Electricity prices are set to fall for many households and small businesses across Queensland, South Australia and New South Wales after new determinations from the Australian Energy Regulator point to easing wholesale costs feeding through the market.
The latest Default Market Offer shows South East Queensland households could see bills fall between 7.2 and 10.7 per cent from July, with small businesses facing reductions of up to 14 per cent if retailers pass through savings in full. The Queensland Government has called on retailers to ensure customers receive the full benefit of the lower pricing.
Premier David Crisafulli said the outcome reflected early movement in the state’s broader energy approach and said households and businesses should see those reductions reflected in their bills.
Energy Minister Penny Sharpe said falling wholesale prices were already starting to influence retail settings, as more renewable energy and storage entered the system.
In South Australia, the Default Market Offer for 2026-27 shows small businesses on time-of-use tariffs are expected to see average reductions of $673, while those on flat tariffs will see average savings of $379. Most residential customers on time-of-use tariffs are also expected to see modest decreases, while those on flat-rate plans may face a small increase.
South Australian Energy Minister Tom Koutsantonis said lower wholesale costs were flowing through into the latest pricing cycle, while noting many customers remain on plans that differ from default arrangements.
The Australian Energy Regulator said the changes were driven largely by falling wholesale electricity prices, partly offset by rising network costs across the national grid. It also noted that most residential customers in South Australia are on time-of-use tariffs, which are more likely to benefit from the reductions.
In New South Wales, default electricity prices are also set to fall by between 3.4 and 7.7 per cent for households, with small businesses expected to see savings of up to 14 per cent depending on usage and tariff type. Regulators said increased renewable generation and storage capacity were helping to reduce wholesale costs feeding into retail pricing.
NSW Premier Chris Minns said easing prices were a welcome shift after sustained pressure on household budgets, while warning that continued investment in new generation would be needed to keep downward pressure on bills over time.
Across all three states, the Default Market Offer continues to act as a reference price for customers on standing contracts, rather than the cheapest deal available in the market. Energy officials and regulators continue to encourage households and businesses to compare offers, as many are expected to be on plans priced below the default level.
The Australian Energy Regulator said the overall direction reflected lower wholesale electricity costs and gradual changes in generation mix, including increased renewable output and storage capacity, though network and system costs remain a factor in final retail pricing.
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