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What's the average gas bill in Australia?

What's the average gas bill in Australia?

What is the average price of natural gas in Australia? This will depend on where you live, but understanding the average gas bill may help you find a better deal for your household.

Gas usage in Australia

Energy costs can be a large chunk of your household budget, and making sure you’re getting a good deal will help keep those costs manageable. Australian households use fairly high amounts of both electricity and gas depending on what’s available in their area. Electricity is often used to power lights, appliances and even air conditioning. In contrast, gas is used for cooking, heating and possibly hot water systems. 

With the different uses for electricity and gas, you may find that your gas bill puts a big dent into your monthly expenses. This makes being able to estimate your bill important when you’re trying to work out your budget.  

Average prices of gas in different parts of Australia

Gas prices in Australia vary between the different states and territories. The figures stated below are calculated based on some assumptions on usage and are shown in per quarter figures. These figures will still give a fair idea of how much people in different parts of Australia might be paying for gas.

State/TerritoryAverage gas bill per quarter
New South Wales$175 - $190
Victoria$180 - $190
Queensland$165 - $175
Western Australia$100 - $115
South Australia$218 - $227
Tasmania$360 - $370
Australian Capital Territory (Canberra and its surrounding areas)$290 - $300

If you work out your budget monthly, gas prices by month can be very simply calculated by dividing these quarterly figures by 3.  

How can you find a plan that gives you the best price?

Understanding what the average cost of gas is in different states or territories, you’re in a better position when looking for the best plan for your household. Knowing the average cost will help you know if you’re paying above average or below. If it’s above the average gas bill, it might be time to review your plan or your gas consumption. When choosing a gas supplier and plan, you need to consider a combination of various factors.  A few important factors include:

Price

When looking at price, you need to understand the different pricing structures offered by different retailers. Some gas retailers offer a fixed price on gas usage, meaning you pay a fixed price regardless of how much gas you use. Others have different rates per block of usage, mening your costs will change depending on your usage. You may be able to get a deal where you pay a lower per-unit rate once you cross a particular usage level.

As well as usage charges, you’ll need to pay your gas retailer’s supply charges; these charges are charged for supplying gas to your residence via the gas mains. Supply charges vary from one retailer to another but are usually fixed when it comes to what appears on your bill.

Customer service

Customer service can sometimes be hard to judge, but a quick Google search of a retailer may offer some reviews from previous customers or even asking friends and family.

Other ways to judge good customer service is how you can contact the retailer? Do they have a call centre? Email? Online chat option? How easy is it to sign up with them? What information do they have on their website? All of these will help you understand if they have good customer service options. 

Hidden costs

You may get a shock when your bill arrives because of the hidden costs that your retailer mentions in the fine print of the contract but not in the advertised price. Some of these hidden charges include connection fees, credit card fees and late payment fees. Ensure you read the terms of your contract before finalising to understand any possible hidden costs that may pop up.

Geographical location

As shown by the average costs above, the price you pay for gas can depend heavily on where your property is. For example, prices in Tasmania and the Australian Capital Territory tend to be on the higher side. You need to keep this in mind, especially if you live in a regional area that may mean higher supply costs or you have higher usage needs.

Incentives

There are often multiple retailers offering gas to the same area, which means that they’ll offer different deals or incentives to try and win you as a customer. Some retailers offer discounts if you choose to buy both gas and electricity from them. Compare the different retailers in your area to see what deals they’re offering.

Billing frequency

This could be just as important as the other factors mentioned above, depending on the nature and source of your income. If you get paid monthly, you may prefer to pay monthly. Or, if you know you can budget for it, you could opt for quarterly bills or another option offered by the retailer. Ensuring that your billing frequency works with your budget will help you avoid any issues in the future.    

With more understanding about the average gas prices available for every part of Australia, you can now check if you’re paying more than the average price. If you are, you can then consider if it may be time to review your current plan and see if a better one from your current retailer is available. If there isn’t a better deal on offer from your current retailer, you may want to consider switching to a different supplier. No matter whether your gas bill is above or below the average gas bill, it’s always good to keep an eye on gas prices in case they change.





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This article was reviewed by Head of SEO Leigh Stark before it was published as part of RateCity's Fact Check process.

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