Energy Locals is able to deliver the price cuts for two reasons. Firstly, it deliberately locked in its wholesale prices until 1 July 2018.
Energy Locals also has a different business model whereby customers are charged a per month service fee, rather than making margins on the amount of energy sold.
How to understand my bill?
The electricity tariff has two parts
- daily supply charge, and
- usage charge.
The daily supply charge is usually a fixed amount charged in cents per day. This is the cost of getting electricity or gas to your place, even if you don’t use any. The usage charge is how much energy you use and is usually charge in cents per kilowatt hour (c/kWh).
There are three main types of electricity tariffs:
- single rate
- time of use (including flexible pricing), and
- controlled load.
The type of available to you depends on the type of metering arrangement you have at your home or business. And what type of tariff is available in your area. Have a look at the type of tariff you are on now by looking at your latest bill.
With single rate tariff or anytime offers there are no peak or off-peak periods. This means that you pay the same rate whatever time of day you use energy.
Time of use
A time of use tariff means that electricity costs different prices at different times of the day.
- Peak—electricity costs the most. Peak rates usually apply in the evening on Monday to Friday.
- Off-peak—electricity is cheapest. Off-peak rates usually apply overnight on Saturday and Sunday.
- Shoulder—electricity costs a bit less than peak. Shoulder rates usually apply in between peak and off-peak periods.
Controlled load tariffs
For some appliances you can be charged a controlled load tariff, like electric hot water systems. This means that the retailer charges a rate just for that appliance and the energy it uses. Often that appliance has its own meter. It is usually only for appliances that run overnight or in off-peak times. So controlled load rates are usually lower.
Find out more about Tariff
How does Energy Locals stack up against other providers?
We have compared the prices for Time of Use and controlled load tariff for the Tamworth/ Manilla region. As you can see Manilla Solar and Energy Locals is a good deal.
But see for yourself go to – www.energymadeeasy.gov.au/