How your electricity is priced
Before comparing plans, understand the structure behind them. A tariff is simply the pricing model your retailer uses to charge you for electricity. Most Australian households are on one of the four main types below, with newer options emerging for solar, EVs, and batteries.
Explore this section
Each page below digs deeper into one aspect of tariffs. Start with “What is a tariff?” if this is all new, or jump straight to the tariff type you want to understand.
What Is a Tariff?
It's not a tax and it's not a government charge — it's the pricing structure your retailer uses.
Learn more →Flat Rate
One price per kWh, all day, every day. The simplest tariff to understand.
Learn more →Time-of-Use
Price varies by time of day — cheap overnight, expensive during the evening peak.
Learn more →Controlled Load
A separate circuit at a much cheaper rate, usually for electric hot water.
Learn more →Demand Tariff
An extra charge based on the highest kW draw you hit during a billing period.
Learn more →EV & Flexible Tariffs
New tariff types emerging for EVs, batteries, and wholesale pass-through.
Learn more →Which Tariff Suits You?
A simple decision guide matching your household to the right tariff structure.
Learn more →At a glance
Each card below shows a different pricing structure. The shape tells you how the price behaves across the day — understand the shape and you’ll know whether a plan suits your household.
Flat rate
SimplestSame price, all day
One c/kWh rate regardless of when you use electricity. Easy to understand, but no reward for shifting usage to quieter times.
Time-of-use
Most commonPrice changes by time of day
Cheaper overnight and midday, expensive during the evening peak. Rewards households that can shift loads like EVs, hot water and laundry.
Demand
AdvancedNormal usage charge + your highest peak matters
An extra charge based on the maximum kW you draw at any one time. Running many heavy appliances simultaneously costs more than spreading them out.
Controlled load
Add-onSeparate circuit at a cheaper rate
A separately metered circuit (usually hot water) that the distributor switches on only during off-peak hours, in exchange for a much lower c/kWh rate.
How they compare
| Tariff | Best for | Watch out for |
|---|---|---|
| Flat | Households that can’t easily shift usage, or want simple billing | No savings for off-peak behaviour — you pay the same rate at 2am as at 6pm |
| Time-of-use | Solar owners, EV owners, anyone who can shift laundry / hot water / dishwashers | Heavy evening usage gets expensive fast — only helps if you actually shift loads |
| Demand | Households willing to stagger heavy appliances to keep peak kW low | One bad evening (EV + AC + oven at once) can set a high demand charge for the month |
| Controlled load | Any home with electric hot water on a separate meter | Not every home has the separate wiring — check with your distributor |
| EV / Flexible | Tech-savvy households with EVs, batteries, or smart home setups | Newer and less widely available — requires active management or automation |
Which tariff suits you?
There’s no single “best” tariff — it depends on your household’s size, schedule, solar, and willingness to shift loads. A good starting point:
- No solar, can’t shift much? A flat rate keeps things simple and predictable.
- Solar or EV, flexible schedule? Time-of-use rewards you for running heavy loads during cheap windows.
- Battery or very disciplined about staggering? A demand tariff can save money if you keep your peak kW low.
- Electric hot water? Ask your distributor whether a controlled load circuit is available — it’s almost always worth it.
- EV, battery, or smart home? Look into newer flexible or wholesale pass-through tariffs for the biggest savings — if you’re comfortable with variable pricing.
For a more detailed walkthrough, see our Which Tariff? decision guide. Or compare your options on the government’s Energy Made Easy site, and check your current tariff type on your bill or plan documents before switching.
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