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Retail Tariff Design Restructuring Report
Overview
Starting 1 August 2026, the RA is restructuring how electricity bills are calculated to make costs fairer and more accurately tied to each customer type. This is not a rate increase. The average rate across all customer classes stays the same. Bills will still vary based on usage and solar or other distributed generation.
Executive Summary
Effective 1 August 2026, the RA is implementing a new rate structure that makes the way electricity costs are recovered fairer, clearer and more accurately tied to what it actually costs to serve each type of customer.
The change is only a restructuring of how bills are calculated, not a change in the overall level of rates. The average rate across all customer classes remains the same. As usual, individual bills will vary depending on how much electricity a customer uses and whether they have solar panels or other distributed generation (DG).
The key changes are:
- Fairer fixed charges. The fixed part of the bill, which covers the cost of grid access regardless of how much electricity is used, is being incrementally increased to better reflect actual infrastructure costs.
- Separate tariffs for customers with solar DG. Customers who generate some or all of their own electricity will now pay a fixed charge that more accurately reflects the grid access costs they continue to impose on the system.
- Transparent unbundled charges. Energy charges on bills will now be split between a generation component and a network component, so customers can see clearly what they are paying for.
Disclaimer
Please be advised that all information submitted to the RA may be subject to public disclosure pursuant to the Public Access to Information Act 2010.
