NSW Energy Prices

The most important number: the Reference Price

The Australian Energy Regulator (AER) sets a Reference Price (also called the Default Market Offer or DMO) which acts as the benchmark. For a typical NSW household using around 3,900 kWh/year on the Ausgrid network, that works out to roughly $1,965/year. Every retailer's plan is legally required to show how it compares to this number as a percentage — so a plan that says "18% below reference price" is genuinely cheaper than the default. This is your equivalent of Martin Lewis's "best buy" benchmark. Money.com.au

Who are the cheapest right now?

Based on April 2026 market offer data, Red Energy is currently among the cheapest electricity providers in NSW. Other competitive options right now include 1st Energy (1st Ruby plan), GloBird Energy (BOOST plan), and ENGIE (NRMA), which reduce costs through discounts or bill credits that lower both usage and supply charges. EnergyPlansMoney.com.au

Average electricity rates in NSW are currently around 28.5c/kWh with a typical daily supply charge of around $1.05/day, and average annual bills around $1,450. Energyplans

Your network matters — a lot

NSW is divided into three electricity distribution zones: Ausgrid (Sydney Metro, Central Coast, Hunter), Endeavour Energy (Western Sydney, Blue Mountains, Wollongong, Southern Highlands), and Essential Energy (regional and rural NSW). Each zone has different network charges, which make up roughly 40–50% of your total bill — which is why two households with identical usage can receive significantly different bills depending on their distributor. Always check which network you're on (it's on your bill) before comparing plans, since the cheapest plan in Sydney may not even be available or competitive in regional NSW. EnergyPlans

The single biggest saving available

Households on a flat rate tariff with average energy use in the Ausgrid network could save $548 on electricity a year simply by switching from the standing offer to the cheapest available market deal, according to the AER's latest Market Report. Almost 10% of NSW households are currently on the Default Market Offer — meaning they could be paying more than they need to. WATTeverCompare the Market

How to compare properly — step by step

1. Go to Energy Made Easy first. Energy Made Easy is a free Australian Government energy price comparison service for households and small businesses in NSW, QLD, SA, Tas and the ACT. It's the equivalent of Martin Lewis's MoneySavingExpert comparison tools — independent, government-run, and covers every retailer by law. Go to energymadeeasy.gov.au and enter your postcode and current usage. Energy Made Easy
2. Find your usage from your bill. Look for your daily kWh or annual kWh — the more accurate your usage input, the more accurate the comparison.
3. Compare by estimated annual cost, not just rate. Find your current usage rate (c/kWh) and daily supply charge on your electricity bill, then use this as your benchmark for comparison. A low headline rate can be wiped out by a high supply charge. Energyplans
4. Watch out for conditional discounts. Some plans advertise a discount that only applies if you pay on time or go paperless. Check the unconditional rate too.
5. Read the Basic Plan Information Document (BPID). Some cheaper plans have no exit fees; others lock you in. Read the plan's Basic Plan Information Document before signing up. Energyplans
6. Don't bundle automatically. If you have both gas and electricity, you don't need to bundle both with one retailer — compare plans separately to see if you can save more. Canstar
7. Consider time-of-use if you have a smart meter. A smart meter can help you take advantage of time-of-use tariffs, which charge you less to use electricity at certain times of the day. This can be a big win if you run dishwashers, washing machines, or EV charging overnight. Canstar
8. Check back every 12 months. Power companies often roll out new deals to attract customers, so if you haven't switched plans or providers in the past 12 months, chances are you could be paying too much. Money.com.au

Rebates worth checking

In 2026, NSW bill support is mainly delivered through targeted rebates: the Low Income Household Rebate ($285/year for eligible concession card holders), the Medical Energy Rebate (for households where a resident cannot self-regulate body temperature), and the Family Energy Rebate. Apply through your retailer or Service NSW. Solar Choice

The bottom line: go to energymadeeasy.gov.au, enter your postcode and last bill's usage, sort by annual estimated cost, and compare the top few against your current plan. Switching is free, takes minutes, and your power is never interrupted.