Understanding your energy costs and rates

We're always looking at how much it costs us to buy electricity produced by our solar customers and how much homes and businesses need (also known as market demand). As more homes install rooftop solar, the value of the solar energy going back into the electricity grid drops, which means our rates will also change. More information about our solar feed-in tariffs and current rates can be found here.

We can't predict the exact change to your bill, however on your notice from us about your rate changes, you'll see an estimate of the annual price you could pay based on your current usage patterns.

There is the Energy Bill Relief Fund which provides each household and eligible small business in all states with up to $150 in credit toward their electricity account. More information about this rebate can be found at energy.gov.au.

A Standing Offer is a basic plan that is legally required to be offered by all retailers (such as Alinta Energy). It uses standard terms and conditions with prices based on a government benchmark. A Market Offer is a plan where the price and terms are governed by the retailer. Market Offers are often mixed with different benefits including discounts, incentives, time-based rates and other add-ons.

Tariffs are an important part of how an energy bill is calculated. There are generally four main tariff types for electricity, one of which is linked to the type of meter or network tariff that is assigned to you:

• Single rate tariff: One flat charge for all usage regardless of what time electricity is used.
• Time of use tariff: Many electricity tariffs are charged at a single rate (c/kWh), all day, every day. A time of use tariff, however, charge different usage rates depending on when electricity is used. For example, peak or off-peak times of the day.
• Controlled load tariff: A separate charge for high usage electricity appliances such as pools or hot water systems.
• Demand tariff: A typical energy bill will display two types of charges: a supply charge and usage charges. However, if you're on a demand tariff, you'll also be charged a third fee called a 'demand' charge.

To find out more about what tariff you are on, head to Energy tariffs explained.

If you're eligible for a Demand Tariff, you'll be charged based on how actively you use electricity during a specified time perioed. This tariff includes an additional charge for electricity used during peak hours, which varies depending on your distribution area (e.g. 4pm to 9pm). The Demand Tariff may change each billing period and is based on your highest energy usage during peak times (measured in 30-minute blocks).

To find out more about Demand Tariffs, head to Energy tariffs explained.