In short:
The ACCC has warned solar and battery retailers to follow consumer law as more households turn to renewable energy to cut bills. New data shows virtual power plant users save up to 63% on electricity, while rebates drop average bills by 21%.
Regulator urges better protections
The Australian Competition and Consumer Commission (ACCC) has issued a warning to solar and battery installers, retailers and electricity suppliers, urging them to ensure their sales practices are fair, accurate and comply with consumer laws.
The alert comes as strong demand for home solar and battery systems is being driven by rising energy bills and the Australian Government’s Cheaper Home Batteries Program, which makes battery systems more affordable.
The ACCC’s latest Electricity Market Inquiry Report reveals that households with both rooftop solar and home batteries are saving significantly—paying around 40 per cent less on electricity compared to regular users. Households connected to virtual power plants (VPPs), which allow energy sharing between homes, are saving even more—up to 63 per cent less than the median bill.
“Home solar and batteries continue to be a compelling option for Australians who can afford the upfront cost,” said ACCC Commissioner Anna Brakey. “Those connected to a virtual power plant are saving up to almost $1000 off their annual bill.”
The report also shows that government rebates lowered median household electricity bills by 21 per cent between Q3 2023 and Q3 2024. Without the rebates, power bills would have increased by 4 per cent. The biggest benefit was recorded in South East Queensland, where rebates exceeded the average bill.
To protect consumers entering these emerging energy markets, the ACCC is calling for additional safeguards. This includes stronger protections for those signing up to new energy services like virtual power plants, and a proposed overarching duty that requires energy companies to act in consumers’ best interests.
“As more Australian households switch to battery and solar plans, it’s important that the deals on offer are fair, accurate and easy to understand,” Ms Brakey said. “The ACCC will be watching carefully and actively monitoring consumer complaints.”
Ms Brakey also advised households not to rush into purchases and to carefully evaluate system sizes, expected savings and compare quotes from multiple providers. Consumers are encouraged to use the government’s Solar Consumer Guide to make informed decisions.
This is the ACCC’s 13th report as part of its ongoing inquiry into electricity prices, profits and margins. The next report is due in December 2025.
