As you may already know, Electricity Monster provides a 100% Free Service to Australians looking to compare energy providers.
We realised it would be useful for our customers to know how we rate the providers in the market.
That’s when we came up with our 5-Star Rating Review system!
What is a Star Rating?
Electricity Monster will be rating retailers out of five stars, in three distinct categories that we feel are the most important for an energy retailer – Price, Choice and Extras.
Although most other reviews that unfairly fixate on the price, we’ll also be taking a close look at the choice in plans provided as well as any extras they offer such as reward programs.
While it’s fun to award stars for no reason, we developed this system so you can make an informed decision when shopping around for sharper energy deals!
There are concrete guidelines that determine if a retailer will earn a star in each of these categories.
Keen to know what those guidelines are? Keep reading to find out.
Find out: Origin Energy Review
The ratings on price are based on average electricity bill estimations in each of the major eastern states.
Stars will be awarded based on how much cheaper, or more expensive, the retailers are compared to average bills in a state.
We have taken the costs for a four-person home on the top plans of some of Australia’s largest retailers to create our own average bill threshold for each state.
New South Wales
*All calculations are accurate as of April 11, 2019
If a retailer’s best offer in a state meets our average bill calculation within a $25 range, they get 2.5 stars out of 5.
For each $50 the retailer’s best offer beats our average bill calculation by, they get an increase of 1 star.
Similarly, for each $50 the retailer’s best offer goes over is above our average bill calculation by, they get a deduction of 1 star.
Accordingly, every $25 will represent half a star increase or decrease.
Simple enough right?
Let’s take an example.
The average bill for a 4-person home without a pool in South Australia is $2399/year, then AGL Energy with their Essentials Plus offer of $2475/year will receive a 1-star rating for being $76 below our average threshold.
In the same way, Simply Energy with the Simply Plus offer of $2190/year will receive a star rating of 5 for being $209 below our threshold!
There will be a rating for four states, NSW, Queensland, Victoria and SA.
These ratings will be added up and divided by 4 to get an overall price rating.
Let’s move onto the Choice rating now!
Keep reading: Simply Energy Review
This one is a bit more simple than the price rating, as it is based on plan variety.
Essentially, depending on the plan type that a retailer provides in a state, they would be awarded a star.
As with price, these ratings will be given out for each state, then divided by the number of states being discussed to get an overall rating.
Extras refer to any rewards available for joining up with a retailer or the discounts you could access.
This rating is a bit trickier to quantify as some retailers have a good reward system while others have partnerships that land you some great discounts.
Essentially, extras will refer to rewards shops, loyalty prizes, prize draws or even cashback offers.
So we’ll try to be broadly deal with them.
Once again, Extra ratings will be given out for each state, then divided by the number of states being discussed to get an overall rating.
Find out: Alinta Energy Review
Retailer reviews are our way of helping you make a more informed decision when choosing energy providers.
Our energy brokers can also compare the rates you are currently paying to the rates offered by our partner providers.
If there is a possibility that you could be on a sharper rate, we will handle all of the paperwork!
Keen to find out if there are more affordable rates awaiting you? Call us now on 1300 232 848!
Written by Alan Koshy
April 11, 2019