New power laws to protect Queenslanders

Queenslanders will soon only have to pay $20 to switch power companies and get help if they're struggling to pay power bills, an ombudsman says.

The state government is due to bring the National Energy Customer Framework, a set of laws and regulations governing electricity and gas sales, into force on July 1.

Queensland Energy and Water Ombudsman Forbes Smith says contract exit fees will be capped at $20 and companies will have to offer at least one contract without exit fees.

Power companies will also be required to have hardship policies to help customers manage their bills if they're struggling financially.

"Extending the consumer protections to groups that previously had limited protections will ensure all customers, regardless of how they access energy, will be able to easily understand their rights and receive better support if they experience financial difficulty," Mr Smith said in statement.

He said Queenslanders could look forward to the following changes:

- All contract exit fees capped at $20

- Power companies offering at least one contract with no exit fees

- Companies must have hardship policies to help customers in financial difficulty manage bills

- Customers must be told about flexible payment options at the time they sign up to a contract, like paying in advance

- Regular retail customers will be allowed to pay bills in advance to avoid seasonal price shocks

- Notice periods for planned supply interruptions will be extended.