core input costs:
- The cost of the energy itself;
- The cost of transporting and distributing energy via third party network companies - the ‘poles and wires’;
- Government green schemes;
- Energy company operating costs and margin;
- A decision on network ‘poles and wires’ costs is expected by the regulator from mid-May. This will influence the default market offer set by the regulator, which in turn influences other tariffs in the market.
- At the current time, we are focussed helping people who need it most by expanding our EnergyAssist hardship support program. For more information on the customer support available: https://www.energyaustralia.com.au/home/energyaustralia-covid-19
1 Actual reduction will vary depending on usage, distribution zone and tariff type.