The unwelcome news has been confirmed - after record prices in 2022, the cost of gas has again shot up for customers on 1st February 2023, with soaring wholesale prices leaving retailers with no choice but to pass on the surging costs.

If you are worried about the cost of energy for your home, talk to a comparison expert at CheapBills and we can help you compare prices and connect electricity and gas to a cheaper option. 

This page will discuss the following:

• Why have gas prices gone up?
• How much will I have to pay for gas in 2023?
• What can I do to find cheap electricity and gas?

Why have gas prices gone up? 

In 2022, the Australian government took steps to intervene in the rising gas prices by placing a cap on new wholesale contracts from gas suppliers to retailers at $12/gigajoule for 12 months. So why have prices continued to rise?

Unfortunately, many retailers locked in fixed-price contracts before the cap came into effect, which means they are still paying high 2022 prices. Plus, with wholesale prices still volatile from the worldwide gas shortage, it means retailers need to pass on the costs to their customers to compete in the global market.

You can find out more about the gas crisis, including the impact of the war in Ukraine and the COVID-19 pandemic here: Why have gas prices gone up?

Many customers have been left wondering why, amid a cost of living crisis, it has been left to customers to wear the extra cost. General Manager for Retails at Origin Energy, Jon Briskin, addressed the concerns, stating that:

 “Increasing prices is never a decision we take lightly, especially at the moment when we know some people are struggling with higher costs of living. Like all retailers, we have been facing materially high gas costs over recent months caused by the war in Ukraine which has put pressure on global gas supplies, which means it costs us more to supply gas to our customers.”

How much will I have to pay for gas in 2023?

If you are on a variable rate contract, then the increase to your bill depends on where you live. We have taken a look at the standing offers from the Big Three Australian retailers, whose new rates came into effect on 1st February. The increases are on top of the base rate of the average gas bill in each state.

• Victoria

Unfortunately, Victorians are set to be hit the hardest. AGL customers can expect to pay up to $321 more each year, $370 for Origin Energy and $480 for EnergyAustralia.

• New South Wales

Residents in New South Wales should expect an increase of around 8.1%. That means about $78 a year for AGL customers and $90 for Origin customers. For small businesses, the increase will be around 10.5% or $579 a year for Origin customers.

• South Australia

In South Australia residents with an AGL account will see a gas price increase of $56 a year, and up to $80 a year for Origin customers.

• Queensland

Queenslanders are facing the smallest impact, with AGL customers receiving an increase of around $40 per year and $50 for Origin Energy.

What can I do to find cheap electricity and gas?

With the cost of living going up across the board, there’s never been a more important time to compare energy plans to see if you could make a saving on your electricity and gas.

Call a comparison service like CheapBills and let an energy expert help you compare energy prices and connect electricity and gas connections to a better deal.

We can compare gas plans and energy bundles from our panel of providers to see if there is a cheaper option for your home. We will compare energy prices from:

• EnergyAustralia
• ActewAGL
• Covau
• Tango Energy
• Blue NRG
• Energy Locals

Our comparison service is 100% free of charge with no obligation. If we find a plan you like, we will make all the arrangements to switch electricity and gas to your new provider, with no interruption to your service.

If you switch with CheapBills, you can support your favourite crowdfunding campaign at the same time by choosing to Switch and Donate with icause.

To compare plans you must live in a deregulated energy region. We can compare energy in Victoria, New South Wales, South-East Queensland, ACT, South Australia and Tasmania.

Next steps

Don't wait for more increases before you take action. To reduce the cost of your energy, compare with CheapBills and find the cheap gas providers from our carefully chosen panel of retailers.

Connect now to a new plan by calling 1300 786 045 or entering your details online.