The Federal government has announced that it will provide another $150 in Energy Bill Relief, extending the energy rebates being provided to eligible individuals and small businesses until the end of 2025.
From 1 July 2025, every household and around one million small businesses will see another $150 in rebates automatically applied to their electricity bills in quarterly instalments, on top of the previous rebates already being rolled out to Australian households and small businesses.
The Government hasn’t yet released information about the eligibility criteria for small businesses.
Treasury estimates this will directly reduce headline inflation by around half of a percentage point in 2025, and reduce household bills by 7.5 per cent on average nationally, compared to bills without the extension, benefiting every household and small business in the country. It is also estimated that the extension of energy bill rebates will cost $1.8 billion over the forward estimates.
Recent data from the Australian Bureau of Statistics revealed that energy bill rebates that were rolled out in previous periods have helped in reducing electricity prices. In 2024, electricity prices fell 25.2 per cent, but would have fallen just 1.6 per cent without energy rebates.
In a related development, the ACCC’s Inquiry into the National Electricity Market will be extended for 12 months, helping to ensure households and small businesses get a fair deal from their energy retailer.
Altogether, it is expected that the Federal government’s energy reforms will help consumers switch between energy plans to secure the best value for their money, remove excessive fees and charges, and ensure people get the concessions they are entitled to that can help them hundreds of dollars per year.
“We are providing immediate relief on energy bills now while we continue to progress the overdue reform needed to deliver the modern, affordable and reliable energy grid Australians deserve,” the Federal government said in its statement. “Our economic plan is all about finishing the fight against inflation, providing responsible cost of living relief and building a stronger and more productive economy.”
