Compare Cheapest Electricity Prices in Victoria

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No one wants to pay more for power than they need to, but if you’re not a savvy energy shopper, that’s exactly what could happen to you. To find the best deal on electricity, you need to understand how the pricing works and what to look for from an energy provider, including the discounts on offer. Sounds like a lot of hard work, doesn’t it? Well, Canstar Blue aims to make sense of the complicated and has produced a cost comparison for electricity retailers in Melbourne, showing their cheapest offers and what you can expect to pay. No gimmicks – just helpful, real costs that show where you can find a better deal.

Everyone in Victoria knows how competitive the local energy market is, but it can be hard to see through all the promotional material and work out if you’re really getting a good deal or not. That’s why we’ve crunched these numbers to show where you can find some of the cheapest electricity rates in Victoria if your home is on the Citipower network and what you need to do to get them. It’s worth noting, however, that there are five electricity distribution networks in Victoria and prices may change depending on where you live.

Based on the cents per kWh of usage costs and daily supply charges of the providers we’ve compared, this page shows estimated annual bills for customers on the Citipower network in Melbourne, compared to the Victorian Default Offer (VDO) as a point of reference. To get a specific quote for your suburb, use our comparison tool below.

Electricity Prices VIC

Here are some sponsored deals from the retailers on our database that include a link to the retailer’s website for further details. These are products from referral partners†. These costs are based on the Citipower network in Melbourne but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area and to see other products in our database that may be available. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.

Here are some of the cheapest published deals from the retailers on our database that include a link to the retailer’s website for further details. These are products from referral partners†. Costs are based on the Citipower network in Melbourne but prices may vary depending on your circumstances. This comparison assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area and to see other products in our database that may be available. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.

Compare Energy Prices in Victoria

In the table below, we compare prices on the Citipower network in Melbourne. We show one product per retailer, listed from the lowest priced estimate first. See here for information on the VDO, which assumes general energy usage of 4000kWh/year, meaning the VDO is $1,336/year for a residential customer on a single rate tariff. Use our comparison tool for a specific comparison. Our database may not cover all deals available in your area, and please check retailer websites for up to date information.

Electricity Provider Electricity Plan Difference from VDO› Conditional Discounts Price Estimate˜
ReAmped Energy Handshake 30% Less Than VDO No conditional discounts $942
QEnergy Mini Me 27% Less Than VDO No conditional discounts $970
OVO Energy The One Plan 22% Less Than VDO $60 online sign-up credit $985incl. conditional discount
Tango Energy Prepay & Save 26% Less Than VDO No conditional discounts $985
Kogan Energy Market Offer 24% Less Than VDO No conditional discounts $1,012
Alinta Energy Home Deal 24% Less Than VDO No conditional discounts $1,013
Lumo Energy Value 23% Less Than VDO No conditional discounts $1,025
Simply Energy Simply Blue Perks 23% Less Than VDO No conditional discounts $1,028
GloBird Energy IdeaSave 21% Less Than VDO 22% Less Than VDO for Paying by Direct Debit $1,046incl. conditional discount
Elysian Energy Power Maximiser 21% Less Than VDO No conditional discounts $1,059
Sumo Sumo Assure 21% Less Than VDO No conditional discounts $1,059
Powerdirect Rate Saver 20% Less Than VDO No conditional discounts $1,070
1st Energy Prepaid Value 18% Less Than VDO No conditional discounts $1,093
Powershop 100% Carbon Neutral 18% Less Than VDO No conditional discounts $1,101
Diamond Energy Everyday Renewable Saver 7% Less Than VDO 16% Less Than VDO for Paying on Time by Direct Debit with e-Billing $1,117incl. conditional discount
Momentum Energy Self Serve 16% Less Than VDO No conditional discounts $1,122
Discover Energy Smart Saver 16% Less Than VDO No conditional discounts $1,124
Origin Energy Home Assist 14% Less Than VDO No conditional discounts $1,144
Energy Locals Online Member 2022 14% Less Than VDO No conditional discounts $1,154
AGL Super Saver 13% Less Than VDO No conditional discounts $1,162
Dodo Market Offer 13% Less Than VDO No conditional discounts $1,164
Powerclub Powerbank Home Flat 12% Less Than VDO No conditional discounts $1,174
EnergyAustralia Total Plan Home 12% Less Than VDO No conditional discounts $1,175
CovaU Super Saver Plus 11% Less Than VDO No conditional discounts $1,188
Red Energy Living Energy Saver 6% Less Than VDO No conditional discounts $1,257
People Energy Victorian Default Offer 5% Less Than VDO No conditional discounts $1,270
Amber Electric Amber Plan Equal to the VDO No conditional discounts $1,336
Energy Fact Sheets

˜Price assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Estimated price includes any conditions discounts that may be available. Pricing based on Citipower network in Melbourne, but prices differ between distribution areas. November 2021.

›The Victorian Default Offer (VDO) includes a daily supply charge and usage charges (per kilowatt hour). Differences in tariffs across distribution regions reflect the unique costs of providing electricity services in each area. The difference between the VDO and the unconditional price of a plan, based on the Victorian Government’s specific annual reference consumption for domestic customers in the distribution region, is expressed as a percentage more or less than the VDO. The terms of any conditional discounts are shown, along with any further difference between the VDO and the discount applied if a condition is met, expressed as a percentage more or less than the VDO.

As you can see from the table above, ReAmped Energy, QEnergy and OVO Energy are currently the cheapest electricity providers in this comparison for Victoria, leading the way from plenty more established providers. It’s worth noting, however, that electricity prices in Victoria can change fairly frequently, so be sure to check back soon. The table above is updated as soon as we’re made aware of any price changes.

Electricity Provider Customer Ratings

About the 3 cheapest deals

Now that the above table has shed some light onto what you can expect to pay for electricity from each provider, it’s time to find out more about the three cheapest plans available in VIC. In the tables below, we compare prices on the Citipower network in Melbourne. We show one product per retailer, listed from the lowest priced estimate first. This quick comparison assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Please use our comparison tool for a specific comparison in your area. Our database may not cover all deals in your area. As always, check all details of any plan directly with the retailer before making a purchase decision.

Handshake (ReAmped Energy)

ReAmped Energy’s Handshake offers customers a low variable rate plan with no exit-fees or contract terms. With flexible billing and payment options, ReAmped provides Victorians with an energy plan that is simple, with no extra frills, and sits competitively in the market.

Mini Me (QEnergy)

QEnergy’s ‘Mini Me’ offers a simple, no frills electricity plan for customers in Victoria. With variable rates and no exit fees, this plan could be a great option for those who are looking for a basic and competitive electricity deal.

The One Plan (OVO Energy)

The One Plan is OVO Energy’s flagship product, offering simple variable rates and no exit fees. Victorians will also receive 10% GreenPower for no extra cost on this plan and the retailer even offers its own version of bill smoothing – meaning customers should pay the same amount for power every month over the course of a year.

Cheapest big three, no discount, discounted, variable and fixed rate plans in Victoria

Sometimes the cheapest possible deal isn’t the right deal for you. Some customers may prefer a specific type of product, which is why we’ve also listed the cheapest plans on our database for customers looking for a specific product type, including plans from the big three, 0% discount plans, discounted plans, plus variable rate and fixed rate plans. These have once again been compared to the VDO.

Product Category Electricity Provider & Plan Difference from VDO› Conditional Discounts Price Estimate˜
Cheapest Big 3 Origin Energy, Home Assist 14% Less Than VDO No conditional discounts $1,144
Cheapest No Discount ReAmped Energy, Handshake 30% Less Than VDO No conditional discounts $942
Cheapest Discounted OVO Energy, The One Plan 22% Less Than VDO $60 sign-up credit $985incl. conditional discount
Cheapest Variable Rate ReAmped Energy, Handshake 30% Less Than VDO No conditional discounts $942
Cheapest Fixed Rate Tango Energy, Prepay & Save 26% Less Than VDO No conditional discounts $985
Energy Fact Sheets

˜Price assumes general energy usage of 4000kWh/year for a residential customer on a single rate tariff. Estimated price includes any conditions discounts that may be available. Pricing based on Citipower network in Melbourne, but prices differ between distribution areas. November 2021.

Fixed vs Variable Rate Plans

Most of the electricity plans listed above come with variable rates, meaning the prices you are charged can be changed at any time. That’s why it’s important to regularly review your power bills, to make sure nothing has changed. However, some retailers also offer fixed rate plans, whereby rates are locked in for a set term and do not change. Traditionally, only the biggest three providers – AGL, Origin and EnergyAustralia – have offered fixed rate plans, but now several others do, like Tango Energy. See our guide to fixed rate power plans to compare your options if you’re interested in a bit more price certainty.

Prepaid Energy Plans

In addition to ‘standard’ fixed and variable rate plans, several energy providers now offer ‘prepaid’ power deals. In this case, customers can purchase a set amount of power in advance for use over the next month, for example. Should they go over their limit, they may need to ‘top-up’ and purchase extra energy, in the same way you might when you go over the data limit of your phone plan.

How to get the best energy discounts

best energy discounts Victoria

Discounts can help slash your energy bills, but they’re no longer the main point of difference when comparing plans. In light of the industry changes that took effect in July 2019, many providers have ditched their discounts in Victoria, instead focusing their efforts on providing lower base rates, thus removing the potential pitfall of missing out on the discount. However, discounts for paying on time and paying by direct debit are still common, although some providers instead add bill credits to their plans as another way to attract attention.

In most cases, discounts will be applied to both usage and supply charges, though some will expire after just the first year or two. So be aware that, if you go for a plan with a discount, you’ll have to remember to check back in with your retailer once the benefit period is up.

Sign-up Incentives

Victorians are inundated with different incentives to try and persuade them to sign up with a particular electricity provider. For example, Lumo Energy has a rewards program called ‘Lumo Rewards’ whereby customers can benefit from discounts at a range of retailers. You can also get money off cinema and theme park tickets, amongst other things. Other providers offer a credit on your first bill when you sign up online, usually a fairly modest $50 or $100. Meanwhile, others try to attract customers based on their hobbies – be it going to the movies, or supporting a sports team. For example, Simply Energy has an energy plan promising ‘free’ movies during the term of the contract.

While these discounts can be appealing, it’s important not to let them dictate your overall decision. This should be made based on a provider’s usage and supply charges, and what you expect to pay when the bill arrives every month or quarter. These incentives can, however, be a very useful point of difference when comparing similar offers.

VIC Electricity Rates Example

Electricity rates in Victoria can change regularly, and as in most states, energy bills can vary by hundreds of dollars a year depending on the rates you pay. Based on the winner of our electricity customer satisfaction ratings, we’ve given you a closer look at what rates you can expect to pay in Victoria.

Provider Powershop
Plan 100% Carbon Neutral
Usage Rate (per kWh) 19.80¢/kWh
Supply Rate (cents per day) 84.70¢/day
Difference from Reference Price 18% Less Than VDO
Conditional Discounts No conditional discounts
Estimated Annual Cost $1,101

Questions to ask before signing up:

Here are some questions you should consider asking any prospective energy company:

  • Are you offering me the plan with the lowest usage rates?
  • How much are the supply charges and how do they compare to other plans?
  • How does the plan compare to the Victorian Default Offer (VDO)?
  • Is there a contract? How long is it? Are there any exit fees if I leave?
  • What discount can I get off my bill and how do I quality for the discount?
  • What is the benefit term of the discount? Will it disappear after a year?
  • Can you offer me any additional sign-up incentives?
  • Which types of electricity tariffs are available in Victoria?

Which electricity provider is rated highest in Victoria?

No one wants to pay more than they need to for electricity, so it makes sense that the bottom line will decide which provider many consumers go with. However, other factors, most notably customer service, can also prove important. Call centres are a major bugbear for customers because there’s nothing worse than hanging on the phone for ages, trying to get a straight answer to a straight question. The energy companies should be working hard to keep you happy, in terms of the price you pay, but also the customer service you receive. That’s the reason why Canstar Blue produces customer satisfaction ratings for electricity providers in Victoria every year. Powershop is currently rated highest overall.

If there is one message to take away from this report, it’s that regularly reviewing your electricity plan and comparing it to other offers on the market is a wise move, particular in Victoria where the energy companies are competing hard for your custom. You might just save a few bucks.

About the author of this page

Jared Mullane

This page was written and is regularly updated by Canstar Blue’s Energy Editor, Jared Mullane. He’s an expert in all things utilities, including electricity, gas and water, helping to make complicated subjects easier to understand for consumers. A trained journalist, Jared is usually one of the first to break energy-related news, whether it’s the latest changes in the industry, price movements, or the next best deal you need to know about.

Compare Gas Suppliers in Victoria

Here’s a summary of the information above. Essentially, a quick, need-to-know breakdown of Victoria’s electricity market. 

Victorian Default Offer

Citipower: $1,336/year based on general usage of 4000kWh/year

Jemena: $1,387/year based on general usage of 4000kWh/year

Powercor Australia: $1,425/year based on general usage of 4000kWh/year

Ausnet Services: $1,560/year based on general usage of 4000kWh/year

United Energy: $1,350/year based on general usage of 4000kWh/year

Number of Energy Providers in VIC 

25+

Winner of Canstar Blue’s Most Satisfied Customers – Electricity Providers VIC Award

Powershop

VIC Distribution Networks

Citipower, Jemena, Powercor Australia, Ausnet Services, United Energy Distribution

VIC Gas Distribution Networks

Australian Gas Networks, Multinet Gas, AusNet Services

VIC Electricity Tariff Options

Single rate, time of use, controlled load

VIC Electricity Generation

Coal, gas, hydro, solar, wind farms, biomass

Year VIC electricity market was deregulated

2009

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