Victorian Default Offer

The Victorian Default Offer, introduced by the Victorian Government on 1 July 2019, is a simple, trusted and reasonably priced electricity option that safeguards consumers unable or unwilling to engage in the electricity retail market.

Every Victorian household and small business (with the exception of embedded network customers) can now ask for a default offer, or can use it to compare against offers to ensure they’re getting value for money on electricity.

Electricity retailers must make the Victorian Default Offer available to customers who request it. Electricity retailers may continue to offer customers contracts that differ from the Victorian Default Offer, through market offers.

How the Victorian Default Offer is set

The price of electricity under the Victorian Default Offer is based on our advice, and is not set by energy companies. Most customers on a standard contract (or standing offer) will now receive the Victorian Default Offer. Electricity retailers may continue to offer customers contracts that differ from the Victorian Default Offer, through market offers.

To see how we developed advice to government about the Victorian Default Offer tariffs that apply from 1 July to 31 December 2019 visit our Electricity and gas retail markets review implementation 2018 (Victorian Default Offer) page.

From 1 January 2020, we will determine the tariffs that your electricity retailer charges you if you are on the Victorian Default Offer.

Our determination will be made under the legislative framework for regulation of standing offer prices, established by the Victorian Government on 30 May 2019 by the Governor in Council Order. The order was made under section 13 of the Electricity Industry Act 2000 and published in the Government Gazette.

Prices from 1 July 2019 to 31 December 2019

The below prices apply for the Victorian Default Offer for the period 1 July 2019 to 31 December 2019.

The Victorian Default Offer includes a daily supply charge as well as a usage charge (per kilowatt hour). Differences in tariffs across distribution zones reflect the unique costs of providing electricity services in each area.

If you're not sure which distribution zone you're in, you can look it up on your electricity bill or view more information on the Victorian Government's energy website. 

Estimated annual bill for domestic customers (based on low/medium/high usage, GST inclusive)

Default offer for domestic customers (GST inclusive)

Default offer for small business customers with consumption less than 40 MWh per year (GST inclusive)

How does this affect me?

If you are a domestic or small business customer on a flat tariff standing offer or a domestic customer on a flat tariff with controlled load standing offer contract, you should have begun receiving the Victorian Default offer from 1 July 2019.

If you are a customer on a market offer, you may request to be moved on to the Victorian Default Offer tariffs. Since 1 July 2019 electricity retailers have been required to calculate any discounts from the Victorian Default Offer tariff, known as the reference price.

If you are a domestic or small business customer on a non-flat tariff standing offer, from 1 January 2020 your tariff will be regulated by our Victorian Default Offer price determination. For more information on how our proposed approach, see our current review.

Got a question?

Contact us for more information.