Overview
- Retailers must offer at least a three‑hour free daytime electricity window to households with smart meters in NSW, south‑east Queensland and South Australia starting July 2026, with possible expansion to other jurisdictions by 2027.
- Participation will be opt‑in, and existing contracts will not automatically include the free period.
- The government will implement the requirement through changes to the Australian Energy Regulator’s Default Market Offer, and has directed the AER to prevent price increases outside the free window.
- Officials say shifting consumption to midday will absorb surplus rooftop solar, reduce evening peak demand and lower system costs; government estimates suggest households that move usage could save up to about $800 a year.
- The AER’s Clare Savage endorsed the system benefits, while the Australian Energy Council criticised the lack of consultation and warned smaller retailers could be squeezed; some retailers already provide similar free-solar offers.