Household standing offer time of use prices will fall by 10.7 per cent across the region, while flat rate offers are down 7.2 per cent. This would see power bills for local families fall by at least $155 in the coming financial year.

Based on the DMO, the maximum a household using 4,300 kWh of power a year could be charged by their provider in 2026-27 if they do not shop around is $1,988, down from $2,143 this year.

Small business standing offer time of use prices are set to fall by 14 per cent, and flat rate offers by 10.4 per cent, meaning a business using 10,000kWh a year would pay at most $3,849 in the next financial year, down from $4,294 this year.

The independent Australian Energy Regulator sets the DMO as a benchmark price for retail market offers to compare against and it acts as a safety net by setting the maximum or ceiling price retailers can charge customers.

Federal Member for Blair Shayne Neumann said these benchmark power price reductions were the largest in the nation and the largest ever fall in Queensland for homes and businesses in the history of the DMO.

“This is a direct result of Australia’s main energy grid reaching over 50 per cent renewable generation for the first time at the end of last year and pushing wholesale energy prices down, which is beginning to flow through to retail prices,” he said.

“It reflects that the Albanese Labor Government’s roll-out of more renewables, like rooftop solar, and battery storage through the Cheaper Home Batteries program, is reducing reliance on unreliable coal and putting downward pressure on power bills.

“There has been huge take-up of batteries in Blair, with well over 2,500 families, businesses and community groups accessing our Cheaper Home Batteries program to save money, and make their homes and businesses more energy efficient.

“This is reducing prices for them, but for everyone, by reducing the reliance on expensive coal and gas in the evening.”

“Of course, we’re now calling on energy retailers to do the right thing and pass these benchmark price reductions on to customers in full.”

The 2026-27 determination is the first under the Albanese Government’s reformed DMO framework designed to better protect customers and deliver a fairer deal for consumers.

The Government’s changes mean the DMO is being rebalanced so households and small businesses on standing offers pay a price that better reflects the actual costs of supplying electricity, making sure people on default plans are not paying for unnecessary retailer overheads.

The determination considers a range of factors including wholesale and network costs alongside the effect of the conflict in the Middle East.

The Government has implemented a range of consumer rule changes which will further help protect consumers.

From 1 July 2026, these new rules will ensure plan benefits last for the whole contract, prevent sneaky price hikes during fixed contracts, ban unfair fees and dodgy discounts, and limit price increases to once a year.

These changes will clamp down on retailers who do the wrong thing, by luring customers in with cheap deals, only to move them onto higher cost plans or impose hidden fees and charges. Households and small businesses alike will be better off under these changes.

Mr Neumann said the Albanese Government was focused on helping local families with the cost of living and backing renewables to bring power bills down.

“The Coalition left Australians with an energy policy mess and opposed cost of living relief when people needed help. Their plan is to stop renewables and household batteries, sweat coal, and leave Australians to pick up the bill of global shocks.

“Here in Queensland, the LNP State Government is trying to extend the life of ageing and expensive coal-fired power stations, and they have called in wind and battery projects, and cut funding for renewables, which is only pushing up energy costs.

“We know energy bills are still too high because when coal breaks down, power bills go up, but this final Default Market Offer shows we are making real progress.”

Background

Under the Default Market Offer, a flat rate offer is when customers are charged the same price for electricity at all times, while time of use is when the price of electricity changes depending on what time you use electricity.