We have set the Victorian Default Offer prices to apply from 1 July 2026 to 30 June 2027
Victorian Default Offer price review 2026–27
- Request for Comment Paper14 November 2025
- Submissions close12 December 2025
- Draft Decision Paper12 March 2026
- Public forum23 March 2026
- Submissions close10 April 2026
- Final Decision Paper and Determination20 May 2026
- New prices in effect1 July 2026
Overview
Overview
We are responsible for setting and annually reviewing the Victorian Default Offer prices. The default offer is designed to be a simple, trusted and reasonably priced electricity option that safeguards customers who are unwilling or unable to engage in the electricity market.
We have set the Victorian Default Offer prices to apply from 1 July 2026 to 30 June 2027.
How cost components and annual bills will change under the default offer
Changes in the average Victorian Default Offer annual bill by cost component, for domestic customers with an annual usage of 4,000 kWh, nominal $
Changes in the average Victorian Default Offer annual bill by cost component, for small business customers with an annual usage of 10,000 kWh, nominal $
Key facts from our final decision
Default offer prices in 2026-27 are lower compared to 2025-26
Average annual bill will be five per cent lower for domestic customers and six per cent lower for small business customers. The reduction is driven by lower environmental, wholesale and network costs.
We changed the structure of domestic time of use tariffs to reflect network tariff structure
Australian Energy Regulator approved a three-part time of use network tariff for domestic customers. We aligned the time periods of the time of use default offer with this new structure.
We maintained our approach to setting prices
We have not made any changes to our approach to setting the Victorian Default Offer. The outcome is a reflection of market factors using updated information and data.
Victorian Default Offer 2026–27: Final Decision Paper
Victorian default offer prices to apply from 1 July 2026 to 30 June 2027
Fixed flat tariffs for general usage and general usage + controlled load usage – domestic customers (including GST)
| Distribution zone | Supply charge ($ per day) | Usage charge structure | Usage charge (not controlled load) ($ per kWh) | Usage charge: controlled load ($ per kWh)1 |
|---|---|---|---|---|
| AusNet Services | $1.2824 | Block 1 (up to 1020 kWh during a quarter) Block 2 (> 1020 kWh during a quarter) | $0.3198 $0.3198 | $0.2211 |
| CitiPower | $1.2114 | Anytime | $0.2596 | $0.1659 |
| Jemena | $1.2713 | Anytime | $0.2747 | $0.2141 |
| Powercor | $1.3805 | Anytime | $0.2822 | $0.1726 |
| United Energy | $1.1912 | Anytime | $0.2735 | $0.1726 |
1 Only if a controlled load or dedicated circuit is available with the customer.
Fixed flat tariffs for general usage – small business customers with consumption less than 40 MWh per year (including GST)
| Distribution zone | Supply charge ($ per day) | Usage charge structure | Usage charge ($ per kWh) |
|---|---|---|---|
| AusNet Services | $1.2939 | Block 1 (up to 1020 kWh during a quarter) Block 2 (> 1020 kWh during a quarter) | $0.3423 $0.3423 |
| CitiPower | $1.5219 | Anytime | $0.2477 |
| Jemena | $1.6709 | Anytime | $0.2878 |
| Powercor | $1.6978 | Anytime | $0.2736 |
| United Energy | $1.5400 | Anytime | $0.2561 |
Three period time of use tariffs – domestic customers (including GST)
| Distribution zone | Supply charge ($ per day) | Peak usage charge 4 pm to 9 pm everyday ($ per kWh) | Off peak usage charge 9 pm to 11 am everyday ($ per kWh) | Solar soak usage charge 11 am to 4 pm everyday ($ per kWh) | Usage charge: Controlled load ($ per kWh)1 |
|---|---|---|---|---|---|
| AusNet Services | $1.2824 | $0.4764 | $0.2260 | $0.1759 | $0.2211 |
| CitiPower | $1.2114 | $0.3831 | $0.2117 | $0.1659 | $0.1659 |
| Jemena | $1.2712 | $0.3757 | $0.2176 | $0.1765 | $0.2141 |
| Powercor | $1.3805 | $0.4167 | $0.2249 | $0.1726 | $0.1726 |
| United Energy | $1.1912 | $0.4032 | $0.2214 | $0.1726 | $0.1726 |
1 Only if a controlled load or dedicated circuit is available with the customer.
Two period time of use tariffs – small business customers with consumption less than 40 MWh per year (including GST)
| Distribution zone | Supply charge ($ per day) | Peak usage charge 9 am to 9 pm weekdays ($ per kWh) | Off peak usage charge all other times ($ per kWh) |
|---|---|---|---|
| AusNet Services | $1.2939 | $0.3790 | $0.1950 |
| CitiPower | $1.5219 | $0.3089 | $0.1752 |
| Jemena | $1.6818 | $0.3331 | $0.1790 |
| Powercor | $1.6978 | $0.3629 | $0.1921 |
| United Energy | $1.5400 | $0.3156 | $0.1807 |
Our price determination covers all types of standing offers including those based on flat, time-of-use, and other flexible tariff structures.
The Victorian Default Offer sets prices for standing offers
Standing offers are not the most common electricity offer. If you are on a standing offer, which means that you haven’t chosen a specific plan to suit your needs, then you are protected by the Victorian Default Offer. If you are unsure whether you are on a standing offer, you can check your bill or with your retailer. If you are on the Victorian Default Offer, our decision will affect the prices you pay for your electricity.
The default offer will not necessarily be the lowest price available to you. Switching from a standing offer could save you money on your electricity bill. We encourage Victorian energy customers to visit the free and independent Victorian Government energy price comparison site Victorian Energy Compare to find the best energy deal that suits them.
The Victorian Default Offer also acts as a reference price for market offers
Most customers are on market offers, not standing offers. When advertising prices, all energy retailers must say how their offers compare to the Victorian Default Offer. This helps customers compare market offer prices and choose a plan which works for them.
Contact us
If you have any questions about the review, you can contact us via:
- Email: VDO@esc.vic.gov.au
- Mail: Essential Services Commission, Level 8, 570 Bourke Street, Melbourne Victoria 3000
- Phone: 1300 664 969 (charge free) or (03) 9032 1300
Next step
Victorian Default Offer 2026–27 prices will come into effect from 1 July 2026
Resources
Final Decision Paper and Resources
20 May 2026
Data as at 30 January 2026 subject to change and amendments.
AEMO provided this information to the ESC to the extent permitted by law. The ESC is publishing the information for the purpose of performing its functions and exercising its powers in relation to the Victorian Default Offer.
(xlsx, 140.18 MB)
Submissions to our draft decision
10 April 2026
Victorian Council of Social Service (VCOSS), Community Information & Support Victoria (CISVIC), Consumer Action Law Centre (CALC), Council on the Ageing Victoria (COTA), Seniors Rights Victoria, Energy Consumers Australia (ECA), Financial Counselling Victoria Inc. (FCVic), Uniting, Westjustice
(pdf, 113.22 KB)
10 April 2026
Victorian Council of Social Service (VCOSS), Community Information & Support Victoria (CISVIC), Consumer Action Law Centre (CALC), Council on the Ageing Victoria (COTA), Seniors Rights Victoria, Energy Consumers Australia (ECA), Financial Counselling Victoria Inc. (FCVic), Uniting, Westjustice
(pdf, 223.15 KB)
Draft Decision Paper and Resources
Submissions to our Request for Comment Paper
12 December 2025
Victorian Council of Social Service (VCOSS), Brotherhood of St Laurence, Community Information & Support Victoria (CISVIC), Consumer Action Law Centre (CALC), Council on the Ageing Victoria (COTA), Senior Rights Victoria, Energy Consumers Australia (ECA), Financial Counselling Victoria Inc. (FCVic), Uniting, Westjustice
(pdf, 342.05 KB)