Average Electricity Bills in Sydney (2026)

Electricity prices in Sydney continue to change, and many households are understandably wondering whether their power bills are about average, or higher than they should be.

While every home is different, looking at typical electricity usage and costs by household size can help provide a useful benchmark. Below, we break down what the average electricity bill looks like in Sydney in 2026, why prices have risen in recent years, and what factors have the biggest impact on your bill.

What Does the Average Electricity Bill Look Like in Sydney Right Now?

The average electricity bill in Sydney depends heavily on:

• How many people live in the home
• How much electricity is used each day
• Appliance efficiency and usage habits
• The type of electricity plan you’re on

Based on typical Sydney household electricity usage and average pricing, the table below shows indicative electricity bills by household size.

Average Electricity Bills in Sydney (Indicative)

Household	Daily electricity use	Monthly bill	Quarterly bill
1 Person	8.52 kWh	$123.10	$369.30
2 Person	14.35 kWh	$188.23	$564.69
3 Person	17.43 kWh	$222.64	$667.91
4 Person	20.03 kWh	$251.70	$755.11
5+ Person	24.68 kWh	$303.64	$910.93

Source: SolarCalculator – Average Electricity Bills in Sydney

These figures are indicative averages only. Actual electricity bills can be higher or lower depending on your energy plan, appliance use, and lifestyle.

Why Electricity Bills Have Risen in Recent Years

Many Sydney households have noticed electricity bills increasing over the past few years, even when usage hasn’t changed significantly.

One contributing factor is changes to the Australian Energy Regulator’s Default Market Offer (DMO). The DMO is a benchmark price that caps what retailers can charge customers on standing offer electricity plans in New South Wales.

While many households are on market offers rather than standing offers, the DMO still plays an important role in the electricity market.
When the benchmark price increases, it tends to influence pricing across the broader market. According to ABC News reporting, the regulator’s most recent DMO price rises for the 2025–26 period are expected to contribute to higher power bills for many NSW households.

In addition to the DMO, electricity prices have also been influenced by:

• Higher wholesale electricity costs
• Increased network and infrastructure expenses
• Ongoing changes across the energy market

Together, these factors have placed upward pressure on electricity prices across Sydney and New South Wales.

Average Power Usage in Sydney Homes

Electricity usage is one of the biggest drivers of your power bill.

Based on typical Sydney household patterns:

• Small households may use around 8–10 kWh per day
• Medium households often use 14–18 kWh per day
• Larger households can use 20–25 kWh or more per day

High-energy appliances such as air conditioners, electric hot water systems, clothes dryers, and older appliances can significantly increase daily electricity usage, particularly during summer and winter. How and when electricity is used can have just as much impact as household size.

Example: How Electricity Usage Translates Into a Monthly Bill

To put these usage figures into context, here’s a simple example of how an electricity bill might be calculated.

If a household is on a plan charging around 37 cents per kilowatt-hour (kWh), with a daily supply charge of about $1.03, and uses approximately 17 kWh per day, their electricity bill would be roughly $210–$215 per month, before any discounts or solar credits.

This example is intended as a guide only. Actual bills will vary depending on your electricity plan, usage habits, and whether your home has solar or other energy-saving features.

How Electricity Costs Are Calculated

Electricity bills are generally made up of two main components:

• Usage charges – the cost of the electricity you consume, measured in kilowatt-hours (kWh)
• Supply charges – a daily fixed fee for being connected to the electricity network

Even households with low electricity usage still pay a daily supply charge, which means bills won’t drop to zero even if usage is minimal.

Electricity plan type also matters. Standing offers are capped by the Default Market Offer, while market offers may provide lower rates depending on the retailer and plan conditions.

How to Save Money on Electricity

Although electricity prices are largely outside your control, there are practical steps you can take to help manage your power bill.

Simple changes can make a noticeable difference over time, particularly in households with higher energy use.

Some ways to reduce electricity costs include:

• Turning off appliances at the power point when not in use
• Upgrading to energy-efficient appliances and LED lighting
• Using heating and cooling efficiently, rather than overheating or overcooling the home
• Running high-energy appliances, such as dishwashers or washing machines, during off-peak times where possible
• Reducing reliance on clothes dryers and maximising natural drying or solar power
• Comparing electricity plans regularly to ensure your rates suit your household usage

A licensed electrician can also help identify electrical inefficiencies, outdated systems, or opportunities to improve energy efficiency within your home. We provide electrical services in North Shore, Northern Beaches, Eastern Suburbs, Hills District and Ryde.

Conclusion

Electricity bills in Sydney vary widely depending on household size, usage habits, and energy plans. While average figures can provide a helpful guide, they aren’t a one-size-fits-all measure.

Understanding how much electricity your household uses, how electricity costs are calculated, and why prices have risen in recent years can help you make more informed decisions about managing your energy costs.

If you’re concerned about rising electricity bills or want advice on improving efficiency in your home, speaking with a qualified electrician is a good place to start.

This article was updated in January 2026 to reflect current electricity usage and pricing in Sydney.