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The VDO was designed to ensure simple and reasonable prices for customers on a standing offer, even if they are unable or unwilling to engage in the retail market. It is also used as a benchmark price to help customers compare between retailer electricity offers, and retailers are required to compare their prices against the VDO.
The VDO prices are set by the Essential Services Commission (ESC) for each electricity network area, based on average household and business usage. They are usually reviewed once per year around July.
For more information about the VDO, visit the Essential Services Commission website.
The Victorian Government introduced the VDO as a reasonably priced option to provide a safeguard for customers unable or unwilling to engage in the electricity retail market.
It’s intended as a safety net for residential and small business customers who don’t have the time or access to compare market offers provided by electricity retailers.
Electricity plans are now easy to compare – just look at the percentage difference from the VDO.
Your energy distributor is the company responsible for the poles, wires and gas pipes in your area. You’ll find the name of your distributor at the top right-hand side of your energy bill.
There are five electricity network areas impacted by the VDO across Victoria.
A tariff is a way we charge you for the electricity you use. Tariffs are typically made up of supply and usage charges. For more information go to our tariff pages.
Since July 2019, Victorian households and small businesses can access the VDO for their electricity, including customers in embedded networks.
See our home and small business plans to check that you’re on the best plan for your needs.
Did you know?
If you haven’t registered for My Account it only takes a couple of minutes to set up. All you’ll need is your account number to get started. Then you can easily manage your energy accounts - update your details and energy plans, view and pay your bills, and more.
This is a type of electricity infrastructure generally managed by the building owner. A person living in an apartment complex, retirement home, caravan park or tenant in a shopping centre may be receiving their electricity via an embedded network.
Yes. As unmetered supply devices are charged on a standing offer electricity tariff, these rates are consistent with the Victorian Default Offer prices.
What is unmetered electricity supply?
We supply unmetered electricity to businesses and councils for essential services – for devices such as streetlights, traffic signals and telecom boxes – where physical meters aren’t installed. This supply is non-contestable, meaning we’re the only electricity retailer authorised to provide it in your network area.
No, the VDO doesn’t apply to gas.
In NSW, SA and south east QLD, it’s called the Default Market Offer. Find out more.
In the ACT, it’s called the reference price. Find out more.
GST
We have now included a statement on your bill to remind you of this. It can be found here.
There will be no change to how you include the GST on your energy purchases in your BAS.