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Energy supply and pricing
Queensland's fast-growing population, economy and powerful industrial base require an increasing supply of energy in all parts of the state. More people, more air conditioners and more industry and development across the state means Queensland's energy needs will continue to rise.
Understanding Queensland's energy market, including how electricity and gas prices are set, will help you choose an energy supplier for your business. It will also help you understand your energy bill and your rights as an energy consumer.
This guide provides an outline of gas and electricity supply and pricing in Queensland.
Your gas supply
Your gas retailer—the business that sends your bill—is different to the business that delivers gas to your business via the pipeline networks. Your distributor owns and operates the pipelines and also inspects, tests, repairs, replaces and maintains them.
Not all areas have natural gas distribution networks. To find out if gas is available to your property, phone the APA Customer Connections Line on 1300 001 001, visit the Australian Gas Networks website or contact one of the distributors listed below.
Reticulated natural gas distributors
An interconnected gas pipeline network to link Queensland, New South Wales, Victoria, South Australia, Tasmania and the ACT.
Australian Gas Networks supplies the Brisbane CBD, northern suburbs of Brisbane, Ipswich, Gladstone, Rockhampton, Bundaberg, Maryborough and Hervey Bay.
- Faults and emergencies: 1800 898 220
- General enquiries: 1800 001 001
Allgas Energy (part of the APA Group) supplies the southern suburbs of Brisbane, Gold Coast, Toowoomba and Oakey.
- Faults and emergencies: 1800 427 532
- General enquiries: 1300 001 001
Maranoa Regional Council operate a small gas distribution network in Roma.
- Contact 1300 007 662 for gas emergencies and press 1 (one).
Western Downs Regional Council operate a small gas distribution network in Dalby.
- Contact 1300 268 624 for emergencies including after hours.
Gas safety
Unsafe use of gas and accidents involving energy infrastructure can have serious consequences. If you are excavating on a property with underground gas pipes, you must be aware of your safety obligations.
- Learn more about digging near pipes or cables, and find out how you can lodge a free enquiry about your excavation work.
- Report problems such as loss of supply directly to your gas distributor. Dial 000 to report an accident resulting in damage to pipelines causing a safety concern for residents.
- Find more information about gas safety.
Gas prices
Since the introduction of full retail competition, the price of reticulated natural gas in Queensland has been deregulated. This means retailers are responsible for setting prices for their customers.
The final price paid by gas customers includes a range of different costs, including:
- the cost of the gas
- the cost of transporting the gas along transmission and distribution pipelines to individual customers
- retail costs.
You can compare electricity and gas prices using the Energy Made Easy website.
Changes to gas prices
From 1 July 2015, retailers must provide customer market offer information to the Australian Energy Regulator, which will appear on the Energy Made Easy website.
If the change is an increase in prices, under the National Energy Retail Law 2010 the retailer is required to:
- publish a notice on its website at least 10 business days before the new price takes effect
- send the price notice to affected small customers with their next bill.
Your electricity supply
Electricity customers in Queensland generally buy their electricity from retailers. However, if you lease an industrial or commercial property, you might be getting your electricity through an 'embedded network'.
Electricity distributors own and operate the poles and wires that deliver electricity to individual homes and businesses.
The distributors are also responsible for trimming trees, reading meters, the safety of their networks, dealing with emergencies such as lines down, and restoring power after outages. If you have problems with your electricity supply, such as power interruptions, you should contact your distributor.
Queensland's electricity distributors
Queensland has over 229,339 industrial and commercial retail customers of electricity. These consumers are serviced by:
- Energex – supplies electricity to customers in South East Queensland
Phone 13 12 53 - Ergon Energy – supplies electricity to rural and regional Queensland
Phone 13 10 46 - Essential Energy (formerly Country Energy) – a New South Wales energy distributor, which supplies area in and around Goondiwindi, close to the Queensland – New South Wales border
Phone: 13 23 91
Electricity prices
Population growth, an ever-increasing demand for energy and the need to expand and upgrade Queensland's electricity infrastructure are among the many factors that impact on the cost of electricity.
Electricity prices
South East Queensland
Retail electricity prices in South East Queensland (SEQ) were deregulated on 1 July 2016. Electricity prices in SEQ are now determined by electricity retail providers, with customers able to choose between standard retail contracts and competitive market retail contracts.
This means that in SEQ, the Queensland Competition Authority no longer regulates retail electricity prices for small business customers (those consuming less than 100 megawatt hours (MWh) per year). Instead, retailers will publish their contract offers online and on the Australian Energy Regulator's independent price comparison website Energy Made Easy, where small business customers can search and compare available offerings.
On 1 July 2019, the Australian Government introduced the 'default market offer' which is set by the Australian Energy Regulator each year. This is a tool for ensuring that standard retail contracts are set no higher than this rate and thus allow consistency when compared with market offers which are generally at a discount but may be at a premium to a retailer’s standard retail contract.
Retail prices for large customers (those consuming 100MWh or more per year) in SEQ have been deregulated since 2012.
Find out how to start electricity shopping and start saving now.
Regional Queensland
Regulated retail electricity prices are still broadly available apply to small business customers (those using less than 100MWh per year) in regional Queensland and are set annually by the Queensland Competition Authority.
Small businesses can switch to a market retailer and choose a market retail contract where available. They can also ask their market retailer to switch them to the retailer's standard retail contract and they will then be charged the notified prices, just like Ergon Energy Retail customers. Small businesses have the option to return to Ergon Energy Retail.
Large business customers in regional Queensland can also access regulated prices provided they are, and remain, customers of Ergon Energy Retail. Once a large business switches to a market retailer, it (or any future customer at that premises) cannot return to Ergon Energy Retail.
Also, customers at the premises will not be able to access regulated prices from the market retailer unless the site is reclassified as a small business premises (usage less than 100MWh per year) by the electricity distributor, Ergon Energy Network. However, the incumbent market retailer (also known as the financially responsible market participant) is obliged to supply electricity on fair and reasonable terms to large business customers, and for small business customers on terms equivalent to the notified prices set by the Queensland Competition Authority.
If Ergon Energy Retail is prohibited from selling electricity to a premises, Ergon Energy Network can advise customers of the responsible incumbent market retailer.
How electricity costs affect prices
The price you pay for electricity is made up of:
- generation costs – creating electricity at a power station
- transmission costs – to build and maintain the state's network of high voltage powerline infrastructure
- distribution costs – to build and maintain the network of low-voltage poles and wires that deliver electricity to homes and businesses
- retail costs – connecting customers, billing customers and managing their accounts
- green scheme costs – costs associated with the Australian Government's Renewable Energy Target
- metering costs – providing, maintaining and reading customer meters and managing meter data.
Regional support
The Queensland Government supports regional Queenslanders, ensuring they pay similar prices for their electricity as customers in South East Queensland. This is done by subsidising additional costs involved in supplying electricity to regional Queenslanders through payments to Ergon Energy Retail. This subsidy is called the Community Service Obligation (CSO) payment. Similar arrangements are in place for Origin Energy customers in the Goondiwindi-Texas area of the Essential Energy network. For 2023–24, the Queensland Government subsidy supporting Ergon Energy Retail customers, and Origin Energy customers in the Goondiwindi–Texas area, is budgeted at about $541 million.
Charges for metering services
South East Queensland
In South East Queensland, charges for digital meters are not regulated. If your electricity retailer proposes to replace a working meter, they are legally required to inform you of any upfront charges for the installation of a digital meter and what those charges will be.
Contact your retailer for more information before the installation of a new meter.
Regional Queensland
Customers on market contracts
For regional small business customers on market contracts, charges for digital meters are not regulated. If your electricity retailer proposes to replace a working meter, they are legally required to inform you of any upfront charges for the installation of a digital meter and what those charges will be.
Contact your retailer for more information before the installation of a new meter.
Customers on regulated (notified) prices
The cost of metering is included in the notified prices and is additional to the regulated retail electricity tariffs regulated by the Queensland Competition Authority. Metering service charges are included in the daily supply charge and no longer appear as a separate charge on your electricity bill. All new or replacement meters must be an advanced digital meter (digital meter).
Digital metering (for meter types 1–4) charges for large regional customers on a standard retail contract with Ergon Energy Retail (or Origin Energy in the Goondiwindi-Texas area) are also regulated by the Queensland Competition Authority. Charges vary depending on the customer classification.
Contact your retailer for more information about metering charges.
Also consider...
- Learn more about the regulated retail electricity prices for regional Queensland businesses.
- Find out more about how you can save on electricity in SEQ.
- Search and compare electricity retailer offers through Energy Made Easy.
- Read about energy efficiency for farmers and irrigators.
Choosing your electricity or gas retailer
Business customers in South East Queensland, are free to choose their energy provider.
This includes customers who obtain their electricity through an 'embedded network' operated by their landlord or the owner of their building.
Regional large business customers (using 100 megawatt-hours (MWh) or more per year), particularly those on the east coast, may also be able to find competitive market offers.
Small businesses can compare electricity and gas prices using the Energy Made Easy website.
Checklist for shopping around
- Identify which pieces of equipment use the most electricity and when you use that equipment. Once you know this information you can use it to help guide what you are looking for in an electricity offer that might suit your needs, and you can check:
- billing periods
- charging structures, for example are the charges ‘anytime’, different depending on the time of use, include charges for the rate of use or demand
- payment options
- fixed terms
- discounts.
- Small business customers can shop around for a better deal with Energy Made Easy. Compare:
- What are the prices?
- Is there a discount?
- If so, what is the discount applied to?
- Are discounts or prices conditional (e.g. bills must be paid on time, received electronically, paid by direct deposit)?
- Is the contract for a fixed period?
- What happens at the end of the period?
- When does it expire?
- Does it have exit fees?
- Ask your current retailer for a better deal, especially if you are on a standard retail contract.
- Switch and save if you find a better deal. In most cases, you are entitled to a 10-day cooling-off period in case you change your mind.
Contact retailers directly if you have questions about:
- the contract, bill or the prices you pay
- payment options
- purchasing green electricity
- disconnection or reconnection
- solar power feed-in tariff, if applicable.
Alternatively, you can hire an energy broker to find a good deal on your behalf. This is recommended for large business customers using 100 MWh or more per year that do not have in-house capability. Ask the broker whether they receive commissions and other incentives from electricity retailers.
Protections are in place to help all customers with disputes.
Also consider...
- Read about electricity consumer rights and complaints.
Embedded networks
If you lease an industrial or commercial property, you might be getting your electricity through an 'embedded network'.
In an embedded network, the building or site has a single connection point to the electricity grid. Electricity is then distributed to occupants using the site's internal network.
The site owner (or the building manager) owns and runs this network. They would generally bulk-buy electricity from an electricity retailer and 'on-sell' this to the occupants.
Each occupant usually has a sub-meter installed to measure their electricity use. The site owner will charge you for:
- the amount of electricity you use (i.e. the 'peak usage' or 'kilowatt-hour' charge, and the 'demand charge' if that also applies)
- a share of the distribution charges the site owner pays to their retailer for connection to the grid (the 'supply charge')
- a share of the electricity used in the building's common areas.
Customer choice of electricity supplier
Customers connected to embedded networks have the right to either get electricity (the kilowatt-hour component) from the site owner or from a preferred authorised electricity retailer, providing that retailer is willing to make an offer. Even if you get electricity from your preferred retailer, you may still have to pay a supply charge to the site owner for the use of electricity infrastructure.
Regional Queensland customers can also choose their own electricity retailer, but only if that retailer is willing to make an offer.
Switching electricity suppliers
If you're thinking of switching to a retailer, here's what you should do:
- Ask your site owner or manager whether your meter is suitable and about any possible technical issues. Meters installed after 1 January 2012 are likely to be suitable – if not you’ll need a new meter.
- Compare electricity deals, including the offer from your current electricity retailer. Small businesses, those using less than 100 megawatt-hours of electricity per year, can compare and choose available electricity deals offered by any electricity retailers using Energy Made Easy.
- Talk to electricity retailers and make sure you tell them you're in an embedded network. Ask them:
- the cost to install a new meter, if needed
- their best 'energy only' offer (excluding the network supply charge).
Your energy rights
Whether you buy electricity from an authorised electricity retailer or the site owner, you have access to a range of consumer protections.
Remember, you are not locked into any agreement for electricity supply with the site owner and can choose to move to an electricity retailer if you want to, providing the retailer is willing to make an offer.
You are entitled to 10 days, the ‘cooling off’ period, to change your mind after signing the contract. You can go back to your site owner if you’re not happy with your new retailer. Just contact your retailer and site owner to make arrangements. Exit fees and early termination fees in Queensland are capped at $20.
If you want to install a solar or battery system, you'll need the permission of the site owner.
Also consider…
- Compare energy offers at Energy made easy.
- Find out more about changes to embedded network rules.
- Find out about your electricity consumer rights and how to make a complaint.
Dispute resolution and consumer protection
Queensland's energy laws ensure that all customers have access to essential electricity and gas supplies on fair and reasonable terms.
Your electricity rights
Small business customers can use the Energy Made Easy price comparison website to research and evaluate products and services offered by electricity retailers.
All electricity retailers must provide the same information about their electricity offers in the same format. This is called an 'energy price fact sheet'.
For small business customers (consuming less than 100 megawatt hours (MWh) per year), electricity retailers have to:
- tell you about any flexible payment options up front
- give at least 10 business days' notice of any price increases (for customers in South East Queensland and market contract customers in regional Queensland)
- give 20 business days’ notice before any discounts (or other benefits) expire or change (customers on market contracts only)
- let you make regular, advance payments if you choose
- offer assistance if you're finding it difficult to pay your bill
- tell you about concessions and rebates in disconnection warning notices
- give you advanced notice about planned retailer interruptions to supply (electricity distributors must also give you advanced notice about planned distributor interruptions to supply).
Electricity retailers are not allowed to:
- charge more than $20 if you want to switch providers
- charge upfront fees for meter tests.
Dispute resolution
If you have a dispute with your energy supplier (retailer or distributor), first contact the company and try to resolve the matter directly.
Contact your retailer or embedded network owner if you have questions about:
- your contract
- charges on your bill
- disconnecting or reconnecting your service
- your customer classification.
Small customers
The Energy and Water Ombudsman Queensland (EWOQ) can help small businesses (using less than 160 MWh of electricity or 1 terajoule of gas per year) resolve disputes with an energy retailer or distributor.
EWOQ provides a free, fair and independent dispute resolution service.
- Contact EWOQ or phone 1800 662 837.
Embedded network customers
If you are unable to resolve your billing dispute with your embedded network owner, there are a range of dispute resolution services available, depending on your situation.
- Contact the Office of Fair Trading for further information and advice about your consumer rights.
- Contact the Queensland Civil and Administrative Tribunal for mediation services for debt disputes.
Also consider...
- Read about embedded networks and your energy rights.
© The State of Queensland 1995–2024
- Last reviewed: 08 Sep 2021
- Last updated: 08 Sep 2021