Guide

Why Is My Electricity Bill So High?

The most common reason an electricity bill spikes without explanation is an estimated meter read — your retailer guessed your usage instead of reading your meter, and guessed high. The second most common reason is a standing offer: if you haven't changed plans in more than two years, you're almost certainly paying more than you need to. A third common cause is a solar system that's stopped exporting without you noticing.

Most people assume a higher bill means they used more power. Sometimes that's true. Often it isn't. The first thing to do when your bill jumps unexpectedly is to compare the meter read on the latest bill against the actual reading on your meter. If the bill says "Estimated" next to the read, that's usually where the problem is. Upload your bill and your Coach will identify the cause and tell you exactly what to do about it.

What is an estimated meter read and how do you check for one?

An estimated read is your retailer's guess at your usage based on your historical pattern, applied when the meter wasn't physically read or wasn't transmitted by the smart meter network. It's allowed under retail rules — but it's allowed to be wrong, and corrections aren't automatic.

On your bill, the read is labelled either "Actual" or "Estimated". If it says Estimated, take an actual read of your meter today and submit it via your retailer's app, website, or phone line. Your next bill will be adjusted by the difference.

Are you on a standing offer without knowing it?

A standing offer is the default plan a retailer puts you on if you've never chosen a market offer. The Australian Energy Regulator caps how much retailers can charge on standing offers via the Default Market Offer (DMO) — but the cap is set above the cheapest market offers, sometimes substantially.

Check your bill for "standing offer" or "default market offer" in the plan name. If you see either, you can almost certainly save by switching to a market offer with the same retailer or a different one. Energy Made Easy — the Australian Government's free comparison tool — shows every plan available in your area.

Has your solar system stopped generating?

Solar inverters fail silently. The first sign is usually a higher-than-expected bill — you stop earning feed-in credits, and you stop self-consuming the daytime power your panels were generating. If your solar export volume on the latest bill is materially lower than the same quarter last year, check your inverter's display or app for fault codes.

A lower feed-in tariff rate can also explain a higher bill — many retailers reduced solar feed-in rates over 2024–2025 as wholesale daytime prices fell. Compare the rate on your current bill against what you signed up to.

Did your usage actually increase — or does it just look that way?

Compare daily-average kWh between your current bill and the same quarter last year. If daily usage really has gone up, the cause is usually heating or cooling load — a colder winter, hotter summer, or a new appliance like a heat pump or EV charger.

If daily usage looks flat or lower, but the total dollar amount is higher, the cause is rate-related — either a price increase, a tariff change, a discount that expired, or a controlled-load circuit that was disconnected without notice.

What should you do if your bill looks wrong?

Don't pay it yet. You have time. Take a photo of your meter today, check the read on the bill, and call your retailer with both numbers. If the read is estimated, ask for a re-bill based on the actual read.

If the retailer refuses or stalls, escalate to your state ombudsman. EWON in NSW, EWOV in VIC, EWOQ in QLD, ESCOSA in SA, and Energy Ombudsman Tasmania are free to contact. The retailer is obligated to respond.

Frequently asked questions

How do I know if my bill is estimated?
Look for the word 'Estimated' next to your meter read. If it's there, you can submit an actual read via your retailer's app or website — it takes two minutes and your next bill will adjust.
What's a standing offer and how do I know if I'm on one?
A standing offer is a default plan — the most expensive option your retailer offers. You're on one if you've never actively chosen a plan. Check your bill for 'standing offer' or 'default market offer' in the plan name.
Can BillDecoder tell me why my bill went up?
Yes. Upload your bill and your Coach will identify the specific cause — estimated read, rate increase, usage spike, solar fault, or something else — and tell you exactly what to do about it.
What if my bill has a big jump from last quarter?
Compare the meter reads on both bills. If the opening read on the high bill was estimated (not an actual read), that's almost always the cause. Submit an actual read and request a correction.

Related guides

Why is your bill high?

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Last updated: 24 April 2026