If you’ve opened your latest electricity bill with a sense of dread, you’re not alone. For many s, the cost of keeping the lights on—and the heaters running—is becoming a genuine source of stress.
Just ask Rachel Green, a Gold Coast mum of two, who was left reeling after her family’s latest power bill soared to a jaw-dropping $1,236.98.
For Rachel, who usually budgets between $600 and $700 per quarter for electricity, this latest bill was more than just a nasty surprise—it was a wake-up call.
‘We have never had a bill this high, even through summer if we use the air conditioner,’ she said. And while she admits that heating an extra bedroom for her newborn may have nudged the numbers up, the real culprit seems to be something much bigger: rising energy prices across the board.
Why are power bills skyrocketing?
Rachel’s story is far from unique. In fact, millions of people are being warned to brace for higher electricity bills, with household power costs set to rise by up to $228 in the coming weeks.
From 1 July, energy regulators have confirmed that default market prices will increase, meaning that even if you haven’t changed your usage, you could still be paying more.
In South East Queensland, where Rachel lives, the average annual bill is set to rise by $77 to $2,143 for a typical household.
And while only a minority of customers are on the so-called ‘default offers’, most energy retailers adjust their popular plans in line with these prices. So, chances are, your bill is going up too.
The main drivers? Wholesale costs (what retailers pay for electricity) and network costs (the price of transporting it to your home) are both on the rise.
Add in the cost of living pressures we’re all feeling, and it’s no wonder so many of us are experiencing ‘bill shock’.
How much are we really using?
Rachel’s family, like many, saw their daily usage nearly double from April to June—from 22.4 kWh ($8.90 a day) to 44.2 kWh ($16.22 a day).
That’s a big jump, but it’s not unusual as the weather cools and heaters come out of hibernation. According to Finder, the average household spent $328 on their quarterly electricity bill in April, but that figure is expected to climb as winter bites.
Running a heater isn’t cheap, either. Finder’s analysis suggests it’ll cost the average household $249 to keep warm this winter, with electric heaters costing around $241 and gas heaters even more at $301.
The emotional toll of rising bills
For Rachel, the rising cost of power is more than just a line item in the family budget. ‘Bills are one of our biggest expenses, after the mortgage,’ she says.
Even with recent interest rate cuts, the savings are quickly swallowed up by other rising costs. ‘What we’re saving in rates we’re spending on other bills that keep going up.’
And it’s not just about money. ‘I feel a bit sad that in modern Australia, families are going without heat in their homes over winter because of the outrageous costs of power,’ Rachel admits.
She’s not alone—nearly a third of households reported ‘bill shock’ after receiving their most recent summer power bill, according to Finder.
Credit: Aussie Frugal Family / TikTok
What can you do to fight back?
The good news? There are steps you can take to keep your power bills in check:
Compare your plan: Energy experts recommend shopping around at least twice a year. Rachel used the government’s Energy Made Easy website to compare providers and realised she was paying too much. Victorians can use the Victorian Energy Compare tool.
Adjust your thermostat: Even a small change can make a big difference. Try setting your heater to 18°C at night and rugging up with extra blankets (Rachel’s husband is even sleeping in a beanie!).
Reduce peak usage: Avoid running high-energy appliances during peak periods if you can.
Take advantage of rebates: From July 1, households will receive two $75 federal government energy rebates each quarter until the end of the year. Make sure you’re getting what you’re entitled to.
Check your usage: Many providers offer online tools to track your daily or weekly usage, so you can spot spikes and adjust your habits.
A community challenge
We know that for many, managing household expenses is a careful balancing act. Have you experienced a shockingly high power bill recently?
What steps have you taken to keep costs down? Are you finding it harder to stay warm this winter without breaking the bank?
Share your stories, tips, and questions in the comments below. Let’s help each other navigate these challenging times—and maybe even put a little power back in our own hands.
Also read: Ditch your electricity bill: One Australian dad’s $3,000 savings secret
I am so glad that we live in Queensland, outside South-East corner, where our power is not supplied by private company but by ERGON itself. There is no negotiation about power prices. The Price is the Price and it is entirely Fair. For winter heating (yes it is needed) is by reverse-cycle A/c or wood heating. Cost of wood is still affordable at $210 per cubic metre.
Best advise is turn off any lights where they are not needed, close off rooms that are not used and buy a couple of good windcheaters. Toughen up!!!