How electricity pricing in Victoria works

At AGL, we’re committed to making energy fairer. We're here to help you understand the Victorian Default Offer and how it compares.

5 min read
The Victorian Essential Services Commission sets standardised ‘default prices’ for some electricity standing offers. This is known as the Victorian Default Offer, or VDO.

The Victorian State Government introduced the VDO to make energy prices more affordable for Victorians.

The price of your electricity depends on your usage, the distribution zone you live in and the tariff you’re currently paying.

All electricity retailers, including AGL, must make the default prices available as a ‘standing offer’ to home and small business customers. You’re on a standing offer if you haven’t signed up to a specific energy plan called a ‘market contract’. But most AGL customers are on a market contract.

For customers on either standing offers or market contracts, retailers are required to say how their electricity prices compare to the VDO.

AGL is committed to making energy fairer for our customers. We’re here to help you understand the default price and how it compares with your current plan and other market rates.

Here’s what we’re doing to help Victorians better understand electricity prices and how it impacts them.

Find out more or get in touch

AGL’s customer service team is available to answer your questions online, or you can call us on 131 245.

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