Electricity costs will fall for households and businesses on most parts of Australia’s main grid, as wind, solar and battery storage combine to push down wholesale electricity prices and to insulate the local market from the global volatility being created by conflict in the Middle East.
The Australian Energy Regulator (AER) on Tuesday published its final determination on the Default Market Offer (DMO), which caps the price electricity retailers can charge a small proportion of household and small businesses on standing offers all National Electricity Market states, except Victoria.
In the DMO regions – Victoria’s default offer was set yesterday, by that’s state’s pricing regulator – the AER says the residential flat-rate standing offer will fall by between 3.4-5.0 per cent in New South Wales and by 7.2 per cent in South East Queensland compared to last year.
In NSW, this means households on the DMO could expect an annual bill reduction of between 3.7 per cent ($72) and 7.7 per cent ($211) and between 9.4 per cent ($449) and 20.9 per cent ($1,303) for small business customers.
In South East Queensland, the new DMO settings will see annual bills discounted by 7.2 per cent ($155) for residential customers and 10.4 per cent ($445) for small business customers.
