EWOSA News - January 2026

The Australian Energy Market Commission (AEMC) has released a draft review of electricity pricing, proposing reforms to improve fairness, competition and transparency as the energy market continues to evolve.

Australia’s energy system is changing rapidly, with more households adopting solar, batteries and electric vehicles, and more people switching from gas to electricity. At the same time, retailers are introducing increasingly complex products and pricing structures. While these developments can benefit consumers who can invest in new technologies or actively manage their energy use, they also make it harder for many households to understand their bills and compare offers. The AEMC warns that without changes to network tariffs, consumers who are less able to invest in new technologies risk paying a disproportionate share of network costs.

A key focus of the draft report is harnessing competition to deliver better outcomes for customers who do not actively engage with the electricity market. The AEMC recommends requiring retailers to charge the same price to all customers on the same plan, addressing the “loyalty tax” paid by customers who do not regularly shop around. It also proposes a model in which retailers would compete to supply customers who have not actively chosen a market offer, placing downward pressure on standing offer prices.

The Commission also recommends upgrading Energy Made Easy to better reflect emerging products. On the network side, it proposes reforms to tariff design to support a lowest-cost grid, fairer cost sharing and more flexible retail offers.

The AEMC is seeking feedback on the draft recommendations, with submissions closing on 13 February 2026. EWOSA is preparing a joint submission with other energy ombudsman offices to provide input.

The Australian Energy Regulator (AER) has released a consultation paper as part of its Retail Guidelines Review, seeking stakeholder feedback on opportunities to refresh and combine four existing retail guidelines to better reflect how the energy market works today and to improve customer outcomes.

The consultation focuses on consolidating the Benefit Change Notice Guidelines, Better Bills Guideline, Customer Hardship Policy Guideline and Retail Pricing Information Guidelines into a more user-friendly single document. This is designed to reduce duplication, simplify regulatory obligations for providers and help customers better understand energy plans, bills and assistance.

The paper seeks stakeholder views on a set of priority areas where the guidelines could be strengthened:

• Improving retail communications so that bills and plan information are easier for consumers to understand
• Managing increasing complexity by ensuring information about complex plans is clear and tailored to consumers’ needs.
• Making it easier to find a better offer, including clarifying “better offer” messages, expanding where they appear and defining a consistent approach for all customers.
• Improving price transparency, such as clearer fees and charges and better information for embedded network customers.
• Improving payment assistance information by strengthening hardship policy guidance and helping eligible customers access concessions and rebates.

EWOSA provided a joint submission with other energy and water ombudsman on a consultation paper in December 2025. Draft guidelines are expected to be published for feedback in April 2026.

For years Jung-Hee* had been getting the Medical Heating and Cooling Concession and other rebates to help with her household energy bills. But one day, these rebates ceased and were no longer applied.

She didn’t notice this until she moved house and closed her old account. When she asked about it, her provider said they couldn’t apply the missed rebates to her final bill.

When she started getting debt collection threats, she lodged a complaint with EWOSA. We worked with Jung-Hee, her energy provider, and Concessions SA to investigate the issue. We found that the provider had incorrectly assessed Jung-Hee as ineligible for the rebates due to a breakdown in communication with the Department of Human Services.

We confirmed that Jung-Hee was eligible and informed her energy provider, who promptly credited the $1,800 in missed rebates to her accounts.

*Names have been changed

Hot, dry summer weather often leads to higher energy use to keep homes cool and increased water use to maintain gardens. With bills under pressure, even small changes can help reduce costs.

The Commonwealth Government has recently released a guide to saving energy over summer, with practical advice ranging from free actions households can take right now, to low-cost improvements and longer-term investments to improve efficiency.

SA Water also provides a range of practical tips to help households reduce water use both during summer and throughout the year. These include simple actions such as taking shorter showers, matching washing machine load settings to what you are washing, only running the dishwasher when it is full, and watering gardens outside peak evaporation times.

In addition, the SA Water website offers tools to help consumers better understand their water use, including an online calculator to estimate household consumption and a short video on improving water efficiency at home.

The Australian Government’s Department of Climate Change, Energy, the Environment and Water (DCCEEW) has released a new online guide to electrification to help households plan their move from gas to electric appliances.

Electrification – replacing gas-powered systems with electric alternatives – can help households lower their energy bills, cut emissions, and improve indoor air quality. Going all-electric in key areas such as hot water, heating and cooling, and cooking can save hundreds of dollars a year, with even greater savings for homes with solar and battery storage.

Their online resource outlines the benefits of going all-electric, practical steps to plan your transition, and available rebates and assistance programs.

Visit energy.gov.au to learn more about how to electrify your home and explore other useful household energy resources.