Learn how energy market reforms, such as renewable schemes and export tariffs, are impacting electricity bills. Compare energy providers and save more today.
Published on 11/05/2025
By Pallav Verma
Energy Comparison
The Australian energy market has seen significant upheavals in recent years, from price surges to increased pressure on sustainability and demand-supply balance. With the introduction of energy market reforms aimed at stabilizing prices and improving reliability, many Australians are wondering whether these changes will lead to tangible savings on their electricity bills.
This blog unpacks the impact of energy market reforms and explores how homeowners can compare energy providers, understand pricing changes, and benefit from market adjustments. Let's break it down.
Australia’s energy landscape is undergoing a major transition as governments and regulatory bodies focus on sustainability, renewable energy integration, and affordability. Here’s an overview of some key reforms shaping the energy market:
Introduced in 2024, this scheme encourages investment in renewables and storage solutions, with a target of adding 9 GW of dispatchable and 23 GW of variable renewable capacity by 2030. This initiative aims to replace retiring coal plants and stabilise energy supply.
This regulation, implemented in 2023, placed a $12 per gigajoule cap on wholesale gas prices. Such measures aim to reduce dependency on volatile external energy markets and stabilise prices domestically.
The government has proposed universal adoption of smart meters by 2030. These meters provide real-time energy usage data, helping consumers better manage and reduce electricity bills.
Starting in 2024, households with solar panels can earn rewards for exporting electricity back to the grid during peak demand periods, encouraging more efficient energy distribution.
But how will these measures affect the average Australian household? To answer that question, understanding the state of the current energy market is crucial.
The National Electricity Market (NEM) is evolving rapidly, with significant shifts in demand, supply, and wholesale pricing. Here are some highlights from the latest energy reports:
While wholesale electricity prices have moderated since the 2022 energy crisis, volatility persists. For example, spot prices in Queensland spiked this past summer due to extreme heat, while wind and hydro shortfalls in New South Wales caused winter price surges.
Rooftop solar has surpassed 20 GW of installed capacity, covering 25% of the NEM’s generating resources. This surge is driving lower midday demand as households feed more self-generated energy into the grid.
With the retirement of coal plants like Liddell in 2023, the system faces reliability gaps. However, increased investments in battery storage and renewable firming capacity are priorities to bridge these deficits.
After the 2022 crisis, domestic gas prices stabilised at $9–$13 per gigajoule in 2024. Temporary spikes linked to winter surges were mitigated by infrastructure upgrades, such as the north-south pipeline expansion.
These changes impact pricing, creating both challenges and opportunities for Australian households. For consumers, knowing how to compare energy prices and plans remains critical in securing savings.
Energy reforms aim to decrease electricity costs in the long run, but their current impact varies. Here's how reforms could affect your household electricity bill:
Increased integration of renewables, supported by the Capacity Investment Scheme, is putting downward pressure on wholesale prices. As renewables become the dominant energy source, costs associated with fossil fuels will likely diminish further. Households in Victoria and South Australia, where renewable adoption is highest, are already seeing benefits during high solar output hours.
Export reward tariffs and virtual power plants (VPP) provide solar customers with incentives to export excess energy. This can reduce electricity bills for households with solar PV systems, particularly when grid prices are high.
With smart meters tracking real-time usage, consumers can better manage peak energy consumption, potentially cutting costs through time-of-use or demand response plans.
Programs like the Energy Bill Relief Fund provide rebates to alleviate cost burdens for low-income families. While temporary, such measures help those most affected by rising energy prices.
However, the extent of your savings depends on how well you understand and optimise your energy plan. Using tools to compare energy providers and plans is key to unlocking cost benefits in this shifting market.
Want to make the most of energy market reforms? Here are actionable tips to help you compare and save:
Use energy comparison tools, such as Electricity Provider Comparison, to explore a selection of offers from participating providers in your area. Keep in mind that Electricity Provider Comparison does not compare all providers or plans available in the market. Review plan details carefully, especially if you have solar panels or smart meters installed, to find an option that suits your usage patterns.
If you own a rooftop solar system, check export tariffs and reward schemes offered by different retailers. Compare which provider is offering the ideal rates for feeding excess energy back to the grid. Reforms like the export reward tariff could make a significant difference in your annual bills.
If you already have a smart meter, review your energy consumption patterns and switch to a time-of-use tariff if applicable. These tariffs typically offer lower rates during off-peak hours, helping you slash costs by shifting non-essential usage.
Ensure your appliances meet modern energy ratings. Efficient heating and cooling systems, along with induction cooking appliances, significantly reduce energy consumption compared to older, less efficient models.
Programs like demand response allow customers to receive discounts or incentives for reducing energy usage during high-demand periods. Some providers also offer direct payments for participation.
The Australian Government offers various rebates, including the $300 electricity bill rebate for households, and $325 for small businesses in 2024–25. These could provide immediate relief from high costs.
Energy market reforms are making it easier than ever to find competitive offers. But to make the most of these changes, you need to actively explore your options. Here’s what to do next:
Visit trusted platforms such as Energy Made Easy and search for plans that ideal fit your needs. Compare rates, discounts, and incentives across various providers.
If your current provider doesn’t offer competitive rates or flexibility, explore alternatives that reward solar usage or adapt to your consumption behaviour.
Energy consultants or customer service representatives from neutral platforms can guide you through the process of switching your energy retailer seamlessly.
While energy market reforms highlight Australia’s commitment to a greener future, they also present opportunities for households to save money. By staying informed and taking proactive steps to compare energy providers, you can ensure you’re not overpaying for electricity.
For homeowners, this year’s investments in renewables, battery storage, and pricing reforms are paving the way for a more affordable and reliable energy market. Start comparing today and make the most of these powerful changes to optimise your household’s energy costs.
Actual savings and benefits may vary depending on individual energy usage, location, tariff structure, and provider terms.
