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What the increased default market offer means for electricity prices

Grattan Institute

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Introduction

A draft of the Australian Energy Regulator's default market offer has been released. The DMO suggests electricity prices will rise by an average of 20% in the coming year. It acts like a price cap or a safety net in the market because it's not in any retailer's interests to offer people prices that are higher than the default market offer. And it also means if you are thinking of changing your electricity contract, you've got something that you can compare to.

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