With the current state of the economy, families throughout Australia are concerned about their household finances. This is why comparing and saving when saving on expensive electricity rates is more critical than ever. The good news is that most Australians can choose their electricity retailer to help them find and compare cheaper prices on their electricity bills.

Finding a cost-efficient electricity company in Australia is a lot of work with these fluctuating utility costs. You can use our checklist to find the best electricity provider  that suits your needs:

What Matters To You?

Do you want your retailer to be locally owned and operated, or do you want to use more green energy sources? Whatever your choice, there must be a retailer out there that will match your preference.

Check Your Current Energy Usage

Once you know what is important to you in a business, look at your previous energy bills. Has your usage changed over the last few bills? Knowing your typical energy usage is important when choosing the type of plan that will suit you.

Know The Type Of Plan You Are Getting

You will find two types of plans: fixed rate and variable. A fixed-rate plan ensures you get charged the same usage rate for your entire contract, whereas a variable-rate plan means your rate changes based on the wholesale energy market. 

A fixed-rate plan provides comfort and will always be charged the same rate. You can just reduce your energy usage to save money. Meanwhile, a variable plan lets you see your energy bill go down. 

Check The Terms And Conditions

Read the terms and conditions of your plan to be aware of what you are getting involved in. Note down the changes to your rates, tariffs, or any fees. Knowing what goes in your plans ensures there are few chances of surprise changes and costs in the future.

Can The Retailer Match Rates?

With the amount of competition in the energy market, energy retailers want to earn you as a customer. Some retailers. Head to our site to find out what's on offer.

Do They Offer Any Discounts?

Depending on your state, the discounts are not what they used to be. The energy market now works off Default Market Offer (DMO) – (NSW, SA & South East QLD) and the Victorian Default Offer (VDO) – VIC. 

What Is The DMO?

Australian Energy Regulator (AER) has a reference price for each distributor and meter configuration. This includes an estimated cost based on average usage for that customer type. The retailer picks the Default Market Offer (DMO), which must not go over the reference price. The DMO is measured by the similar usage chosen by the AER for meter configuration and customer type within the distribution zone. 

Retailers can pick a market offer with conditional or unconditional discounts. The usage rates and supply charges are identical for market offers and DMOs. Unconditional discounts are guaranteed discounts, and conditional discounts require the customer to meet the conditions to get the discount, for example: paying on time. 

What Is The VDO?

A Victorian Default Offer (VDO) is available to all Victorian residents and small businesses except embedded networks. These offers will have a price established by the Essential Services Commission (ESC). If an alternative offer with the customer’s retailer is cheaper than their current plan, this must be outlined on their bill. 

Retailers need to give advanced notice to customers of any changes that could affect their bills. 

Routine Comparison

We recommend comparing gas and electricity rates every 12 to 24 months. This lets you stay on top of a competitive market, allowing you to find the best electricity provider regularly and make the most of any new technology that may have become available.

Save Energy All-year Round

  • Turn off any lights in your home you don’t need. This plays a large part in saving energy and reducing your bill. Leaving unneeded lights on leads to unnecessary costs, so switch off and save.
  • Turn off non-essential appliances instead of leaving them on standby mode. Appliances like computers, TVs, dryers, washing machines, and even phone chargers are making a big dent in your power use. Switching them off at the wall, or unplugging them entirely, will reduce your bill dramatically.
  • The four-person Australian household can survive on one fridge, so a second fridge is just a power drain. Older models use two to three times more electricity than newer, energy-efficient models. 
  • Using high-draw appliances like the dishwasher or washing machine during off-peak times means you will be charged less. To find out the hours your retailer considers off-peak, do your washing or wash your dishes then.

Conclusion

Finding a cost-efficient electricity provider is tough, but our list will ensure that you consider every important factor before choosing. Even though choosing a provider based on this checklist may take some time, it will be worth it when you get your bill at the end of the month. You can use Cheapbills to compare each provider on your list for further help.