47% Spike in Electricity Costs Coming: What You Can Do Now
PSA: Electricity prices are predicted to increase by up to 47% between now and 2025!
Homeowners across Australia are bracing for increased energy bills as state and federal government assistance is set to expire. With almost a 50% rise on the horizon, homeowners must explore ways to mitigate the impact on their household budget.
One of the most effective solutions is investing in a solar battery system. By generating and storing your energy, you can protect yourself from rising costs while embracing a more sustainable lifestyle.
In this blog, we’ll cover the expected reasons behind the electricity bill increase and provide actionable steps you can take to lower your expenses, including the benefits of solar batteries and other energy-saving tips.
Out-of-pocket electricity costs would have increased by 29 per cent nationally since June 2022 without state and federal government intervention
Why Are Electricity Prices Rising?
There are a number of factors contributing to the anticipated 47% rise in electricity bills. These include:
Increased Demand: As more people use electric devices, including EV chargers and air conditioning systems, the overall demand for electricity continues to climb, putting a strain on the grid.
Energy Supply Shortages: Recent disruptions in energy supply, such as reduced coal production and geopolitical tensions affecting natural gas availability, have led to higher energy production costs, which are passed on to consumers.
State & Federal Government Assistance Expiring: Until early 2025, homeowners won’t bear the full weight of their electricity bills as state and government assistance will still be in effect. An article written by the Financial Review explains, “Out-of-pocket electricity costs would have increased by 29 per cent nationally since June 2022 without state and federal government intervention, according to the Australian Bureau of Statistics. Bills have instead declined by 5.3 per cent on average due to the rebates.”
However, with these rebates set to expire, homeowners will begin to feel the pressure as early as October 2024.
How Solar Batteries Can Shield You From Rising Costs
With rising energy prices, a solar battery can act as a financial lifesaver. Here’s how:
Energy Independence: By installing solar panels and a battery, you can generate your own electricity during the day and store any excess energy for use at night. This drastically reduces your reliance on the grid, allowing you to avoid peak rates.
Reduce or Eliminate Electricity Bills: Solar battery systems can significantly reduce or even eliminate your electricity bills, especially if you generate more energy than you consume.
Maximising Solar Potential: Without a solar battery, any excess energy you produce is sent back to the grid, often at lower buyback rates. A battery allows you to store and use that energy when it’s most beneficial.
Protection from Future Rate Hikes: With electricity prices predicted to continue rising, installing a solar battery now helps you lock in lower energy costs and reduce your vulnerability to future price increases.
Other Energy-Saving Tips to Prepare for the Surge
In addition to investing in solar battery storage, here are some other ways you can reduce your energy consumption and keep costs in check:
Upgrade to Energy-Efficient Appliances: Switch to energy-efficient appliances that consume less electricity.
Monitor Your Usage: Use smart meters and apps to track your electricity usage in real-time. This will allow you to identify energy drains and adjust your habits accordingly.
Improve Home Insulation: Proper insulation can reduce heating and cooling energy costs by preventing air leaks and maintaining a stable indoor temperature.
Install Solar Panels: If you don’t already have solar panels, now is the perfect time to consider them. Combining solar panels with a battery can maximise your energy savings and offer the highest return on investment.
Time Your Energy Use: Run major appliances during off-peak hours when electricity rates are lower. Many energy providers offer time-of-use pricing plans to encourage this.
A 47% spike in electricity bills is no minor issue. Still, you can minimise its impact on your household budget by taking proactive steps.
Why You Should Act Now
While the rise in electricity prices may feel like a distant issue, planning ahead can make a world of difference for your finances. By investing in a solar battery system now, you can shield yourself from the upcoming rate hike and set yourself up for long-term energy savings. The sooner you act, the more prepared you’ll be for what’s to come.
Solar Battery Group offers customised solar battery solutions and monitoring plans to fit your home’s unique needs. Our experts can help you design a system that maximises energy efficiency and saves money.
A 47% spike in electricity bills is no minor issue. Still, you can minimise its impact on your household budget by taking proactive steps.
Contact Solar Battery Group or request a call back today to learn how we can help you future-proof your energy costs and embrace a more sustainable, cost-effective lifestyle.