Will Your Power Bill Be Reduced? Understanding the Government’s Electricity Bill Rebates 2025
The Cost of Living Crisis & Government Support for Electricity Bills
With the rising cost of living placing financial pressure on households, the Australian Government has introduced measures to ease the strain. One key area of focus has been electricity bill relief, providing rebates to help reduce household expenses. The Federal Government released their 2025/26 budget on the 25th of May, extending their energy bill relief support to households and small businesses.
If you're wondering what this means for your electricity bills in 2025, here's everything you need to know about the latest energy relief payment, how it's distributed, and what to expect in Western Australia.
What's New in the 2025/26 Federal Budget for Energy Relief?
The Australian Government has confirmed that electricity bill relief will continue in 2025, ensuring that households and small businesses receive additional support.
From 1 July 2025, every household and approximately one million small businesses will see another $150 in power bill relief, applied in two instalments of $75 each, directly to electricity bills. This is part of the ongoing effort to ease energy costs and follows commitments from both major political parties to maintain relief measures.
Recap of 2024 Electricity Rebates in Western Australia
In 2024, WA households received a $700 electricity credit, made up of:
- $400 from the WA State Government as part of the 2024-25 cost-of-living budget measures
- $300 from the Federal Government’s Energy Bill Relief Scheme
For eligible small businesses, the federal government contributed $325, bumping their total to $725.
Who Was Eligible & How Was It Distributed?
The credit was automatically applied to Synergy and Horizon Power customers' electricity bills.
The rebate was split into two instalments that were applied directly to electricity accounts. The first instalment ($350 for households and $325 for small businesses) appeared on power bills in the July-August 2024 billing cycle. The second instalment was then applied to the December-January billing cycle.
Households that are on embedded networks or alternative providers had to apply through RevenueWA for payment of the credit.
What About WA's Energy Relief in 2025?
While the federal rebate for 2025 is now confirmed, the Western Australian Government has not yet announced any additional energy bill rebates beyond those already included in the 2024–25 state budget.
Future support from the WA Government, if any, would likely be announced with the release of the 2025–26 State Budget later this year.
Will Electricity Prices Rise in 2025?
Although the Australian Energy Regulator (AER) has lifted the price cap in some states, Western Australia is not part of the National Electricity Market (NEM). Instead, WA operates under the Wholesale Electricity Market (WEM), with the state government setting residential and small business electricity prices.
Electricity prices in WA were increased 2.5 per cent in July 2024 due to Synergy increasing its Home Plan (A1) and some of its Standard Fees. This increase has been typical for the last 10 years, with an average increase of 2.7 per cent per annum from 2014 to 2024. If this increase is going to continue into 2025, Synergy will likely announce it closer to the end of the 2024/2025 financial year.
How You Can Protect Yourself From Rising Energy Costs
While rebates provide short-term relief, there are proactive steps you can take to reduce long-term electricity costs.
1. Explore Other Government Incentives
The WA Government offers additional solar rebates, battery storage incentives, and energy efficiency grants. Homeowners can take advantage of these programs to lower their reliance on grid power.
2. Installing Solar Panels or Battery Storage Systems
3. Using Energy-efficient Appliances and LED Lighting
4. Engage a Qualified Electrician for Energy Efficiency Upgrades
Having an ECA WA member electrician assess your home’s energy efficiency can lead to significant savings. Professional electricians can:
- Recommend LED lighting and energy-efficient appliances.
- Install smart home energy solutions for better control.
- Conduct electrical safety inspections to ensure optimal performance.
With ongoing government rebates and smart energy-saving strategies, WA households can better manage their electricity costs in 2025. While the $700 credit in 2024 provided significant relief, the $150 rebate in 2025/26 will continue to support families and businesses.
As energy costs evolve, staying informed and making energy-efficient choices are more important than ever. ECA WA remains your trusted source for expert insights, updates, and guidance on navigating electricity rebates and reducing power bills.
Stay tuned for further updates on WA electricity rebates in 2025, and follow ECA WA for expert advice on all things electrical!
