If your business has been on the same electricity plan for a while, you might be paying more than you need to. Recent reports show that staying loyal to your current retailer or plan can actually cost you money.
The ACCC recently found that more than 80% of customers in the National Electricity Market could save money simply by checking other plans or asking their retailer for a better deal. Customers on plans older than one year paid around $238 more per year, and those on plans two years or older paid about $317 more. Because electricity prices fell between August 2023 and August 2024, people who stayed on older plans often missed out on these savings.
This is what’s called the “loyalty tax.” It happens when older plans lose their discounts and better deals come out, but no one checks if current customers could get those savings. Research shows that people and small businesses who don’t review their energy plans often end up paying more.
Why this matters for small businesses
Electricity is one of the biggest running costs for most businesses. If you’re still on an old plan, you might be paying a premium without realising it. Business energy tariffs can be more complex, like time-of-use or demand-based pricing, so being on the wrong plan can mean hundreds or even thousands of dollars lost each year.
What you can do
At Choice Energy, we start by reviewing your current electricity plan and comparing it with what’s available in the market right now. If we find you’re paying too much, we negotiate with your retailer or find you a better deal. If switching makes sense, we manage the whole process so your business keeps running smoothly while you start saving.
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