Learn about Australia’s energy sources, costs, and how to compare electricity prices. Discover tips for saving money and transitioning to renewable energy.
Published on 26/05/2025
By Pallav Verma
Electricity Comparison
Australia’s electricity grid is transforming. With renewable energy sources on the rise and fossil fuels slowly taking a backseat, it’s important for households to understand how our electricity is generated, transmitted, and priced. This information not only helps you understand the energy system but also empowers you to make smarter choices, like exploring electricity comparison tools to find better deals or transitioning to greener energy options.
This blog takes a deep look into Australia’s energy landscape, including the key sources of electricity, how it’s delivered to homes, and actionable tips to guide informed decisions about power rates and sustainability.
Electricity in Australia comes from a mix of non-renewable and renewable sources, with the balance gradually shifting in favor of cleaner alternatives. Here's a closer look at the country's energy generation mix.
Historically, coal has dominated electricity generation in Australia. While its share has declined in recent years, it still accounts for a significant portion of the energy supply.
Why Non-Renewables Are Declining
Government policies and the increasing affordability of renewables have contributed to the steady reduction in reliance on non-renewables. Innovations like the Australian Government’s Rewiring the Nation program aim to modernize the electricity grid to handle more renewable energy, laying the groundwork for a sustainable future (source).
Renewable energy has grown from supplying just 10.5% in 2010 to 35% of Australia's electricity in 2023, setting a record (source).
Tens of thousands of Australian families now generate their own power using rooftop solar panels and small-scale wind systems, contributing to cleaner energy on the grid. Battery storage systems allow excess energy collected during the day to be reused at night, significantly reducing household energy costs.
Want to contribute to the renewable shift? Compare electricity plans and look for GreenPower-certified options to ensure your energy comes from sustainable sources.
Australia has a highly complex electricity supply chain that connects power plants, transmission networks, and households. Here’s how it works.
Electricity is generated at power stations, ranging from large-scale coal and gas plants to small-scale rooftop solar setups. These generators send electricity into the grid.
The National Electricity Market (NEM) connects most Australian states and territories, delivering around 80% of all electricity in Australia. High-voltage transmission lines carry electricity over long distances from power plants to local distribution networks (source).
Before electricity reaches homes, it passes through transformers that reduce the high voltage to a safer level. Then, local “poles and wires” or underground networks transport electricity to homes and businesses.
An increasing number of Australians are becoming “prosumers,” generating their own electricity through rooftop solar systems and feeding excess energy back into the grid.
Understanding electricity costs can help you save money. Here’s what typically makes up your bill and how to lower it through power rates comparison.
These components are usually divided into two charges on your bill:
Use online tools or platforms to compare the electricity prices from multiple providers. Small variations in tariffs or discounts can lead to significant savings over time.
Install solar panels and take advantage of government rebates and feed-in tariffs. This reduces your reliance on the grid and lowers annual costs dramatically.
Reduce standby power, switch off appliances at the wall, and use energy-efficient light bulbs and appliances.
Check with your provider if they offer GreenPower-certified plans, which encourage renewable energy generation.
Some providers offer time-of-use tariffs, which charge less during off-peak periods. These can be beneficial if your energy usage aligns with these times.
If it’s been more than 12 months since you last reviewed your energy plan, you’re likely overpaying. Comparing plans can help you find better options and cut costs. Here’s how to start.
Look at your current rates, usage, and plan details.
Platforms like Electricity Provider or other electricity comparison websites allow you to browse and compare plans. Focus on factors like rates, contract terms, and renewable options.
Once you find a better deal, switching providers is often seamless and can save you hundreds annually.
Want the latest deals? Start your electricity search with trusted comparison platforms.
Australia’s electricity sector is rapidly evolving, driven by a growing commitment to renewable energy and government initiatives aimed at reducing emissions. For Australian households, this transition brings opportunities to save money, support cleaner energy sources, and take greater control of their electricity use.
Whether you’re looking best to reduce your carbon footprint or simply save on bills, now’s the perfect time to explore your options and compare electricity plans. Small changes in your energy choices today can make a big impact tomorrow.
Start by comparing power costs, reviewing your current plan, and considering renewable energy options. The more informed choices we make together, the brighter Australia’s energy future becomes.
