The Default Market Offer (DMO) is the maximum price retailers can charge on a standing offer in New South Wales, South East Queensland and South Australia. The Victorian Default Offer (VDO) does the same job in Victoria. From 1 July 2026 to 30 June 2027 the DMO flat-rate annual price runs from $1,899 (Ausgrid) to $2,604 (Essential Energy), and the VDO averages $1,591. Both are also the “reference price” that retailer discounts are measured against.
Key facts
- The Australian Energy Regulator’s 2026-27 Default Market Offer final determination, released 26 May 2026, applies from 1 July 2026 to 30 June 2027 in the Ausgrid, Endeavour Energy, Energex, Essential Energy and SA Power Networks areas.
- The Ausgrid flat-rate Default Market Offer annual price for 2026-27 is $1,899 including GST, down $66 (3.4%) on 2025-26.
- The SA Power Networks flat-rate Default Market Offer annual price for 2026-27 is $2,334 including GST, up $33 (1.4%), the only network where the cap rose.
- The Essential Services Commission set the 2026-27 Victorian Default Offer at an average of $1,591 a year for a 4,000 kWh household, down $84 from $1,675 in 2025-26.
- The Default Market Offer is not available in Western Australia, Tasmania, the ACT or the Northern Territory, which have their own regulated prices.
- Solar Cobber calculation: the daily supply charge makes up 28% to 38% of a 2026-27 Default Market Offer flat-rate bill, so low usage does not cut the bill proportionally.
What are the Default Market Offer and the Victorian Default Offer?
The Default Market Offer is a price cap, set each year by the Australian Energy Regulator (AER), on what retailers can charge residential and small business customers on a standing offer. A standing offer is the default contract a household is on if it has never chosen a market offer. The cap does not stop retailers selling cheaper market offers.
The Victorian Default Offer (VDO) is the equivalent set by the Essential Services Commission (ESC), and it has applied since 1 July 2019. The AER says retailers in these regions must compare their offers against the same base “reference price” when they advertise, stating the gap as a percentage of it (AER, retail pricing). That is why an ad can claim “up to 20% below the reference price” and still leave you paying more than another plan, as the discount is measured against the cap, not against the cheapest offer.
The AER explains how the reference price is built from network, wholesale and retail costs in this official explainer.
What is the Default Market Offer for 2026-27?
The 2026-27 flat-rate Default Market Offer annual price is between $1,899 and $2,604 including GST, depending on the network. The AER sets it for an assumed amount of yearly usage, so the networks are not like for like.
Source: AER final determination 26 May 2026; ESC Victorian Default Offer 2026-27 Price Determination.
View the data as a table
| Annual price | |
|---|---|
| Essential Energy (DMO) | A$2,604 |
| SA Power Networks (DMO) | A$2,334 |
| Endeavour Energy (DMO) | A$2,328 |
| Energex (DMO) | A$1,988 |
| Ausgrid (DMO) | A$1,899 |
| AusNet (VDO) | A$1,748 |
| Powercor (VDO) | A$1,633 |
| Jemena (VDO) | A$1,563 |
| United Energy (VDO) | A$1,529 |
| CitiPower (VDO) | A$1,481 |
Regional NSW (Essential Energy) is the dearest regulated area, while CitiPower in inner Melbourne is the cheapest at $1,481.
| Network | Assumed usage (kWh) | Flat annual price | Change vs 2025-26 | Time of use annual price |
|---|---|---|---|---|
| Ausgrid | 3,900 | $1,899 | -$66 (-3.4%) | $1,893 |
| Endeavour Energy | 4,900 | $2,328 | -$83 (-3.4%) | $2,320 |
| Energex | 4,600 | $1,988 | -$155 (-7.2%) | $1,914 |
| Essential Energy | 4,600 | $2,604 | -$137 (-5.0%) | $2,530 |
| SA Power Networks | 4,000 | $2,334 | +$33 (+1.4%) | $2,276 |
The table shows the AER’s residential annual prices for 2026-27 without controlled load, GST inclusive, from the final determination, checked November 2026. The Endeavour change is derived from its 2025-26 price of $2,411.
For a household the cap is a ceiling. If your bill is near these figures, you are probably on a standing offer or an old plan, and a current market offer will usually be cheaper.
Flat-rate and time of use caps
The cap is built from a daily supply charge and a usage rate. These are the 2026-27 flat-rate caps, GST inclusive.
| Network | Daily supply (c/day) | Usage (c/kWh) |
|---|---|---|
| Ausgrid | 166.2289 | 33.1372 |
| Endeavour Energy | 185.1350 | 33.7273 |
| Energex | 192.0159 | 27.9744 |
| Essential Energy | 272.2168 | 35.0054 |
| SA Power Networks | 180.0512 | 41.9103 |
The time of use caps vary by network: for example Energex’s cheapest rate is 6.9848c/kWh from 11am to 4pm and its peak is 47.7858c/kWh from 4pm to 9pm. See peak and off-peak electricity times for each network’s windows.
What is the Victorian Default Offer for 2026-27?
The 2026-27 Victorian Default Offer averages $1,591 a year for a household using 4,000 kWh, from $1,481 in CitiPower’s area to $1,748 in AusNet’s. The ESC decided it on 20 May 2026 and it runs from 1 July 2026 to 30 June 2027.
| Zone | Daily supply ($/day) | Usage ($/kWh) | Annual bill 2026-27 | Annual bill 2025-26 | Change |
|---|---|---|---|---|---|
| AusNet | 1.2824 | 0.3198 | $1,748 | $1,908 | -$160 |
| CitiPower | 1.2114 | 0.2596 | $1,481 | $1,546 | -$65 |
| Jemena | 1.2713 | 0.2747 | $1,563 | $1,638 | -$75 |
| Powercor | 1.3805 | 0.2822 | $1,633 | $1,703 | -$70 |
| United Energy | 1.1912 | 0.2735 | $1,529 | $1,579 | -$50 |
| Victorian average | $1,591 | $1,675 | -$84 |
The table shows the ESC’s residential flat tariff, GST inclusive, from its Victorian Default Offer page, checked November 2026. Victoria also has a three-period time of use VDO from 2026-27: peak 4pm to 9pm, off-peak 9pm to 11am and a solar soak rate from 11am to 4pm, which is 16.59c/kWh in CitiPower’s area against 38.31c at peak.
City by city: what does a kWh really cost?
Divided by assumed usage, the 2026-27 regulated bill works out at 37.0 to 58.4 cents per kWh, well above the headline usage rate. The headline rate leaves out the daily supply charge, which you pay even with no usage.
Solar Cobber calculation: effective c/kWh = annual price divided by assumed kWh, times 100. Ausgrid is 1,899 / 3,900 x 100 = 48.7c.
Source: Solar Cobber calculation from AER (26 May 2026) and ESC (2026-27 determination) annual prices.
View the data as a table
| Effective c/kWh | |
|---|---|
| SA Power Networks | 58.4c |
| Essential Energy | 56.6c |
| Ausgrid | 48.7c |
| Endeavour Energy | 47.5c |
| AusNet | 43.7c |
| Energex | 43.2c |
| Powercor | 40.8c |
| Jemena | 39.1c |
| United Energy | 38.2c |
| CitiPower | 37.0c |
South Australia and regional NSW cost about 21 cents per kWh more than inner Melbourne on a regulated plan, and a household using less than the assumed amount pays more per kWh than shown.
How much of the bill is fixed?
The fixed supply charge is 27% to 38% of a regulated bill, so cutting usage with solar cannot remove the whole bill. Solar Cobber calculation: supply = c/day x 365; usage = annual price minus supply (Victorian supply from the ESC’s $/day).
- Supply charge
- Usage charges
Source: Solar Cobber calculation from AER and ESC 2026-27 tariffs.
View the data as a table
| Supply charge | Usage charges | |
|---|---|---|
| Essential Energy | A$994 | A$1,610 |
| SA Power Networks | A$657 | A$1,677 |
| Endeavour Energy | A$676 | A$1,652 |
| Energex | A$701 | A$1,287 |
| Ausgrid | A$607 | A$1,292 |
| AusNet | A$468 | A$1,280 |
| Powercor | A$504 | A$1,129 |
| Jemena | A$464 | A$1,099 |
| United Energy | A$435 | A$1,094 |
| CitiPower | A$442 | A$1,039 |
Essential Energy has the biggest fixed cost at $994 a year, 38% of its bill. That is why a big solar system alone does not take a home to a zero bill; see our guide to average electricity bills.
How the Default Market Offer has changed since 2019
The Default Market Offer was cheapest in 2021-22, jumped 20% to 24% in 2023-24 and has since eased. Ausgrid fell from $1,393 in 2021-22 to $1,899 in 2026-27, a 36% rise over five years.
- Ausgrid
- Endeavour
- Energex
- Essential
- SA Power Networks
Source: AER Default Market Offer determinations and fact sheets, 2020 to 2026.
View the data as a table
| Ausgrid | Endeavour | Energex | Essential | SA Power Networks | |
|---|---|---|---|---|---|
| 2019-20 | A$1,467 | A$1,720 | A$1,570 | A$1,957 | A$1,941 |
| 2020-21 | A$1,462 | A$1,711 | A$1,508 | A$1,960 | A$1,832 |
| 2021-22 | A$1,393 | A$1,609 | A$1,455 | A$1,907 | A$1,716 |
| 2022-23 | A$1,512 | A$1,836 | A$1,620 | A$2,092 | A$1,840 |
| 2023-24 | A$1,827 | A$2,228 | A$1,969 | A$2,527 | A$2,279 |
| 2024-25 | A$1,810 | A$2,209 | A$2,052 | A$2,499 | A$2,216 |
| 2025-26 | A$1,965 | A$2,411 | A$2,143 | A$2,741 | A$2,301 |
| 2026-27 | A$1,899 | A$2,328 | A$1,988 | A$2,604 | A$2,334 |
In 2023-24 the cap rose 20.8% in Ausgrid and 23.9% in SA Power Networks (Solar Cobber calculation from the prices above).
| Year | Ausgrid | Endeavour | Energex | Essential | SA Power Networks |
|---|---|---|---|---|---|
| 2022-23 | +8.5% | +14.1% | +11.3% | +9.7% | +7.2% |
| 2023-24 | +20.8% | +21.4% | +21.5% | +20.8% | +23.9% |
| 2024-25 | -0.9% | -0.9% | +4.2% | -1.1% | -2.8% |
| 2025-26 | +8.6% | +9.1% | +4.4% | +9.7% | +3.8% |
| 2026-27 | -3.4% | -3.4% | -7.2% | -5.0% | +1.4% |
The table shows year-on-year change in the flat annual price, a Solar Cobber calculation from the AER’s published prices.
How the Victorian Default Offer has changed
The Victorian Default Offer average rose from $1,408 in the second half of 2019 to a peak of $1,755 in 2023-24, and was $1,591 in 2026-27. Victorian figures are the ESC’s compliant maximum annual bill for 4,000 kWh, so they are not directly comparable with the DMO networks.
Source: Essential Services Commission (Victoria) decisions, 2019 to 2026.
View the data as a table
| VDO average | |
|---|---|
| Jul 2019 | A$1,408 |
| Jan 2020 | A$1,517 |
| Jan 2021 | A$1,358 |
| Sep 2021 | A$1,412 |
| Jan 2022 | A$1,342 |
| Jul 2022 | A$1,403 |
| Jul 2023 | A$1,755 |
| Jul 2024 | A$1,655 |
| Jul 2025 | A$1,675 |
| Jul 2026 | A$1,591 |
The 2020 decision itself states $1,518 rather than the $1,517 shown, a rounding difference.
Where else are prices regulated?
Outside the DMO and VDO regions, state governments or regulators set prices; as at November 2026 the rates below apply from 1 July 2026.
| Region | Regulated flat usage rate | Daily supply | Source |
|---|---|---|---|
| Western Australia (Synergy A1) | 33.2621c/kWh | 119.24c | Energy Policy WA |
| Tasmania (Aurora Tariff 31) | 27.9538c/kWh | 167.6815c | Tasmanian Economic Regulator |
| ACT (ActewAGL Home) | 36.9536c/kWh | 134.2c | ActewAGL |
| Northern Territory (Jacana) | 31.6788c/kWh | 62.45c | Jacana Energy |
| Regional Queensland (Ergon Tariff 11) | 28.895c/kWh | 180.508c | Ergon Energy |
The Solar Sharer Offer and the Default Market Offer
The Solar Sharer Offer (SSO) is an opt-in version of the DMO with free power in the middle of the day. Its annual price equals the time of use DMO price in each network, for example $1,893 in Ausgrid and $1,914 in Energex. It gives 11am to 2pm free in NSW and SE Queensland and 12pm to 3pm in SA, and Victoria is not included. Read the full detail in our Solar Sharer Offer guide.
What it means for your solar or battery decision
The Default Market Offer and VDO are best read as a ceiling and a yardstick. If you are on a standing offer, compare plans on Energy Made Easy or Victorian Energy Compare, and check the feed-in rate, because the DMO sets no solar export rate. Victoria also has no regulated minimum feed-in tariff from 1 July 2025 (ESC), so use our feed-in tariff tracker.
A high regulated rate improves solar payback because each self-used kWh avoids it. A fixed supply charge does not shrink with solar, though. See Is solar worth it in Australia, peak and off-peak times, the battery rebate guide and the virtual power plant guide, then get quotes from installers listed on our companies page or in Victoria.
Method and sources
- DMO 2026-27 prices, tariff caps and usage assumptions: AER final determination, 26 May 2026, read from the PDF tables.
- DMO history: AER fact sheets for 2020-21 to 2023-24 and the final determinations for 2024-25 to 2026-27. The 2019-20 figures are derived, not read from the 2019-20 document.
- VDO figures: ESC decisions for each period; the 2024-25 zone figures were reconstructed from the ESC’s stated changes. Victorian bills are for 4,000 kWh.
- Solar Cobber calculations: effective c/kWh, fixed-supply share and year-on-year percentages, all shown above.
- All prices include GST and were checked 14 November 2026.
FAQ
What is the Default Market Offer?
The Default Market Offer is the maximum price retailers can charge on a standing offer in NSW, South East Queensland and South Australia. The Australian Energy Regulator sets it each year. It also serves as the reference price retailers use to describe discounts.
What is the Victorian Default Offer?
The Victorian Default Offer is the maximum price on a standing offer in Victoria, set by the Essential Services Commission. For 2026-27 the average is $1,591 a year for a 4,000 kWh household. It started on 1 July 2019.
What is the Default Market Offer for 2026-27?
The 2026-27 flat-rate Default Market Offer annual price is $1,899 in Ausgrid, $2,328 in Endeavour Energy, $1,988 in Energex, $2,604 in Essential Energy and $2,334 in SA Power Networks. Prices include GST and apply from 1 July 2026 to 30 June 2027.
Is the Default Market Offer the cheapest plan?
No. The Default Market Offer is a ceiling, and market offers are usually cheaper. Check current plans on Energy Made Easy or Victorian Energy Compare.
Does the Default Market Offer apply in Western Australia, Queensland or Tasmania?
It applies only in South East Queensland, NSW and South Australia. Western Australia, Tasmania, the ACT, the Northern Territory and regional Queensland have separate regulated prices.
What does “X% below the reference price” mean?
It means the plan’s price is that percentage below the Default Market Offer or Victorian Default Offer, not below the market. A plan can be 15% below the reference price and still cost more than a rival that is 20% below.
Did the Default Market Offer go up or down in 2026-27?
It fell in four of the five networks: Ausgrid by 3.4%, Endeavour by 3.4%, Energex by 7.2% and Essential Energy by 5.0%. It rose 1.4% in SA Power Networks.
Is there a regulated solar feed-in tariff in the Default Market Offer?
No. The Default Market Offer sets supply and usage charges only. The Victorian minimum feed-in tariff ended on 1 July 2025.
Sources
- AER, Default market offer prices 2026-27: Final determination
- AER media release, 26 May 2026
- AER, retail pricing and the reference price
- ESC, Victorian Default Offer
- Energy Policy WA, household electricity pricing
- Aurora Energy residential prices
- ActewAGL ACT standard prices, July 2026
- Jacana Energy pricing
- Ergon Energy residential tariffs
About this guide
Written by the Solar Cobber editorial team from independent desk research checked in November 2026. Solar Cobber is a free directory that may earn referral or advertising fees from installers; commercial relationships never affect content. This is general information, not financial advice. Corrections are welcome via /contact.
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