July 1st Ergon Announces 24% Increase!

 

They say there is no more certainty in life than Death, Taxes and Electricity Bills!

The new Ergon Supply Charges from July 1st have just reinforced this? However, there is something in here that could be a game changer!

Let’s cover the Good, Bad and the Ugly!

 

Let’s Cover The Ugly First:

Thousands of us are doing the right thing by installing energy efficient appliances, Airconditioning, LED lights and solar to reduce our power bills. Ergon have made the decision to increase the daily supply charges to cover their overheads and capital expenses. While we understand why they have done this, it still hurts and there is nothing we can do about it.

The Tariff 11 Daily supply charge has gone from $1.36 a day to $1.69 a day (24% increase). What this means is that we are all paying an extra 33 cents a day just to be connected to the grid. This is now at an all-time high of approximately $616 a year.

The Bad:

You would think with this huge increase in revenue from the new daily supply charges that we would see a significant decrease in tariff 11 prices to offset this. Drum roll…. The decrease is only 1 cent. Tariff 11 will still be about 33 cents in 2026. The Solar Feed in Tariff is also reducing from 12.37 cents to 8.69 cents.

The Good:

Solar Soaker Tariff (12 E). This new Ergon Tariff is designed for homeowners who are looking for or already have a battery and solar system.

 

Time of Use Time Rate (per KWH)
Off Peak 11am – 4pm 7.7 cents
Peak 4pm – 9pm 57.3 cents
Shoulder 9pm – 11am 26.3 cents
Daily Supply Charge Per Day $1.48

*Costs include GST

 

 

 

Compare 12E to Tariff 11

Daily Supply Charge – 20 cents a day cheaper ($73 a year)

Off Peak – 11am to 4pm, now this is LITERALLY FREE POWER at only 7.7 cents a KWH and if you have solar it really does make it cheap. The question is how much power you can transfer to this time slot using:

  • Pool Pump Timer
  • Hot Water Timer
  • Dishwasher Timer
  • Washing machine Timer
  • Dryer Timer (come on still use your clothesline )
  • Charge up your Electric Vehicle
  • Turn on your slow cooker
  • Have your Air conditioners on a timer to cool the house down so it is cool when you get home. (but turn off at 4pm)

Peak – 4pm to 9pm, now this is expensive at 57.3 cents although still only 24 cents a KWH more than tariff 11. However, this is when you need to be smart. If you have a battery with 10KWH’s or more this should get most people through this period.

To give you an idea cooking can use up to 3 kWH’s and an Air conditioners up to 4 kWH’s.

But here are some ways to get around this:

  • Delay turning your A/C’s on until 8 or 9pm.
  • Connect your Lounge Room A/C to Tariff 33 if you must (19 cents a kWH)
  • Use a slow cooker so food is cooked before you get home.
  • If you have a gas cooktop this tariff is for you.
  • You could also use your BBQ more.
  • If you have an EV do not charge between 4pm and 9pm.

Shoulder – 9am to 11am, this price is approximately 7 cents a kWH less than tariff 11.

So this makes sense!

Try It Out

What you could do is switch tariffs once a year. If you have a smart meter it is very easy for Ergon to switch tariffs for you from Tariff 11 to 12E. (and it is free the last time I spoke to them). Therefore, if you were worried over Summer that you were going to use too much power with Air conditioning, you could easily switch back to tariff 11 from December to February for example. (Then switch back to 12E in March) But please don’t even consider this tariff 12 E without a Battery for your home.

Take Advantage of the Battery Rebate!

If you don’t have a battery yet for your home, now is the time to take advantage.

The $2.3 billion Cheaper Home Battery Program significantly reduces the cost of a battery and is also not means tested.

The rebates will range from $3,200 to $17,500 depending on the size of the battery and how much usable capacity it has. There has never been a better time to reduce your Energy Bill Day and night, along with having back up power for the next Cyclone Season.

We are urging our customers to reach out immediately if they are wanting a battery for their home or business, as we are expecting a very large uptake and stock shortage as we get closer to the rebate reducing come January 1st.

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