Energy Tips
Caught Off Guard by Winter Bill Shock? These 3 Things Might Be to Blame
See what you can do to avoid the ‘shock’.
- What Answers You’ll Get On This Page
Important Points
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Energy bills are climbing fast as winter sets in, and many Australians are feeling the hit.
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If you’ve opened your latest energy bill and thought, “Wait… how is it this high?” Well, you’re not the only one.
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With heaters running longer, dryers working overtime, and cold weather driving up overall usage, it’s no surprise that households across the country are being hit with bill shock.
But it’s not just the cold weather to blame. From how and when you’re using energy to the type of plan you’re on, there are several underlying factors that could be pushing your bill even higher without you realising. But there’s good news. Once you understand what’s really going on behind the numbers, you can start making more cost-effective choices that make a difference. Here’s what to look out for.
Why Are Energy Bills So High in the Winter?
When we say winter bill shock, we’re referring to that moment you open your energy bill and it’s much higher than expected. It’s not just a slight increase either; many Australians are hit with bills that are hundreds of dollars more than usual.
In addition to higher seasonal usage, energy prices are set to increase by 0.5-9.7% across Victoria, New South Wales, southeast Queensland, and South Australia from 1 July, which could dramatically increase your bill even higher than what it is right now.
Compounding the issue is the broader cost-of-living crisis. In recent years, Australian households have endured rising electricity prices, particularly during periods of market volatility and after wholesale price surges. Add in increasing mortgage or rent costs, grocery inflation, and stagnant wages, and that unexpected $400 energy bill can leave you scrambling for answers.
Winter Bill Worries? These Articles Can Help
1. Heating is a Major Power Consumer
Space heating is one of the biggest contributors to household energy use during the winter months. According to the Australian Government’s website, heating can account for up to 40% of your winter energy use in cooler climates. No matter the type of heater (e.g., reverse-cycle air conditioner, a portable oil heater, or a ducted gas system etc.), these appliances draw significant energy, especially when they’re left running for hours at a time.
Unlike cooling in summer, which often runs in short bursts, heating typically operates for longer periods throughout the day and night. Unsurprisingly, this extended run-time can quickly drive up your electricity bill if you’re not monitoring your usage.
2. Your Hot Water Habit Could Be Heating Your Bill
There’s something comforting about a long, hot shower after coming in from the cold, right? The thing is, if your home uses an electric hot water system, those indulgent winter showers and dishwasher loads can slowly increase your energy costs. Unless you’re keeping an eye on your daily hot water usage, you might not realise just how much those cozy routines cost until your next energy bill lands in your mailbox.
3. Poor Insulation Turns Up the Heat, And Your Costs
Ever feel a cold draft sneak in from under the door or through poorly sealed windows? That means your heater is working overtime. In older or poorly insulated homes, heat just escapes as fast as you produce it. You keep increasing the thermostat, but the warmth never seems to stick. That constant struggle is not just uncomfortable; it’s also driving your heater to work harder than it needs to.
1What Can I Do to Avoid Bill Shock?
Whether you’ve already been hit with a high bill or you’re expecting one, here are some strategies you can use to keep your balance in check.
1. Take Advantage of Government Energy Rebates
Depending on where you live, there may be support available for households, concession card holders, or small businesses to help cover electricity bills. These payments are often applied directly to your bill, so it’s worth checking what’s available in your state or territory and whether you qualify.
For example, the Australian Government, in conjunction with state and territory governments, has extended the Energy Bill Relief Fund for another six months from 1 July 2025, offering up to $150 in electricity bill support.
The 2025 extension provides a $150 rebate to households with an active electricity account with a retailer or embedded network customers and eligible small businesses. It will be automatically applied to electricity bills in two $75 quarterly payments from 1 July to 31 December 2025.
Read more about the Energy Bill Relief Extension.
2. Review Your Usage and Make Smart Adjustments
Has your energy bill suddenly spiked? Take a moment to ask yourself: Is this just rising prices, or have I been using more energy than usual? Consider changes in your life. Did you move into a new place? Begin working from home more often? Have extra guests around or kids home from school holidays? These small shifts can add up.
Expert Tip
Try tracking your daily energy usage using your retailer’s mobile app or online portal. Seeing how much you’re using and when can help you find areas where your energy usage is spiking. Then, you can adjust accordingly.
3. Load-Shift and Use Energy Wisely
Here’s a little-known trick: load-shifting. It’s just a fancy way of saying “use power when it’s cheaper.” If you’re on a time-of-use plan, electricity typically costs less during off-peak hours. Try doing laundry during your lunch break or using the delay-start button on your dishwasher for later at night. You can even run your heating during off-peak times if it fits your schedule.
And if you’re on a demand tariff, where part of your bill is based on your highest half-hour of usage in a day, it’s even more important to avoid using too many appliances at the same time. For example, running your dryer, oven, and heater at the same time could push your demand charge way up.
4. Compare Your Plan and Consider Switching
Finally, take a look at your energy plan. Are you on a time-of-use tariff, a flat-rate tariff, or a demand tariff? Does your bill show if your discount or benefit period has ended? It’s easier, and often more rewarding, than you think to compare plans and switch to a better deal.
Additionally, this could save you a good amount of money, especially if you’ve been on the same plan for a while. According to the Australian regulator ACCC, over 80% of households connected to the National Electricity Market (NEM) could be overpaying for their energy. That means if you haven’t checked your energy plan in a while, there’s a good chance you’re paying more than you need to, possibly hundreds of dollars a year, just for sticking with the same provider. Instead, let our energy experts handle the process for you from start to finish. Click the button below to book an appointment.
Author
Benjamin TomBenjamin is a utility specialist passionate about creating informative content about the energy, internet, and solar markets. With extensive experience in the telecommunications industry, Benjamin drives our unique blog posts, articles, and reviews. He is focused on breaking down the technical jargon so our readers can better understand the telco market and industry. Whether he is comparing the latest internet deals or creating unique guides, Benjamin takes great pride in creating helpful, easy-to-read content.
