Understanding Your Bills
Energy bills consist of the following price components:
- Retail Cost of electricity (commodity price)
- Network charges (the cost to distribute electricity from generators, to wires, to end-users)
- Government and market charges (e.g. AEMO charges)
- Costs of environmental schemes and other add-ons (National – LRET, SRES, State – VEET, ESS,)
- A retail margin (the on-sell cost from retailer to customer)
National Metering Identifier (NMI) is a ten-character unique identifier located on your electricity bill used to identify your supply point.
Metering Installation Registration Number (MIRN) is a ten-character unique identifier located on your gas bill used to identify your supply point.
The actual commodity cost of electricity is just one element of your electricity bill. The majority of your bill is made up of other charges from stakeholders in the supply chain. The overall cost of your electricity can be greatly affected by these charges.
For example, while the commodity cost remains relatively competitive, maintenance on network infrastructure has caused a dramatic increase in costs as these charges are passed on to the consumer by the retailer.
Transmission Losses are incurred during the transport of electricity from the generator to the through poles and wires of the network.
Distribution Losses are incurred during the transport and delivery of electricity through a network’s poles and wires to the end user.