South-west residents concerned about skyrocketing electricity bills

A number of residents have been advised their electricity bills are expected to rise by hundreds of dollars.

One family of four was advised: "We estimate the yearly cost of your electricity will increase by $725."

The letter advised the price increase was "predominantly due to unprecedented supply challenges and volatility in the Australian energy market".

Warrnambool's Shaunie O'Connor said despite having solar panels, her electricity bill had increased by $100 a month.

In addition to this, her rent has increased by $22 a week.

She said it was a struggle each week to get by.

Anglicare Victoria South West community development co-ordinator Louise Serra said there was a growing number of clients who were concerned about the soaring cost of energy.

"We're seeing a higher number of people than usual concerned about the rising costs,' Ms Serra said.

In addition to that, she said they were being advised to contact their energy provider but often had trouble getting through.

"A lot of people have difficulty getting onto their providers," she said.

"They're told to contact them to make sure they're on the best deal but they're having trouble getting through."

Ms Serra said this was creating additional stress to people who were already struggling to make ends meet.

"I think the power companies need to look into it and improve the outcomes for their clients," she said.

"Everybody's been getting those letters and it's quite worrying."

Energy regulators have increased their benchmark pricing by an average of 25 per cent as they pass on the rising cost of electricity.

Some people can expect bills up to 50 per cent more expensive than what they paid previously.

This comes after rates rose by up to 18 per cent in 2022.

Energy expert at comparison website Finder Mariam Gabaji said those coming off particularly good contracts were more likely to feel the pinch. "I think we're seeing the long-term impact of the energy crisis that started last year, but it's now going to fully hit households that used to be on more competitive deals and weren't impacted as much by those price hikes in 2022," she said.

"So now when they're told by their retailer that bills are going up by another 40 or 50 per cent, that's probably because they're on these legacy deals."

Ms Gabaji said the rate rise would affect some residents worse than others, with households in Victoria, New South Wales, South Australia and Queensland to be hit the worst.

"There are changes happening, it just depends on what state you're in and who your provider is," she said.

EnergyAustralia has hiked rates by 10-14.1 per cent on average, while Origin Energy will offer 21.1-25.5 per cent and fees from AGL will rise by 25.5-29.7 per cent for most.

Not everyone will be so lucky however, as Victorians on a low rate contract with EnergyAustralia will see an average increase of 25.9 per cent, or $482.

Ms Gabaji said other utilities were likely to raise their rates in turn.

"It does follow that when electricity prices change, gas lines get renewed as well," she said. To cope with these mounting fees, Ms Gabaji said the best thing people could do was check if they could be getting a better deal with a different energy provider.

Moyne Shire mayor Karen Foster said the council had updated its website to include advice on how to reduce home energy consumption, get the best deals on energy bills and draught-proofing a home.

"People may not know that they can save hundreds of dollars off their energy bills by simply changing heating habits at home and even more by updating to new more efficient appliances," Cr Foster said.

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