{"id":108459,"date":"2026-01-05T11:30:00","date_gmt":"2026-01-05T00:30:00","guid":{"rendered":"https:\/\/en.econostrum.info\/au\/?p=108459"},"modified":"2026-01-04T23:10:50","modified_gmt":"2026-01-04T12:10:50","slug":"electricity-trick-costing-millions","status":"publish","type":"post","link":"https:\/\/en.econostrum.info\/au\/electricity-trick-costing-millions\/","title":{"rendered":"The Electricity Trick Costing Australians Millions \u2014 Without Them Knowing"},"content":{"rendered":"\n<p>Australians are being warned to look more closely at their electricity bills. Behind the confusing mix of tariffs and discounts, some energy retailers have been quietly shifting customers onto pricier plans \u2014 often without their clear consent. What seems like a small change in paperwork is costing households far more than they realise.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Electricity Plans Under Scrutiny<\/h2>\n\n\n\n<p>An investigation by <a href=\"https:\/\/www.theage.com.au\/national\/beware-energy-plans-chosen-by-your-retailer-this-trickery-is-filching-hundreds-of-millions-20251231-p5nqzl.html\" target=\"_blank\" rel=\"noopener\">The Age<\/a> found that many energy retailers are automatically transferring customers to new plans once their old ones expire. It sounds harmless enough \u2014 until you notice the bill. These new plans often come with higher daily supply charges, smaller discounts, or variable rates that quickly add up.<\/p>\n\n\n\n<p>Consumer advocates say this quiet form of \u201c<em>plan switching<\/em>\u201d has become a common tactic. While technically allowed under current rules, it undermines trust and transparency. Many customers never receive clear notice of the change or don\u2019t understand what it means. By the time they realise, they\u2019ve been paying more for months.<\/p>\n\n\n\n<p>The Australian Energy Regulator (<a href=\"https:\/\/www.aer.gov.au\/\" target=\"_blank\" rel=\"noopener\">AER<\/a>) has received multiple complaints and is reviewing whether retailers are complying with consumer protections. The regulator warns that vulnerable customers, including older Australians and renters, are most at risk because they rarely check or compare plans.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"550\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Beware energy plans chosen by your retailer: This trickery is filching hundreds of millions <a href=\"https:\/\/t.co\/F5CiZZQpMG\">https:\/\/t.co\/F5CiZZQpMG<\/a><\/p>&mdash; \ud83d\udc00 Senior Junior \ud83d\udc00 (@TabularasaMMXIX) <a href=\"https:\/\/twitter.com\/TabularasaMMXIX\/status\/2007659565240988021?ref_src=twsrc%5Etfw\" target=\"_blank\" rel=\"noopener\">January 4, 2026<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">Hundreds of Millions Lost to Inertia<\/h2>\n\n\n\n<p>According to estimates from the Australian Energy Council (AEC), Australians lose hundreds of millions of dollars each year because of \u201cinertia pricing\u201d \u2014 when people stick with outdated or higher-cost plans instead of shopping around. Energy companies know that many customers rarely switch, and that loyalty, ironically, costs them more.<\/p>\n\n\n\n<p>The system was meant to reward competition, but the reality has often been the opposite. The sheer complexity of energy offers \u2014 with discounts, conditional rates, and confusing terminology \u2014 makes it hard for people to know whether they\u2019re getting a fair deal.<\/p>\n\n\n\n<figure class=\"wp-block-image alignnone wp-image-108460 size-large\"><img decoding=\"async\" width=\"1133\" height=\"800\" src=\"https:\/\/en.econostrum.info\/au\/wp-content\/uploads\/sites\/7\/2026\/01\/678859f5e508466a3f1f2346_AEC-logo-sign-mock-1133x800.jpg\" alt=\"Electricty \" class=\"wp-image-108460\" srcset=\"https:\/\/en.econostrum.info\/au\/wp-content\/uploads\/sites\/7\/2026\/01\/678859f5e508466a3f1f2346_AEC-logo-sign-mock-1133x800.jpg 1133w, https:\/\/en.econostrum.info\/au\/wp-content\/uploads\/sites\/7\/2026\/01\/678859f5e508466a3f1f2346_AEC-logo-sign-mock-380x268.jpg 380w, https:\/\/en.econostrum.info\/au\/wp-content\/uploads\/sites\/7\/2026\/01\/678859f5e508466a3f1f2346_AEC-logo-sign-mock-520x367.jpg 520w, https:\/\/en.econostrum.info\/au\/wp-content\/uploads\/sites\/7\/2026\/01\/678859f5e508466a3f1f2346_AEC-logo-sign-mock.jpg 1200w\" sizes=\"(max-width: 1133px) 100vw, 1133px\" \/><figcaption class=\"wp-element-caption\">Logo of the Australian Energy Council<\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">&nbsp;<\/h2>\n\n\n\n<h2 class=\"wp-block-heading\">Pressure for Change<\/h2>\n\n\n\n<p>Consumer groups like Choice and<a href=\"https:\/\/en.econostrum.info\/au\/gas-ban-sparks-debate\/\" target=\"_blank\" rel=\"noopener\"> Energy Consumers<\/a> Australia are urging regulators to go further. They want rules requiring retailers to highlight cheaper plans directly on customer bills and to make any plan change strictly opt-in. Currently, companies can roll customers into new contracts automatically, as long as they\u2019ve issued a notice.<\/p>\n\n\n\n<p>Some states have already introduced \u201c<em>best offer<\/em>\u201d obligations, forcing retailers to show customers whether they could save by switching. But advocates say that\u2019s not enough \u2014 the information is often buried in small print or digital notifications that many never open.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What You Can Do<\/h2>\n\n\n\n<p>Experts advise households to check their plan at least once a year, using official comparison tools rather than relying on retailer offers. Even a small adjustment \u2014 like moving to a fixed-rate plan or removing unnecessary add-ons \u2014 can lead to real savings.<\/p>\n\n\n\n<p>With energy prices still high, every bit of vigilance helps. In a market built on complexity, paying attention may be the simplest way to stop your electricity bill from creeping higher month after month.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Australians are urged to stay alert as energy retailers face scrutiny over billing practices that may be quietly increasing electricity costs for customers.<\/p>\n","protected":false},"author":14,"featured_media":108461,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[],"class_list":["post-108459","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-energy","generate-columns","tablet-grid-50","mobile-grid-100","grid-parent","grid-33","no-featured-image-padding"],"_links":{"self":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/108459","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/comments?post=108459"}],"version-history":[{"count":1,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/108459\/revisions"}],"predecessor-version":[{"id":108462,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/posts\/108459\/revisions\/108462"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media\/108461"}],"wp:attachment":[{"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/media?parent=108459"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/categories?post=108459"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/en.econostrum.info\/au\/wp-json\/wp\/v2\/tags?post=108459"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}