Energy and carbon markets: latest trends in network prices

15 Jun 2012Archived News Climate Change Matters

This article considers the latest trends in network and energy prices, and opportunities to significantly reduce your electricity costs through tariff analysis, planning and renegotiation of your electricity supply contracts.


Increase in network costs

Network costs make up roughly 50% of delivered electricity costs and are regulated by the Australian Energy Regulator. Network tariffs are revised each year on 1 July in all states except Victoria, where revisions occur on 1 January. The table below shows the approximate network increases by state from 1 July 2012 and their total cost impact.


Network Increase

Impact on Total Invoice





10 – 17%

5 – 9%


11 – 15%

6 – 8%








The increases shown are averages across a range of tariffs. In some cases specific sites could see a different increase, or even a decrease in rare cases. Although network prices are regulated, most customers will have a choice of tariff that can be applied to billing.

Energetics can assist by reviewing your portfolio and advising the optimal tariff arrangement for your business. In a tariff optimisation project carried out in June 2011 for one of Energetics’ clients, Energetics identified over $172,000 savings per year for their electricity accounts in just one network area.

The energy market presents both risks and opportunities to your business. Energetics regularly provides market briefings for our clients and can identify opportunities for immediate cost savings. Energetics is happy to deliver a short briefing for your business to help you develop a strategy to minimise your energy costs. 


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