Some energy companies charge more simply because they can. Others cut through the noise and quietly offer some of the lowest tariffs in the market. If you’re running a business and your electricity bill feels like a second rent, here’s the good news: there are better options—and they’re not always where you think.
Let’s uncover which energy companies are actually delivering the cheapest business energy rates in Australia, and why comparing apples with apples in this game is trickier than it seems.
There’s no single winner across the board. That’s because tariffs aren’t one-size-fits-all—they shift based on your:
State and postcode
Business size and usage profile
Time-of-use habits
Meter type (smart meter vs basic)
Contract length and add-ons (like solar feed-in)
That said, some names consistently appear at the lower end of comparison sites and broker reviews.
Here are a few retailers that frequently offer competitive business energy rates:
| Energy Company | Known For | Typical Advantage |
|---|---|---|
| ReAmped Energy | Online-only, low overheads | Often undercuts major players |
| Mojo Power | Simple, usage-based plans | Transparent pricing for small biz |
| Energy Locals | Subscription-based model | No markup on wholesale prices |
| OVO Energy | Carbon-neutral + smart meter savings | Time-of-use flexibility |
| Amber Electric | Access to wholesale market | Lowest cost when usage is optimised |
Anyone who’s compared Amber Electric’s wholesale pricing knows it can swing wildly—but for savvy operators with flexible usage times, it can be absurdly cheap.
Still, there’s no universal “cheapest” because different businesses have different load profiles. A bakery using ovens all morning? Totally different from a gym pumping aircon in the evening.
Let’s cut to the psychological bias at play here: anchoring. We often compare energy rates to residential prices, or cling to a past rate as our mental benchmark. But the reality?
Business energy pricing is a whole different beast.
Each state has different rules, network costs, and even daily supply charges. For example:
In Victoria, competition is fierce—some retailers slash rates to gain market share.
In Queensland, regional areas have less retailer choice due to government oversight (e.g., Ergon Energy).
In NSW and SA, time-of-use plans and demand charges can make or break your tariff structure.
It depends on your risk appetite.
Established retailers (like Origin, AGL, or EnergyAustralia) may charge slightly higher rates but offer:
Bundled services (gas, solar, battery)
Flexible contract terms
Call centres and account managers
Challenger brands, on the other hand, often operate lean, digital-first models. That means:
Lower overheads = cheaper tariffs
Online chat only (no phone support)
Limited product options
Behavioural science tells us we tend to overvalue the safety of big brands (authority bias)—but in energy, small players can often offer better deals if you're willing to forgo the white-glove service.
Here’s where loss aversion kicks in. We focus on the per-kWh rate and miss the sneaky stuff that eats into the savings.
Look for:
Daily supply charges – a fixed cost that can dwarf your usage savings
Late payment fees – especially if you run tight cash flow cycles
Demand charges – based on peak usage spikes, not just overall usage
Exit fees – still present in some commercial contracts
And don’t forget: not all "discounts" are equal. Some only apply if you pay on time, online, or via direct debit. Miss one? You’re back to square one.
A few practical, behaviour-led nudges:
Use a broker or energy comparison platform – but double-check their commissions and partners.
Install a smart meter – it unlocks access to time-of-use plans and better deals.
Shift heavy usage to off-peak hours – especially if you’re on a demand-based tariff.
Negotiate annually – inertia is expensive. Retailers bank on you not switching (consistency bias in action).
Bundle where it makes sense – gas + electricity can unlock multi-service discounts.
Oh, and track your usage like you track your inventory—because nothing screams "overpaying" like using peak power during peak price times out of sheer habit.
For some businesses—absolutely. Amber Electric, for instance, gives access to real-time wholesale prices. That means you ride the lows of the market…but also the highs.
If your operations are flexible (say, running heavy equipment overnight), you can score electricity at fractions of traditional rates.
But it’s not for everyone. Prices can spike during heatwaves or outages, and you’ll need a smart meter and an appetite for variability.
It’s not a simple leaderboard. Instead, the cheapest energy provider for your business will depend on:
Your state and usage profile
Whether you’re open to wholesale pricing
Your comfort with digital-only providers
Smart meter access and time-of-use flexibility
For businesses ready to switch or compare, this breakdown of cheapest electricity rates offers a strong starting point.
Are business energy rates cheaper than residential?
Not usually. Businesses often face higher supply charges and potential demand tariffs. But they can access bespoke deals unavailable to households.
How often should I review my energy plan?
Every 12 months—minimum. Retailers count on business inertia, so set a reminder to renegotiate or compare.
Can I switch energy providers mid-contract?
Yes, but watch for exit fees or minimum contract terms. Always check the fine print.