Hundreds of thousands of Aussies are set to save almost $200 as energy provider slashes its prices - here's how to find out if you're due for a discount
Hundreds of thousands of Australians are set to save nearly $200 on their utility bills as one of the country's largest's energy providers slashes its energy prices during the Christmas break.
Origin Energy will cut their prices by an average of 11 per cent from January 1 for 500,000 homes they service in Victoria.
Victorians who are on one of the provider's variable rate plan will save $186 in 2021 as a result of the significant price cuts.
Business owners suffering through the COVID-19 pandemic will save $576 next year with Origin thanks to a 13 per cent cut to the small business variable rate.
500,000 homes in Victoria serviced by Origin Energy will cut their prices by an average of 11 per cent on January 1. File image pictured of solar panels in Melbourne
The offer, a low-priced energy rate set by the state government, will also be cut by 10 per cent from January 1 - affecting 125,000 households.
The Victorian Essential Services Commission said the price reduction had been prompted by fall in overall network costs over the past year.
An estimated 40,000 business owners will see their energy bills drop by $916 because of the reduction in the default price.
Other providers have yet to announce changes to their energy prices, but the change could signal widespread rate reductions across Australia.
All Victorian energy providers must offer the default rate to customers who request it.
Origin will though raise its prices for natural gas by 2.7 per cent for households and 4.2 per cent for small business customers.
The rise in gas prices will cost homeowners $34 extra in 2021.
Essential Services Commission said the drop in state-regulated prices would affect 140,000 customers in networks like apartment buildings and caravan parks.
Origin executive retail general manager Jon Briskin said the changes would bring 'some welcome hip-pocket relief' to struggling Victorians.
The regulated default offer in Victoria - a low-priced rate set by the state government - will also fall by 10 per cent in a welcome reprieve for those struggling through the COVID-19 pandemic
'Following what has been an incredibly difficult year, it is good to be able to pass on lower electricity prices for our Victorian customers,' he said.
'Prices are falling due to a significant reduction in wholesale electricity costs and network costs, which make up a large share of a customer’s bill.'
Last month, the NSW government announced a groundbreaking renewable energy plan to create more than 9000 jobs and save families up to $130 on their bills.
The state road map, which will reveal the best ways to deliver renewable energy zones, energy storage and on demand supply, is expected to generate an estimated $32billion in private investment.