5 Things You Should Know About Winter Power Bills in 2022

By Sophie Ryan, iSelect spokesperson

Can you believe we’re in July? Time flies!

Especially when we’ve been preoccupied dealing with so many extra financial pressures this year. On top of the various demands of motherhood, let’s just say 2022 has been ‘a lot’ for many.

Speaking of July, if you and the family have had the heater running this winter or perhaps an electric blanket switched on during these chilly nights, all that extra usage can really add up and result in one of your highest power bills of the year.

Unfortunately in 2022, winter energy bills are likely to be even bigger, as power prices increase for many Aussies.

That’s right… yet another hip-pocket hit! Don’t hit the panic button just yet, because you may still be able to find a better deal.

There’s a lot to unpack with it comes to winter power bills in 2022, so here are 5 things you should know and how you could save.

1. Power price hikes

Energy retailers are navigating a volatile wholesale market and powers bills are increasing for many Aussies. Retailers are required to notify if and when your rate is changing – and by how much. If you’ve received a letter or email, don’t just ignore it. While there may be fewer options available in terms of both plans and providers, there could still be savings to be found and given the rising cost of living, every dollar saved counts.

2. It may not be too late to find a better value deal this winter

You may have heard of ‘default’ offers in New South Wales, Southeast Queensland, Victoria or South Australia.

Some retailers are only offering market plans the same or above the default offer, but others are still offering market plans below it, so shopping around for a more competitive market offer could still be worth it. Confused about default and market offers?

Call an energy comparison service like iSelect* and make sure you have a copy of your latest bill handy and we can try and help you out.

3. Unfortunately, loyalty may not pay when it comes to energy

Think you may be rewarded for your loyalty? Think again! People who stay with the same provider could end up paying a ‘lazy tax’ or ‘loyalty tax’ because they don’t take the time to compare their options. Customers may not realise that most energy plans – particularly those featuring discounts – generally expire after a year or two.

If you’ve been on the same plan for several years, it’s possible you could have been automatically transferred onto a higher priced plan.

4. Look out for special offers & consider flexible payment options

Special offers? Yes please! Some energy retailers may offer you a better deal if you pay on time, manage your bills online or pay by direct debit. And in 2022, every little bit helps right? Remember though, these special offers generally expire after a year or two.

To avoid bill shock, consider flexible payment options. For example, some retailers may let you divide your annual usage into even monthly instalments. This is called ‘bill smoothing’. 

5. There’s still time to reduce your energy usage

The chilly weather will be sticking around for a little while longer, so if you haven’t taken any steps to reduce energy usage around your home this winter, it’s not too late. Open the curtains to let the sun in on cold days and close them to trap the heat in on frosty nights. Turning off appliances at the power socket when they’re not using them can also help you save.

Okay, now that we’ve unpacked 5 things you should know about winter power bills in 2022, hopefully you feel more prepared to take some action and help avoid the dreaded ‘bill shock’.