Why Is My Electricity Bill Still So High in 2026?

Regulated electricity prices fell in most regions on 1 July 2026. Bills still feel higher, because the federal Energy Bill Relief Fund rebates ended on 31 December 2025 and nothing has replaced them. Both things are true at once. If you're finding the bill hard to pay, the second fact is the one that matters.

This piece walks through what changed, what protections you have, and what you can do this week. Every number links to its primary source.

What actually happened to electricity prices this year?

On 1 July 2026 the Default Market Offer reset. The DMO is the price cap the Australian Energy Regulator sets each year. It applies to households on standing offers in New South Wales, south-east Queensland and South Australia. Under the final determination, published 26 May 2026, residential prices fell between 3.4% and 5.0% in NSW and by 7.2% in south-east Queensland. South Australia was the exception, with a rise of 1.4%. Victoria's default offer is set separately by its own regulator.

So the "power prices fell" headline is real. For most households on a standing offer, the underlying tariff, the rate you're charged per unit, is lower than it was in June. South Australia's rise applies to flat-rate offers; time-of-use offers there fell slightly.

Why does my bill feel higher, then?

Because the rebate ended. From July 2023 the federal Energy Bill Relief Fund put automatic credits on electricity bills, first for households on concessions or Family Tax Benefit, then for all households from July 2024. The final round was worth up to $150 across the second half of 2025, applied as two $75 quarterly instalments. The fund ended on 31 December 2025. No federal replacement has been announced, and the government's own page now points people to state and territory concession schemes instead.

When a rebate lapses, the amount you're actually billed jumps even where the underlying tariff falls. That is what the inflation data now shows. In the monthly Consumer Price Index for June 2026, released 29 July 2026, electricity costs were up 22.4% over the twelve months, while headline inflation ran at 3.8%. The Australian Bureau of Statistics says the rise is "largely due to the ending of Commonwealth and State Government electricity rebates". State rebates wound back over the same period too, which is why the ABS names both.

Neither headline lied. They measured different things. One tracked the tariff. The other tracked what lands in your account.

Can my power be cut off if I can't pay?

There are real protections, and one of them got stronger this year. From 1 July 2026 the minimum disconnection amount rose from $300 to $500 under the Australian Energy Regulator's rules, which cover NSW, Queensland, South Australia, Tasmania and the ACT. In those states a retailer cannot disconnect your electricity or gas over a debt below $500, as long as you've agreed to repay what you owe. The regulator set the new floor to reflect the size of an average quarterly electricity bill. Victoria sets its own threshold, currently $300 and rising to $1,000 from October 2026, and WA and the NT have separate rules.

Beyond that floor, every retailer must have a hardship program, and if you ask to join it they must consider your request and work with you. Payment plans are meant to reflect what you can actually afford. While you're on a plan and keeping to it, disconnection for that debt is off the table. The full set of protections is on our energy rights page.

What can you actually do this week?

Four things worth doing, in order.

• -Ask your retailer for its hardship program, by name. Every retailer must have one, and asking to join it starts obligations on their side. Say the words "hardship program".
• -Check what state help you can claim. Every state and territory runs energy rebates and concessions, and eligibility is worth checking even if you don't hold a concession card. Start with our emergency money guide. NSW residents can work through the NSW energy bill help guide step by step.
• -Compare your offer on Energy Made Easy. Energy Made Easy is the regulator's free comparison site for NSW, Queensland, SA, Tasmania and the ACT. Victorians can use Victorian Energy Compare. If you're on a standing offer, a market offer in your area may be cheaper.
• -If the electricity bill is one of several you can't pay, talk to a financial counsellor. The National Debt Helpline on 1800 007 007 is free, confidential and independent, and connects you with a financial counsellor who can help you decide what to deal with first. More on how financial counselling works.

What is TEKVA seeing?

Energy debt almost never arrives alone. In our hardship support work, the electricity bill usually turns up attached to a rent problem, which is attached to an income problem. By the time someone mentions the bill, it is rarely the only thing overdue.

We're a small team, still learning this terrain. We don't know whether a national replacement for the rebate is coming; nothing has been announced either way. What we could do is read the determinations and the data carefully, and put the reconciliation in one place.

If your organisation works on energy hardship — a community organisation, a financial counselling service, a retailer hardship team — we'd genuinely like to compare notes. We welcome corrections too. You'll find us via the contact page.

The four facts in one place:

Frequently asked questions