All Australian households are set to receive a $300 energy rebate from the Australian Government from July 2024. While eligible small businesses will get $325. This $3.5 billion cost-of-living measure announced in the federal budget will be automatically applied to the energy bills.
The energy rebate will assist more than 10 million households and around one million small businesses from July 1, 2024. This new power bill relief doubles the number of households receiving the rebate compared to the government’s 2022 Energy Bill Relief Fund.
We’ll unpack the new $300 energy rebate. But that’s not the only energy savings available to households. According to the ACCC, switching to a cheaper electricity plan can save the same again or more. That’s because their analysis of 5 million customers bills found that nearly half of households were paying the equivalent of the default offer price – with far cheaper deals available.
Here’s how the Energy Rebate works.
The Energy Rebate will go straight onto people’s bills. Households won’t receive cash but a credit on their bills instead. Energy companies will credit customers’ electricity bills in four instalments in the 2024-25 financial year. Households can expect a $75 reduction each quarter on their bills starting in July.
Do I have to register for this?
No. The rebate will be automatically applied as a credit on your energy bills, so there’s nothing for households to do.
Are there any eligibility criteria?
No. The Energy Rebate will paid to all households regardless of their income. If your name is on the energy bill, you will receive the rebate on your account.
For small businesses to be eligible, their annual electricity consumption must be under the small customer threshold for their state or territory.
Annual electricity consumption threshold for small customers
NSW 100,000 kWh
VIC 40,000 kWh
QLD 100,000 kWh
SA 160,000 kWh
TAS 150,000 kWh
ACT 100,000 kWh
NT 160,000 kWh
What if I live in an embedded network?
Do you receive electricity from your strata or landlord in an apartment building or retirement village? You will still be eligible for a rebate through an application to your state and territory government. The government says more information about how to apply for your rebate is on the way in June.
What happens if your annual bill is less than $300?
There will be households, particularly with solar owners, where the annual bill is less than $300 or may even be in credit. In this situation, the account holder will still receive the rebate. The $300 energy rebate will appear in their account as a credit added in four instalments.
Can you double-dip with other Concessions?
Yes. The Energy Rebate gets added on top of any other State government concessions households may be eligible for. It pays to ensure that you’ve considered any concessions you may be entitled to – most of which require registration. You can check the concession finder tool on energy.gov.au to search for information on other rebates and concessions for your state. For example, if you are in Queensland, there can be up to $1300 in annual concessions and rebates available in 2024-2025.
What if you have more than one property?
If your name is on the bill at two properties, then each bill will receive the rebate. However, if a tenant’s name is on the bill for the property, then the tenant will receive the rebate.
Help yourself to bigger savings.
After two years of savage increases in energy costs, the good news is that 2024-2025 should see only minor changes for most customers. So, the $300 rebate will help reduce energy costs, not just mask higher costs.
But there’s more you can do. Many households are on expensive plans, especially loyal customers who haven’t regularly engaged with the market. It’s households that actively compare offers that help themselves save money on energy by asking for and switching to cheaper electricity deals.
Finding a better deal starts with comparing all retailers’ current offers to your current energy plans and making a change. Once you know the best deals, you can ask your current retailer to improve your offer or switch to a cheaper retailer. You can start your comprehensive comparison here with WATTever.