What is bill smoothing? Easy English
This article is about one way AGL can help provide payment support, via something called bill smoothing.
One of those support options AGL offers is ‘bill smoothing’. Our bill smoothing service is ideal for residential and small business customers who want consistency and certainty when paying for energy.
Bill smoothing is a way of paying smaller amounts more often, helping to manage your energy bill. You can do this instead of paying larger bills a few times a year.
If you set up bill smoothing, you can choose to pay the same amount at the same time – for example, weekly or monthly. AGL will help you create a payment plan where you pay a portion of your estimated bill.
Bill smoothing example
If your energy bills totalled $1200 last year, then your bill smoothing payment would be $100 per month. Bill smoothing also takes into account other factors such as price changes.
Your yearly energy forecast is calculated using your past usage and a number of other factors. It’s then divided by how often you pay your bill – weekly, fortnightly or monthly. This will help you find your recommended bill smoothing payment amount.
If you’re new to AGL or don’t have 12 months of usage history, we will substitute any usage history we have for you from the last 12 months with data on other customers or households like yours.
Who can use bill smoothing?
Bill smoothing can help both small business and residential customers who have an overdue amount of less than $500 (including GST) or for those looking to:
- Reduce the impact of peak summer and winter bills
- Organise household expenses into an easy, regular payment
- Create more financial certainty for budgeting.
Bill smoothing is not available to customers who have an overdue account of more than $500 (including GST) or who are currently on AGL’s Staying Connected Hardship Program.
Learn more about bill smoothing with our downloadable Easy English guide.
This article is part of our series highlighting the availability of AGL’s Easy English Guides which are designed to assist our culturally and linguistically diverse customers across Australia to have better access to information about their energy accounts.