How does the government’s $300 energy rebate work?

Everything you need to know about the rebate, plus some extra tips to keep your bills down.

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Last updated: 15 May 2024

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The results of a CHOICE national survey published in July last year made one thing perfectly clear – Australians were and are very concerned about rising energy costs.

In fact, we recorded the highest level of worry about electricity costs over the previous eight years in our quarterly check on how consumers are travelling.

The federal government is not blind to the issue, as evidenced by its inclusion of a $300 energy rebate for all households in the federal budget.

But how exactly does this rebate work? It’s pretty straightforward, actually, although unfortunately it won’t mean we’ll be rolling in clover. But with inflation continuing to siphon off our bank accounts, every little bit helps.

One key point is that you won’t actually see a cent of the government rebate money in your bank account.

Here’s the three things you need to know

1. Every household in Australia is eligible for the rebate, but not every Australian. In other words, the rebate will be applied to a single power bill for each household, not to every person in that household.

2. Your power company is in charge of applying the $300 rebate, so you won’t be receiving any government deposits in your account.

3. The rebate will be applied quarterly at $75 per quarter.

4. The rebate will be automatically applied as a credit on your energy bills, so you don’t have to take any action to redeem it.

CHOICE tips: How to save on energy costs

Paying $75 less per quarterly energy bill for a year is certainly a welcome development, but there are a number of other steps you can take to decrease your energy costs, such as:

getting the temperature settings right on your air conditioner
finding the cheapest way to heat your home
avoiding common home heating mistakes
turning off your appliances at the power point
choosing an energy-efficient home entertainment system
avoiding power-hungry appliances
making changes like draught-proofing your home, switching to LED lights, buying appliances with a good efficiency rating, and more.

Andy

I'm a long-time investigative journalist who started off in New York City, ended up in Sydney, and likes nothing better than to shine a spotlight on underhanded behaviour in the consumer marketplace. The Investigations Team's work often focuses on financial harm to vulnerable people at the hands of corporations and businesses. I came to CHOICE in late 2010 by way of the Australian Securities and Investments Commission, a role that was preceded by a stint at the Australian Financial Review. I've also been a comms manager for a sales-driven boutique financial services firm in Sydney – an experience that inspired me to apply for the ASIC job. I research and report on a wide range of issues in the consumer marketplace – there never seems to be a shortage of them. I'm a former member of the NSW Fair Trading Advisory Council. You can find me on Twitter and LinkedIn. Recent articles by Andy TPG email cancellations causing chaos, but there may be an upside Cigno payday loan charging 800% declared illegal These are the most complained about businesses in 2023 3 out of 4 Australians harmed by a data breach CHOICE report: Extreme weather putting home insurance out of reach Why are we still paying billions in bank fees?