Starting July 1, next year, Australia’s energy retailers will be required to proactively notify Centrelink recipients of any discounts on electricity bills that they are eligible for. This change is designed to ensure that millions of Australians, who receive the age pension, JobSeeker, and veteran’s benefits, do not miss out on crucial financial assistance for their power bills. At present, close to 60% of australians eligible for electricity discounts do not claim them primarily because they are either not told about the discounts, or are forced to ask for them.
Electricity Bill Discounts
| Aspect | Detail |
|---|---|
| Eligibility | Centrelink recipients with concession cards |
| Effective Date | July 1, 2026 |
| Applies To | NSW, SA, TAS, QLD, ACT |
| Main Benefit | Energy retailers must inform and apply discounts |
| Related Rules | Price caps, better offer alerts, late fee protections |
How the New System Works
To the customers’ of any new energy provider, or those who happen to be changing contracts, retailers must ask them whether they qualify for energy concessions. Retailers must then dispel any confusion that customers may have about the discounts available to them based on the state or territory that they reside in. This will span the New South Wales, South Australia, Tasmania, Queensland, and Australian Capital Territory. Most importantly, the change moves this process from the consumer having to ask about it to the retailer having to proactively reach out to those who they think may qualify.
Why This Change Is Crucial
Chris Bowen, the Energy Minister of Australia, spoke about the treatment of vulnerable Australians regarding energy costs and stated that before this change, retailers only advised customers about the assistance available. Retailers are now obligated to provide the discounts that retailers have to ensure that no concession holder is left out. This is a positive change, even the Australian Energy Market Commission. They urge those that may qualify to reach out to their providers now, in advance of the July 2026 start date for the regulation.
Additional Changes in Energy Sector
New rule is in line with other changes in the energy market in Australia. In addition to making sure that concession holders receive the full value of their concession, regulators will limit the number of energy price increases to one per year. Starting the 2026/27 billing period, electricity bills will include ‘better offer’ and automatic savings offers which will enhance customer mobility by advising those who are on more expensive contracts to switch to more affordable plans, thereby reducing their bills. Understandably, these protections will also cover more vulnerable customers who may become exposed to unreasonable fees or late payment penalties.
Who is Eligible for the Discounts?
Electricity discounts primarily apply to Australians who are holders of concession cards including the Health Care Card and the Pensioner Concession Card, as well as the Department of Veterans’ Affairs Gold Card. Discount rates and eligibility differ state to state, and further rebates may be offered as a state program. Residents in embedded networks, with caravan parks or retirement villages for instance, also qualify.
FAQs
Q1: When is the commencement date for the new electricity discount rule?
The regulation comes in force from 1st July 2026, and mandates energy retailers to automatically inform eligible customers with discounts.
Q2: Who qualifies for the electricity discount on the bill?
Concession card holders who are beneficiaries of Centrelink payments which include the age pension, JobSeeker, or the veterans’ benefits are also eligible.
Q3: Will consumers still have to ask for their discount after July 1, 2026?
No, it is legally required that retailers ask to inform customers, so qualified individuals will not have to go out of their way to find these services.
