Tasmania Electricity Plans 2026
Tasmania has the cheapest electricity in Australia, and it is not close. Thanks to Hydro Tasmania's network of dams and wind farms, the state runs on nearly 100% renewable energy. Aurora Energy is the dominant retailer. Competition is limited but prices are low enough that most Tasmanians do not feel the need to shop around.
Aurora regulated tariff ~26c/kWh usage, ~95c/day supply. Last updated June 2026.
The TAS Market
Aurora Energy is the government-owned retailer serving about 275,000 customers. A few small retailers — 1st Energy and CovaU — offer residential plans in TAS but uptake is low. Most Tasmanians stay with Aurora because the rates are already the lowest in the country. There is little incentive to switch when your bill is $1,400-1,700 per year while mainland households pay $1,800-2,200.
TAS Rates
- ~26c/kWh usage — cheapest in Australia
- ~95c/day supply charge
- 20-25% below national average
- Typical annual bill: $1,400-1,700
Limited Competition
- Only 1st Energy and CovaU compete
- Market share for alternatives is low
- Savings from switching are small
- Aurora's standing offer is already competitive
TAS Electricity Rates
Aurora Energy's regulated tariff sits at about 26c/kWh usage and 95c/day supply. That is roughly 20-25% cheaper than the national average. A typical Tasmanian household pays $1,400-1,700 per year, compared to $1,800-2,200 in NSW. The main reason is hydro power — cheap, renewable electricity from Hydro Tasmania's dams that has insulated the state from gas price volatility.
Solar in TAS
Tasmania gets less sun than the mainland. Hobart averages 5.5 peak sun hours compared to Perth's 8.8. Aurora pays 8.8c/kWh for solar feed-in. Solar still works in TAS but payback is longer — 5-7 years for a typical system vs 3-4 in WA. On the plus side, the cooler climate means panels operate more efficiently (solar panels lose efficiency above 25°C, so TAS's mild summers help generation).
Saving Tips
A reverse-cycle air conditioner is 3x more efficient than a portable electric heater. If you are still using bar radiators or fan heaters, upgrading to a split system will cut your winter bill dramatically.
TAS offers generous energy concessions — $372 per year for eligible households. Make sure you are claiming it if you hold a concession card.
If you can shift heating, laundry, and hot water to off-peak hours, Aurora's time-of-use tariff may save you money compared to the flat rate.
If you are on Aurora's Pay As You Go plan, switching to a standard billed plan is usually cheaper. PAYG includes a premium for the convenience of prepaying.
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