Price of power in Australia ‘among cheapest in the world’
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It may offer only a crumb of comfort for Australian households, but the nation’s power prices are among the cheapest from developed economies, new figures claim.
Research by business analyst Rystad Energy revealed only the US and Brazil had a lower average wholesale price than Australia’s eastern states during the first nine months of 2026, reports The Australian Financial Review.
A new report shows Australian wholesale electricity prices are among the cheapest in the world. Getty
Victorians paid a cheaper price for their electricity than every other advanced global economy.
A huge battery expansion, enduring use of coal power, moderate weather and record-low gas production were behind the low wholesale prices in Australian states.
The wholesale price represents only one factor in consumer power bills, but Energy Minister Chris Bowen is expecting electricity companies to pass on the gains of cheaper prices.
“It’s no coincidence that [wholesale price falls] come at the same time as big batteries supplied more power during the evening peak than expensive gas,” he said.
“We will be expecting retailers to ensure their customers benefit from this sustained reduction in the cost of producing energy.”
Energy Minister Chris Bowen said he expects electricity companies to pass on cheaper wholesale prices to customers. Nine
Australia’s wholesale power system is known as the National Electricity Market (NEM),operating across the eastern and southern states and territories.
Western Australia and the Northern Territory run on separate electricity grids.
Taking the polish off the latest data are forecasts many Australians will still pay higher electricity bills in months ahead.
“While the cost of using electricity has, in many cases, been dropping, the cost of staying connected to the grid has surged,” Canstar Data Insights Director Sally Tindall told nine.com.au.
“High-energy consuming households could well have seen a drop in their overall electricity bill, while low-energy consuming households might have seen their bill go up since July 1,” she added, saying the end of the federal government’s rebates would also have an impact.
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