Compare energy plans in Victoria

Electricity providers we compare in Melbourne and Victoria

Cheapest electricity providers in VIC

Here's a look at some of the cheapest electricity plans in our database for July 2026.

The estimated annual costs are based on a household on the Citipower network using 4,000kWh of electricity a year on a single-rate tariff.

Your actual costs can vary depending on the plan you opt for, how much electricity you use and your distributor.

Cheapest gas providers in VIC

Here's a look at some of the cheapest gas plans in our database for July 2026.

The estimated annual gas prices are based on a typical residential customer on the Australian Gas Networks network using 46,000MJ a year. Your actual bill may be higher or lower depending on your usage.

For providers offering stepped rates, we've included the minimum and maximum values.

How do I choose an energy provider in VIC?

When you're comparing plans, these are the details you need to look for:

• Price vs the Victorian Default Offer. Every electricity plan in VIC must show how it compares to the Victorian Default Offer (VDO), the annual benchmark set by the state's energy regulator each July. It's the easiest like-for-like comparison. We'll go into more detail further in the guide.
• Usage rates and supply charges. Usage charges are the rates you pay for the energy you consume (measured in cents per kWh for electricity and cents per MJ for gas). Supply charges are the daily connection fees you pay regardless of how much energy you use. If your household uses very little energy, a cheaper supply charge can make a bigger difference. For higher-use households, focusing on a lower usage rate is usually more important. For everyone else, the best option is often a balance between the two.
• Sign-up deals and perks. Depending on the provider or plan, you can get sign-up credits, Qantas or Everyday Rewards points, bundling discounts, energy usage tracking apps and more. Just make sure the perks or deals don't come at the expense of higher usage rates or supply charges.
• Read the fine print. Every plan has the Victorian Energy Fact Sheet. It's where the conditional discounts, extra fees and rate-change rules hide. It's worth going through the important details to avoid any unwanted surprises.

Energy plans and tariffs in VIC explained

While comparing discounts and usage rates is helpful, it also pays to understand the type of tariffs available to you.

These will determine how much you're charged for your energy usage.

Victoria was the first state to roll out smart meters to nearly every home, so unlike other states, you can usually access any of these tariffs without a meter upgrade.

Electricity tariffs in VIC

Households in VIC have access to the following tariffs:

• Single rate: You will be charged a single usage rate regardless of the time of day.

• Time of Use: Your usage rates will vary based on peak and off-peak hours. There may also be a separate rate for the 'shoulder period', which falls between peak and off-peak hours. From 1 July 2026, Victoria's default Time of Use pricing also includes a cheaper daytime 'solar soak' period between 11am and 4pm, with peak hours between 4pm and 9pm.

• Demand: Some plans include a demand charge on top of a single rate or Time of Use tariff. This is based on the highest amount of power you use from the grid during peak times. The charge may be calculated daily based on your highest usage over a month, season or year.

• Controlled load: This applies to households with a separate meter for appliances such as electric hot water systems or pool pumps.

• Solar feed-in tariff: Households with rooftop solar can take advantage of plans that feature a feed-in tariff. This will determine how much money you can earn for exporting excess energy to the grid.

Gas tariffs in VIC

There are two types of gas tariffs in VIC, though their availability can vary between providers:

• Flat rate: You'll be charged the same usage rate regardless of the time of day you're using gas, or how much of it you're using.

• Block rate: Your usage rates will change based on consumption. For example, you'll be charged one rate for using 30MJ, another rate for the next 40MJ and maybe a different rate for the next block.

How much does energy cost in VIC?

Every electricity plan in Victoria is measured against the Victorian Default Offer (VDO).

The VDO is a benchmark price set by the Essential Services Commission on 1 July each year.

It's roughly what you'd pay if you never chose a plan, and every other plan has to show how it compares.

So if a plan is listed as 15% less than the VDO, that means the estimated cost is lower than the benchmark.

Victoria has 5 electricity networks, and the VDO is different in each one:

There's no default offer for gas in VIC, so you'll need to compare annual estimates or usage rates and supply charges.

Solar in VIC: feed-in tariffs and the 'solar soak'

Victoria's solar rules are different to the rest of the country, and they changed again this year.

Since 1 July 2025, Victoria no longer sets a minimum feed-in tariff. Retailers set their own rates, and the only rule is that the rate can't go below zero.

Because the grid is flooded with solar in the middle of the day, most flat feed-in rates in VIC now sit at or near 0 cents per kWh.

That doesn't mean solar isn't worth it. It just changes where the value comes from:

• Use your own solar first. Every kWh you use at home is a kWh you don't have to buy at full price. Running the dishwasher, washing machine or EV charger during the day will save you more than any feed-in tariff.
• Look for time-varying feed-in rates if you have a battery. Some retailers pay a higher rate for evening exports, so storing your solar and exporting it after 4pm can still earn you decent credit.
• Don't choose a plan on the feed-in rate alone. A high feed-in rate paired with high usage rates usually works out worse than a cheap plan with an average one.

Don't have solar yet? Solar Victoria's Solar Homes Program offers rebates and interest-free loans for panels, batteries and hot water systems, and these can be combined with the federal battery discount.

Is Victoria getting 3 hours of free electricity?

Victoria is getting its own version of the federal government's Solar Sharer Offer, called the Victorian Midday Power Saver.

From 1 October 2026, retailers with 1,000 or more customers will have to offer an opt-in plan with 3 hours of free electricity between 11am and 2pm every day, when solar generation is at its peak.

You don't need solar panels to sign up, but you do need a smart meter, which nearly all Victorian homes already have.

The Victorian government estimates savings of between $149 and $1,102 a year, depending on how much of your power use you can shift into the free window.

The catch is that rates outside the free window are likely to be much higher than on a standard plan.

It only works out cheaper if you can genuinely shift your heavy usage, like the dishwasher, washing machine, EV charging or pool pump, into those free hours.

Can I get any energy rebates or concessions in VIC?

The federal Energy Bill Relief credits ended on 31 December 2025, so nothing is applied to your bill automatically anymore.

But Victoria has the most generous state concessions in the country.

Most are a percentage off your bill rather than a flat dollar amount, so the discount grows as your bill does.

A couple of things to keep in mind:

• The Winter Gas Concession doesn't apply to the first $62.40 of your bills over the winter period.
• If your usage is very high (over $3,895 a year for electricity or about $2,499 over winter for gas), you'll need to apply for the Excess Electricity or Excess Gas Concession to keep receiving the discount.

Applying is simple: give your provider your concession card details over the phone or when you sign up to a new plan.

Since 1 July 2026, retailers must also take reasonable steps to make sure you're receiving every concession you're eligible for, including helping you apply for grants.

If you're in regional Victoria and rely on LPG, firewood or generator power, you can apply for the Non-mains Energy Concession, worth up to $650 a year.

Separately, the Victorian Energy Upgrades program gives all households, with or without a concession card, discounts on energy-efficient appliances like heat pumps, reverse-cycle air conditioners and induction cooktops.

When's a good time to compare and switch energy plans?

Comparing energy plans isn't anyone's idea of fun, but there are a few moments when it really pays off:

• Your bill says you could be on a cheaper plan. Victorian retailers must run a 'best offer' check on your electricity bill at least every 3 months (4 months for gas). If it shows a cheaper plan, that's an easy saving with your current provider, and a sign it's worth seeing what other providers charge too.
• It's August. Victorian retailers can generally only increase prices once a year, and most do it from 1 August, a month after the VDO changes. The cheapest plan from last winter often isn't the cheapest anymore.
• You've been on the same plan for more than 4 years. Since 1 July 2026, retailers have to check at least once a year that long-term customers are paying a reasonable price. Keep in mind that 'reasonable' doesn't mean 'cheapest', so it's still worth at least once a year.
• Your introductory discount has ended. Many plans revert to standard pricing after the first 12 months, and you won't always notice when it happens.
• You're moving house. With 5 electricity networks in Victoria, the cheapest plan at your current address may not be the cheapest at the new one.
• Your provider announces a price rise. Retailers must notify you before rates go up, which makes it a good time to compare or negotiate.

How do I switch energy providers in VIC?

Switching takes about 10 minutes, as long as the account is in your name:

1. Find a recent bill. It has your usage, your current rates and your meter number, which is everything you need to compare.
2. Compare plans for your postcode. Rates change between networks, so always compare at your own address.
3. Sign up with the new provider. They'll handle the switch and let your old provider know. All you'll receive from your old provider is a final bill.
4. That's it. There's no disconnection or interruption to your supply, and you have a 10-business-day cooling-off period if you change your mind.

The exception is embedded networks, which are common in apartment buildings, retirement villages and caravan parks.

In these cases, the building buys energy in bulk and sells it to residents, so you're often stuck with one energy provider.

The silver lining is that Victoria caps what embedded operators can charge at the VDO, so you're protected from the higher prices embedded customers face in other states.

Frequently asked questions

• What is the average electricity and gas bill in VIC?

  According to Finder's Consumer Sentiment Tracker, the average VIC household pays about $385 a quarter for electricity and $228 for gas.

  These are averages across all household sizes, so treat them as a rough guide.

  Your bills will depend on how many people you live with, whether you heat with gas or electricity, and the tariff you're on.

  You can see how your state compares in our guide to average energy bills in Australia.

• What's the difference between a market offer and a standing offer?

  A market offer is a plan that an energy provider prices competitively to attract customers, and it's almost always the cheaper option.

  A standing offer is the default plan you end up on if you've never switched or your old plan has expired.

  In Victoria, standing offers are priced at the VDO, which is close to the maximum you can be charged on a regulated plan.

• What is the 'best offer' message on my bill?

  At least every 3 months for electricity (and every 4 months for gas), your retailer must check whether it has a cheaper plan for you and print the result on your bill, usually under 'Could you save money on another plan?'.

  The message only appears if you'd save more than $50 a year, so if you see it, the savings are real.

  Just remember, it only compares your current retailer's plans.

  Another provider's best offer could be cheaper again, so use it as a prompt to compare the whole market.

• Will my power be cut off when I switch providers?

  No, as switching only changes the company that bills you.

  The poles, wires and meter stay the same, so there's no disconnection and no one needs to visit your home.

• Do I need to tell my current provider I'm leaving?

  Your new provider notifies your old one, and you'll just receive a final bill.

  Before switching, check whether your current plan has an exit fee. They're rare in Victoria, but some fixed-rate plans have them. Our guide to cancelling your energy contract explains what to look for.

  You also get a 10-business-day cooling-off period after signing up in case you change your mind.

• Is gas or electricity cheaper in Melbourne?

  For most households, electricity now works out cheaper per unit of heat, especially with an efficient reverse-cycle system.

  Victoria has banned gas connections to new homes that need a planning permit, and from 1 January 2027 the ban extends to all new homes.

  That said, it depends on your appliances, how much space you're heating and your rates for each fuel.

  If you have both, compare your electricity and gas plans separately rather than assuming a bundle is the cheapest option.

Written by

Mariam Gabaji

Senior Utilities Editor & Tech Expert

Mariam Gabaji is a journalist with 13 years of experience, specialising in consumer topics like mobile services and energy costs. Her work appears in the ABC, Yahoo Finance, 9News, The Guardian, SBS, 7News, A Current Affair and Money Magazine. Mariam holds a Bachelor of Arts in Journalism and was a finalist for the 2024 and 2025 IT Journalism Award for Best Telecommunications Journalist. See full bio

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