Electricity prices to increase by nearly 10 per cent in some locations

The Australian Energy Regulator (AER) confirmed increases on May 26 of up to 9.7 per cent for some residential customers.

From July 1, customers will experience increases of 8.3 per cent to 9.7 per cent in NSW, 0.5 per cent to 3.7 per cent in South East Queensland and 2.3 per cent to 3.2 per cent in South Australia.

Small business customers will experience increases of 0.8 per cent to 8.5 per cent, depending on the region.

AER chair Clare Savage described it as a difficult but necessary decision amid increases in wholesale, retail, network and environmental costs, especially in NSW.

"We know this is not welcome news for consumers in the current cost of living environment," she said.

" As noted in our draft determination, sustained pressures across almost all components of the DMO (default market offer) have driven these price rises, with wholesale and network costs rising in most jurisdictions between one per cent and 11 per cent, and retail costs between 8 per cent and 35 per cent compared with last year."

It comes as Victoria's energy regulator, the Essential Services Commission (ESC), announced on May 26 that, on average, Victorian electricity prices are expected to go up by one per cent or $20 across the five electricity distribution zones.

Annual prices will rise by three per cent or $90 across the five distribution zones for small businesses.

Anyone who is struggling to pay their energy bill should contact their retailer as soon as possible to discuss support, and visit the Australian government energy rebate website to make sure they are accessing all the rebates and concessions they're entitled to.

Deputy Leader of the Opposition, Ted O'Brien, said the increases in power prices were not sustainable for families, businesses and industry.

"Constant assurances of cheaper power from the Albanese Government have not been borne out," he said.

"Australians are asking their government a simple question today: when will these price rises stop?"

Energy Minister Chris Bowen said while he was aware the increases would put pressure on households, the government had extended energy bill rebates till the end of 2025.

"That's why in the 2025 Budget, the energy bill relief was extended for a further six months, while further energy market reform to deliver a fairer, better energy system for Australians is underway," he said.