Energy education

/

June 23, 2026

Energy bills are set to get simpler. Here is what it means for your business

Australia's energy regulator wants to make electricity pricing as simple as buying milk. We break down the AEMC's recommendations, what they mean for your business, and why waiting a decade for reform to kick in isn't your best move.

Blog Image

Energy bills have long been one of the more frustrating parts of running a business. Complex charge types, confusing tariff structures, and plans that are hard to compare have left many business owners feeling like they need a degree in energy just to work out if they are getting a fair deal.

That is exactly the problem the Australian Energy Market Commission (AEMC), the independent body responsible for making and amending the rules that govern Australia's electricity and natural gas markets, is trying to fix. In June 2026, the AEMC released its final Pricing Review recommendations, setting out a roadmap to make electricity pricing simpler and fairer for Australian consumers and businesses. The headline idea: energy bills should be as easy to understand as buying milk at the supermarket.

What is the AEMC Pricing Review?

The AEMC is Australia's energy rule-maker and expert policy adviser to governments. Its Pricing Review is one of the most comprehensive looks at electricity pricing in the country's history, with more than 2,700 submissions received from consumers, industry, and advocates.

The review was driven by a simple reality: the pricing framework was designed for a world where electricity flowed one way, from large generators to customers. That world has changed. One in four Australian homes already has rooftop solar, and by 2040 that figure is expected to be one in two.

The final report, released in June 2026, sets out a package of reforms organised around three themes: harnessing competition for all consumers, improving the ability to compare energy offers, and reforming how network costs are shared.

The three reform themes explained

1. Harnessing competition for all consumers

The most significant recommendation is that retailers, not customers, should manage the complexity of energy pricing. Rather than businesses needing to navigate demand charges, time-of-use windows, and network tariff structures to find a good deal, retailers would be required to bundle that complexity into simple, comparable plans.

AEMC chair Anna Collyer used a straightforward analogy to explain the intent. When you buy milk, you do not pay separately for the cow, the carton, and the transport. You see one price on the shelf. The recommendation is that electricity pricing should work the same way.

This theme also targets the loyalty tax: the practice of charging long-standing customers more than new customers for the same plan. Under the proposed changes, retailers would be required to charge all customers on the same plan the same price, and compete to offer good deals to customers who have not actively shopped around.

2. Improving the ability to compare energy offers

Electricity products are becoming more diverse, with new offerings like virtual power plants, solar soak plans, and flexible pricing making it harder to compare options side by side. The AEMC recommends upgrading the government's Energy Made Easy comparison platform so that businesses and households can more easily compare the full range of plans available to them.

3. Reforming how network costs are shared

Network costs, which cover the poles, wires, and infrastructure that deliver electricity, make up a significant portion of a typical energy bill. The AEMC recommends reforming how those costs are distributed so that the burden does not fall disproportionately on those who cannot access solar or batteries, such as renters and lower-income households.

AEMC modelling published in April 2026 indicated that network cost reform could deliver up to $6 billion in cumulative savings over 15 years, though the AEMC noted that figure was based on conservative assumptions and that targeted consumer protections would be built into any implementation.

What does this mean for your business?

If the recommendations are implemented, energy plans should become easier to compare, and staying loyal to a single retailer without reviewing your contract should stop costing you money. For small and medium businesses, that is a meaningful shift.

That said, there is an important catch. The AEMC's recommendations are not immediate changes to the law. For reforms to take effect, a formal rule change request needs to be made by a third party. The proposed implementation timeline spans approximately 10 years, beginning in 2026 and rolling through to the mid-2030s.

In other words, meaningful change is coming, but it is not happening overnight.

Why waiting is not a strategy

Here is the practical reality for small business owners: the reform is years away from full effect. In the meantime, 4 out of 5 businesses we review are overpaying on their energy. If you have not compared your plan in the last 12 months, there is a good chance you are one of them.

The best time to review your energy costs is before the market forces the issue. Competitive offers are available today, and a free comparison can show you whether there is a better deal within reach.

At Zembl, we do the legwork for you. Our Energy Experts compare plans across leading retailers and handle everything from comparison through to sign-up. For small businesses, our service is completely free. You do not need to wait for the energy market to simplify itself. We can make it simple for you today.

Want to know more about how your energy bill is structured right now? Read our guide: How to read your energy bill.

Author Image
Zembl Energy Experts
Australia’s trusted business energy experts

Are you looking for a better energy deal?

Save time and attach your latest energy bills for a free comparison.
Currently available in NSW, ACT, SA, VIC, QLD & limited coverage in TAS & WA. Not available in NT and embedded networks.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.