are there different types of energy companies?
Yes, Australian energy companies can be divided into three different types:
- Generation: energy companies that generate or produce electricity from coal, wind, sun, etc.
- Distribution: energy companies that distribute electricity to your home and own and manage the poles, wires and pipes.
- Retailers: energy companies that buy wholesale electricity and gas from distributors to sell on to homes and businesses.
the power to choose your energy retailer
In the late 1990s, most states opened the energy market to competition and deregulation. As a result, many Australians can now choose their energy retailer. The increased competition between energy retailers is beneficial for the consumer, giving them more options and added features including discounts for paying on time, online rewards and better customer service. When choosing to change energy retailers, customers are simply selecting a different company to manage the connection, set the price and manage bills and accounts. Their energy distributor, which is the company responsible for the physical distribution of energy, stays the same.
switch and save with your energy retailer
Unless you actively seek a competitive plan, you are allocated to a default Australian energy company and a default energy plan. Default energy plans are often the most expensive and tend to offer fewer benefits or discounts. By switching energy suppliers, you could save hundreds of dollars of your next bill. So take the time to shop around and find an energy company that is offering competitive rates, as well as discounts and rewards that will equate to real savings off your next bill.