Frequently Asked Questions
IPART is happy to answer these frequently asked questions about our work. Use the filter menu if your question is specific to one industry, or click to expand any of the more general topics below. If your question remains unanswered, consider consulting our glossary, or please feel free to contact us.
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IPART stands for the Independent Pricing and Regulatory Tribunal of NSW.
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IPART has 8 core functions:
- Set maximum prices for services declared as monopoly services and other specified services in NSW.
- Administer the licencing or authorisation of water, electricity and gas businesses operating in NSW, and monitor their compliance with the conditions of their operating licence or authorisation.
- Administer the NSW Greenhouse Gas Reduction Scheme and its register of certificates.
- Administer the NSW Energy Savings Scheme and its register of certificates.
- Assist the NSW Government or its agencies by investigating issues related to pricing, efficiency, industry structure or competition, or to assist other Australian regulators on a fee for service basis.
- Sets the local government rate peg and assesses applications for special rate variations and council contributions plans.
- Undertake reviews to identify potential regulatory reforms on matters referred by the NSW Government.
- Register agreements for access to public infrastructure assets and arbitrate disputes about these agreements.
- Investigate complaints about competitive neutrality of government agencies, where these are referred to us by the NSW Government.
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IPART’s general purpose is to make independent regulatory decisions and provide advice to enhance the economic, social and environmental well-being of the people and state of NSW. We strive to meet the following goals (subject to specific legislative requirements):
1. Ensure consumers pay fair and reasonable prices for regulated services that reflect the efficient costs of supply.
2. Be a key economic and policy think-tank and provide high quality and impartial advice to the NSW Government.
3. Encourage regulated services to increase their economic efficiency and maintain or improve their service performance where there is customer willingness to pay.
4. Promote secure and sustainable energy and water supplied and reliable public transport services.
5. Encourage prudent and efficient investment in water, public transport and local government infrastructure.
6. Encourage environmental sustainability.
7. Deliver best-practice regulation and promote a consistent, predictable regulatory environment.
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IPART comprises the Tribunal and Secretariat.
The Tribunal includes up to 3 permanent members who are appointed by the Premier of NSW. It can also include additional temporary members who are appointed by the Premier to assist on specific investigations.
The Tribunal members are responsible for making IPART’s decision and recommendations.
The current permanent members include:
- Dr Peter J Boxall AO, Chairman
- Mr James Cox PSM, Full Time Member and Chief Executive Officer
- Mr Simon Draper, Part Time Member.
The Secretariat includes teams of analytical, legal and administrative staff who assist and support the Tribunal. For example, the Secretariat:
- conducts research and analysis for IPART reviews
- manages the consultation processes for reviews
- prepares and publishes the issues papers and reports for reviews
- provides legal advice to the Tribunal.
IPART also engages external consultants to conduct specialist research and provide expert advice for our reviews where needed.
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We make our price determinations after an extensive consultation and review process. Typically, this involves:
- Advertising the price review in a range of newspapers.
- Publishing an issues paper that:
- explains what we are reviewing
- outlines our proposed approach to the review
- discusses the key issues we will consider, and
- invites all interested parties to make a written submission to the review.
- Engaging consultants to provide expert analysis and advice where necessary.
- Publishing all the submissions and consultant reports we receive on our website, subject to confidentiality.
- Considering all the submissions and reports we receive and conducting our own research and analysis.
- Making a draft determination, and publishing a draft report that:
- explains our draft determination – including how and why we made our draft decisions, and their implications for the regulated business and its customers
- invites all interested parties to make a submission in response to the draft report.
- Considering all the submissions we receive in response to the draft report.
- Making a final determination, and publishing a final report that explains our final determination – including how and why we reached our final decisions and their implications for the regulated business and its customers.
- Publishing short fact sheets for consumers that explain how and why prices will change and how the changes will affect them.
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The issues paper and draft report for all our reviews provide information on when and how to make a submission (usually at the start of the report, before the table of contents).
In making a submission, you can address:
- some or all of the issues identified in the issues paper, or some or all of the draft decisions discussed in the draft report
- any other issue you think is relevant to the review (taking into account the matters we are required to consider under either the relevant legislation or the terms of reference for the review).
For more information, see our submissions policy.
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IPART usually makes a draft determination or draft recommendations before we make our final decisions. We publish a draft report to explain our draft determination or recommendations, and invite stakeholders to provide feedback.
Our draft determinations and draft reports have no status or purpose other than to assist us in consulting with stakeholders and making our final decisions. In some cases, our final decisions are different from the draft decisions.
What is the difference between a determination and a recommendation?
Our determinations are made under powers conferred by legislation, and our final determinations are binding on the business or industry they relate to.
Our recommendations are usually made at the request of a NSW Government Minister, and our final recommendations are not binding. The Government has the final decision-making power.
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If you disagree with a final decision, your right of appeal will depend on the legislation or industry code under which we made the decision. Therefore, you may need to seek legal advice on how to proceed.
If you have a complaint about our review processes or administrative conduct, you should contact us by email, letter or telephone. We will acknowledge your complaint and attempt to address it. We will also register it as a submission to the review, if appropriate. If you are not happy with our response, you may make a complaint in writing to the NSW Ombudsman.
If you are concerned about a Government Information Public Access (GIPA) or privacy issue, you should contact us. You have various avenues of review available to you.
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You can check this website – all our decisions are published here at the time they are released. You can also subscribe to receive an email notification when we release a document in your area of interest.
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This website contains IPART documents published from January 2005 to the present. To find older documents, clink on the Archives link along the bottom of the home page. This will connect you to our old website, which contains documents published between 1996 and December 2004.
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We welcome comments on your experience using our website. Please send your feedback via email: feedback@ipart.nsw.gov.au.
Alternative, you can write to the Information Manager, PO Box Q290, QVB Post Office NSW 1230.
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There are 3 regulated suppliers (or standard retailers) in NSW:
- EnergyAustralia, which supplies parts of Sydney, and the Central Coast and Hunter regions. For a map of its supply area, click here.
- Integral Energy, which supplies western Sydney, and the Blue Mountains, Southern Highlands, Illawarra and Shoalhaven regions. For its supply area, click here.
- Country Energy, which supplies the remainder of NSW. For its supply area, click here.
These are the retail businesses that supplied electricity before competition was introduced in 2002. They are now the ‘default retailers’, which means they are obliged to supply electricity to all small retail customers in their supply area who haven’t entered into a market contract. They must charge these customers the regulated retail prices.
The regulated suppliers used to be state-owned, but are now privately-owned. EnergyAustralia is owned by TRUenergy. Integral Energy and Country Energy are owned by Origin Energy. However, the new owners are continuing to use the existing brand names.
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Each regulated supplier has several different regulated prices. Click here for:
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IPART makes determinations on regulated retail electricity prices when the NSW Government asks us to do so. We were last asked to make a determination in 2009, for the period 1 July 2010 to 30 June 2013.
The Government gave us a detailed Terms of Reference, which required us to set regulated prices to recover the efficient costs of supplying electricity to customers on regulated contracts. These costs include:
- purchasing wholesale electricity from the National Electricity Market (NEM)
- paying the network businesses to use the transmission and distribution networks to transport electricity from the power stations to their customers’ properties
- complying with green schemes including the carbon pricing mechanism
- running the retail business (eg, connecting and disconnecting customers, reading meters, billing and dealing with customer enquiries) and earning a reasonable profit margin.
We undertook extensive, detailed research and analysis to forecast these costs in each year of the determination period. We also undertook annual reviews in 2011/12 and 2012/13 to update some of the forecast costs. Then we decided how much prices need to increase in that year to recover the updated forecast costs for that year.
Note that the prices the regulated suppliers (and other retailers) pay for using the transmission and distribution networks are regulated by the Australian Energy Regulator (AER). Therefore, we do not need to forecast the costs of using the networks: we use the network prices the AER has set for the distribution businesses.
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Regulated prices will increase by an average 18% across NSW from 1 July 2012. Around half this increase is due to the introduction of the carbon pricing mechanism. The other half is due to growth in network charges. For more information about the changes in regulated electricity prices from 1 July 2012, see our Fact Sheet.
Electricity retailers usually increase their unregulated (or market) prices roughly in line with the change in regulated prices. They generally face similar cost increases as the regulated suppliers. In addition, they generally set their market prices with reference to the regulated price (eg, their prices might be 5 to 10% less than the regulated price available in a certain area).
The chart below shows how a typical regulated customer’s electricity bill has increased in NSW over the past 5 years. It also shows what has been driving the increase in bills:
- Rising network costs have been the biggest contributor to the increase in electricity bills. These are the costs of paying the network businesses to use the transmission and distribution networks to transport electricity from the power stations to their customers’ properties
- The next biggest contributor to bills has been the introduction of the carbon pricing mechanism (which commences on 1 July 2012)
- The costs of purchasing energy, complying with various State and Commonwealth green schemes, and the costs associated with running a retail electricity business have all added similar amounts.
Contribution to increases in nominal bills over the past 5 years in NSW ($ pa, nominal, inc GST)
Note: Network includes contribution towards the Climate Change Levy. Energy, carbon and green costs include losses. Retail costs include the retail margin. Typical bill calculated assuming consumption of 7MWh per year.
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IPART does not set a specific price for each regulated retail price on offer in NSW – we only determine the average amount (in percentage terms) by which each regulated retailer can increase its regulated prices. The regulated retailer must then set its individual prices so that, on average, they do not increase by more than the amount we determined.
This means that a regulated retailer can increase one regulated price by more than the average amount, as long as it increases another by less than the average. A regulated retailer can also increase one component of a regulated price by more than the average amount, as long as it increases another component by less that this amount. For example:
- It may increase the ‘service availability charge’ by more than the average amount, but increase the ‘consumption charges’ by less than this amount. If you are a small electricity user, this might mean that your bill increases by more than the average percentage increase announced by IPART.
- In addition, the amount you are billed for electricity depends on how much electricity you use, as well as the price you are charged. Therefore, if you have used more electricity than you did in the same period the previous year, your bill might increase by more than the average percentage increase in prices.
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- Find a better price offer from a retailer. Many electricity retailers offer to supply customers on market contracts at a discounted price. Go to My energy offers to find out what market offerings are available in your area, or click here for more information.
- Reduce your electricity consumption. IPART’s household surveys show that many of the households who struggle to pay their bills use more than twice the average level of electricity consumption in NSW. The average level is around 7,000 kWh per year or 1,750 kWh per quarter for residential customers. For information on how to reduce your consumption, click here.
- Make sure you are receiving any government assistance you are eligible for. Both the NSW and Federal Governments provide certain people and households with rebates on their electricity bills – click here for more information. You may also be eligible for another form of help, such as through the Energy Accounts Payment Assistance Scheme, or the Home Power Savings Program.
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We are required to set regulated prices to reflect the costs of supplying electricity to customers, and when these costs go up, prices must also go up.
IPART’s pricing determinations are conducted as transparent and consultative review processes. We consider a lot of information, including information from many different stakeholders. We also seek expert advice and undertake extensive analysis. We are confident that we estimate the costs of supplying electricity as accurately as possible (with regard to the requirements of the terms of reference), and set prices that will recover these costs. We cannot reconsider these prices.
If you have a problem or dispute with your retailer about billing or another matter, you can contact EWON for help in resolving your dispute. However, EWON has no role or authority in setting prices. This means it is not able to investigate complaints about price increases. But it can review whether the relevant charges and prices have been correctly applied to your account.
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Each regulated supplier has at least 2 types of charges for residential customers:
- A ‘service availability charge’, which applies to the number of days you were connected to the electricity supply via that retailer during the billing period. This charge is expressed as cents per day.
- ‘Consumption charges’, which apply to the electricity you consumed during the billing period. These charges are expressed as cents per kilowatt hour (kWh).
Each of the regulated suppliers has a range of different consumption charges. Most commonly, the rate you are charged depends on the type of meter or meters installed at your property. For example, while the names of these prices vary slightly, all 3 regulated suppliers have:
- An ‘all day’ price. This price applies to premises with a standard electricity meter. For EnergyAustralia and Integral Energy, this price is an ‘inclining block tariff’ which means that there is:
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one rate (cents per kWh) for electricity consumed up to and including certain thresholds (eg, 1,000 kWhs per quarter), and
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another (higher) rate for electricity consumed above this (and potentially other) threshold(s).
- One or more off-peak prices. These prices apply to the electricity consumed by appliances that are controlled by the network and only run at off-peak times (such as certain hot water systems) and are attached to a separate meter. These are also called controlled load prices.
- Time-of-use prices. These prices apply to properties with a time-of-use meter. They include different rates (cents per kWh) for electricity consumed during the peak periods, shoulder periods and off-peak periods (of demand on the electricity network).
In addition, Country Energy has a range of ‘obsolete’ regulated prices. These prices are a historical legacy, and will be removed over time. They are not available to new customers or customers who move to a non-obsolete price upon their return to Country Energy as a regulated customer.
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Because the maximum level of demand for energy in NSW at any time of the day or year is growing rapidly, the electricity network businesses have to invest in new infrastructure so they can meet this demand. For example, network investment and network prices have increased by more than 90% in real terms over the last 5 years.
One of the ways governments and energy businesses are trying to manage these price increases is by managing the growth in peak demand for electricity. And one of the ways they are doing this is by introducing smart or time-of-use meters.
These meters enable your electricity distributor to measure the amount of electricity you use at different times of the day, and charge you a higher price for the amount you use during peak periods of demand and a lower price for the amount you use in off peak periods. This provides you with an incentive to shift your electricity consumption to times when there is less demand, where this is possible. (For example, you may be able to do this by using timers to turn on major appliances, like dishwashers, late at night.) If enough people respond to this incentive, it should reduce the need for further investment in networks in the future and therefore limit future increases to electricity prices.
In some areas smart meters are now the standard meter installed when customers require a new meter, such as in new properties or where their electrical installation is being upgraded. EnergyAustralia is also undertaking a program to replace existing meters with time of use meters for all customers who consume above 15 megawatt hours (MWh) of electricity per year, as well as rolling out Smart meters region-by-region.
If you don’t want to be billed on a time-of-use basis, you should contact your supplier to see whether this option is available.
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Many of the costs incurred in supplying small retail customers on regulated prices are fixed. This means that they do not vary with the amount of electricity used by the customer. For example, these include the costs of:
- operating a 24-hour-a-day control centre
- providing an emergency and technical response team
- operating billing and accounting systems
- providing access to the network infrastructure.
The service availability charge or “fixed component” on your electricity bill recovers these fixed costs. This charge ensures that all customers make a reasonable contribution to the overall cost of making the supply of electricity available.
The service availability charge is not the same as network charges. The network charges include both fixed and variable costs components, so they are incorporated into the service availability charge and the consumption charges you pay your retailer.
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It is important for all electricity consumers that the transmission and distribution networks have sufficient funds to operate and maintain their network infrastructure, and to make appropriate investments in extending and improving this infrastructure. This is necessary to ensure that all consumers continue to receive a high-quality, reliable electricity supply. But it is also important that the network businesses are efficient and deliver their services at the lowest cost.
The Australian Energy Regulator’s role is to get this balance right, when it sets network prices. In doing so, it is guided by the National Electricity Rules, which are set by the Australian Energy Market Commission. These rules also apply to distribution and transmission companies in other states, whether they are state-owned or private businesses.
All the network businesses in NSW are state-owned, and the profits they make are paid to the NSW Government in the form of dividends. These dividends represent a return on the Government’s investment in the businesses, and contribute to its consolidated revenue. This revenue is used to deliver services provided by the state, including health, education and public transport.
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IPART sets regulated prices so they reflect the costs each regulated supplier incurs in supplying electricity to its customers on regulated contracts. These prices differ because each regulated supplier:
- Incurs different network costs. Each retailer has to pay the companies that own and operate the transmission and distribution networks in NSW for using these networks to deliver electricity from the power stations its customers. To recover these costs, the regulated retail prices include network charges. Because network costs are different, the network charges included in their regulated retail prices are also different.
- Has a different regulated load profile. Each retailer must purchase enough electricity from the National Electricity Market to supply its regulated customers (its regulated load). If this amount varies a lot from day to day or season to season, it will face higher costs. For example, Integral Energy’s regulated load varies considerably throughout the year because many of its customers live in western Sydney, and these customers’ electricity consumption varies a lot depending on the temperature. (For example, it goes up in summer when more customers use air conditioning.) Conversely, Country Energy’s regulated load is less variable, because the area it covers is more geographically diverse. This means changes in temperature in one part of this area do not have such a large impact on the total amount of electricity its customers use.
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Each regulated suppliers’ historical prices are available below:
A time series of regulated retail electricity prices in NSW is also provided here. These prices are a weighted average across NSW. The link contains a price index from 1992/93, and indicative customer bills based on regulated prices from 1999/00.
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Residential parks owners in NSW (including caravan parks and manufactured home estates) cannot charge their metered occupants more than the regulated retail prices of the regulated supplier in their area (ie, EnergyAustralia, Integral Energy or Country Energy). This includes usage charges (expressed as $/kWh), and the service availability charge (expressed as $/day that electricity is supplied). Click here for regulated prices.
Where the electricity supplied to the metered occupant is at a rate of less than 60 amps, there are additional restrictions related to the maximum service availability charge the park owner can charge.
The Office of Fair Trading has specific guidance on customer service standards applied to caravan parks – click here for more information.
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The carbon pricing mechanism commenced 1 July 2012. The carbon price is fixed at $23 per tonne of CO2e in 2012/13 and will increase by 2.5% (plus inflation) for the first two years. After 3 years, it will transition to a market-based (floating price) scheme.
By placing a price on carbon emissions, the mechanism pushes up the cost of electricity generation and wholesale electricity prices. In turn, this will increase electricity retailers’ costs and thus retail electricity prices.
In our framework for setting regulated prices, the efficient increase in the regulated suppliers’ costs due to the carbon price is included in these prices. Unregulated market prices also increased, to reflect the retailers increased costs.
Based on our modelling for the 2012 annual review of regulated electricity retail prices, we estimated the carbon price added around $168 to a typical electricity bill in 2012/13. However, this can vary a lot depending on your electricity consumption. For more information, see our Fact Sheet.
If you are concerned that the impact of the carbon price has been misrepresented or overstated in relation to goods or services, you can contact the Australian Competition and Consumer Commission (ACCC). The ACCC has set up a carbon claims hotline on 1300 303 609, or alternatively, click here.
Remember, most households will receive compensation (such as tax cuts and pension increases) which are expected to offset all or most of the increase in electricity prices due to the carbon price – click here for more information.
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IPART is required to set regulated electricity prices at levels that reflect the costs of supplying electricity to customers on regulated contracts. This means everyone who is connected to the electricity system and consumes electricity bears the cost of their own actions. It is a user pays approach to pricing.
In addition, setting regulated prices at cost reflective levels means that retailers who offer market prices can vigorously compete for customers, which should lead to improvements in the efficiency of all retailers.
If regulated prices were set below cost reflective levels in some parts of the NSW retail electricity market (such as rural and regional areas), then retailers would not be attracted to those parts of the market, and so customers in those areas would not be able to benefit from competition.
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The NSW Government offers subsidies to certain customers, including:
- Rebates for holders of Pensioner Concession Cards, Gold Cards (War Widow, War Widower Pension, Totally and Permanently Incapacitated, Disability Pension) and Health Care Cards and recipients of the Family Tax Benefit A or B.
- Medical energy rebates and life support rebates for people with certain medical conditions.
- Energy Accounts Payment Assistance Scheme vouchers (EAPA) for households struggling to pay their energy bills due to financial crisis or other emergency situations.
Click here for more information on these rebates and other assistance.
The Government also runs a Home Power Savings Program which provides free home power assessments to eligible households to identify ways to save power in the home, and a free Power Savings Kit. Click here for more information.
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In Australia, there is a National Electricity Market that operates under a set of National Electricity Rules. Both the Federal and State Governments and a range of administrative and regulatory bodies make decisions that affect electricity prices, as illustrated in the diagram below.
The Standing Council on Energy and Resources (SCER) comprises Energy Ministers from the Federal and State Governments. The SCER is the national policy and governance body for the Australian electricity and gas markets.
The Australian Energy Market Commission is the rule maker and developer for the nation's energy markets.
The Australian Energy Regulator (AER) is responsible for regulating the transmission and distribution network businesses, and determining the prices they can charge for the use of their networks. In making its determinations, the AER takes account of the costs the network businesses incur in providing and maintaining the networks. These costs are influenced by:
- the National Electricity Rules
- the licence obligations the State Governments impose on the network businesses (eg, the standards related to the quality and reliability of the electricity supply that the networks must meet).
State-based regulators, such as IPART, are responsible for determining the regulated retail prices (in the states where regulated prices exist). These regulators take account of the costs the regulated retailers incur in supplying electricity. These costs are influenced by the network prices they must pay, as well as the licence obligations Governments impose on the retailers.
In addition, both the State and Federal Governments can make broader policy decisions that affect electricity prices. For example, both the NSW and Federal Governments have implemented schemes designed to mitigate climate change and encourage greater use of renewable energy. These schemes also influence the costs that electricity retailers incur, and so affect prices.
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There are 4 regulated suppliers (or standard retailers) of gas in NSW:
- AGL supplies Sydney, Wollongong, Newcastle, Dubbo, Orange, Parkes, and parts of the Riverina.
- ActewAGL supplies the regions surrounding the ACT and south east NSW (including Young, Goulburn, Shoalhaven and Yass).
- Country Energy supplies the south western regions of NSW (including Wagga Wagga and Gundagai) and inland cities (such as Tamworth).
- Origin Energy supplies the areas on the NSW and Victorian border (including Albury and the Murray Valley Towns).
These are the companies that supplied gas in your area before competition was introduced in 2002. They are now the ‘default retailers’, which means they are obliged to supply gas to all small customers in their supply area who haven’t entered into a market contract. They must charge these customers the regulated retail prices.
However, like other retailers, they can also supply gas under market contracts to customers who choose to enter into one of these contracts with them. They charge these customers unregulated prices.
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Each regulated supplier has different regulated prices. Click here for:
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IPART regulates the retail gas prices paid by customers who:
- use less than 1TJ of gas per year (equivalent to an annual gas bill of up to around $20,000), and
- are supplied on a regulated (or standard) contract.
The legislation that gives us the power to regulate these prices (the Gas Supply Act) states that we can choose either to issue gas pricing orders that set maximum prices, or establish pricing mechanisms. To date, we have chosen to establish pricing mechanisms. We have established a Voluntary Transitional Pricing Arrangement (VTPA) with each of regulated supplier, which sets out how they must set regulated prices, including how much revenue they can raise through these prices. Copies of the current VTPAs are available here:
AGL Retail Energy
ActewAGL
Country Energy
Origin Energy
In general, each VTPA allows the regulated supplier to set its regulated prices so they recover no more than the efficient costs of supplying natural gas to customers on regulated contracts. These include the costs of:
- purchasing wholesale gas and transmissions services
- paying to use the distribution networks to transport gas to customers’ properties
- running the retail business (eg, connecting and disconnecting customers, reading meters, billing and dealing with customer enquiries) and
- earning a reasonable profit margin
- complying with the Commonwealth Government’s carbon pricing mechanism.
Note that gas bills comprise 2 components – retail charges and distribution network charges. IPART is responsible for regulating the retail charge component only. The Australian Energy Regulator (AER) sets the distribution network charges. These charges reflect the costs retailers incur in using the network businesses’ pipelines to transport gas to their customers’ properties. Under the VTPAs, the regulated suppliers are able to pass on the distribution network charges set by the AER in customers’ bills.
For more information, see ‘Why have gas prices increased on 1 July 2012?’ below.
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The form of regulation we currently use for regulated retail tariffs is a voluntary agreement with each standard retailer. Each standard retailer sets their regulated retail gas prices in line with their agreement with IPART, and we monitor their compliance.
IPART has agreed to the Standard Retailers’ proposals to increase regulated retail gas prices from 1 July 2012. The price increases incorporate:
- small increases in the retail component of regulated retail gas prices
- the pass through of gas distribution network prices as approved by the Australian Energy Regulator, and
- the impact of the Commonwealth Government’s carbon pricing mechanism.
We reviewed the standard retailers’ pricing proposals and consider that they are consistent with the our agreement with the standard retailers.
The carbon price increases retail gas prices by 5.5% to 9% on 1 July 2012. Gas distribution network price increases for AGL and ActewAGL customers (in Jemena’s gas distribution network area) add a further 6% to customers’ bills. As a result, regulated retail gas prices for a typical residential customer increased by 9% to 15% across NSW from 1 July 2012.
For more information about the changes in regulated gas prices from 1 July 2012, see our Fact Sheet.
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- Reduce your gas consumption. This is the best way to manage the price increases. IPART’s household surveys show that many of the households that struggle to pay their bills consume more than the NSW average of 23GJ per year (or 5.75GJ per quarter). To see how gas bills change with different levels of consumption, click here. For tips on reducing your gas consumption, click here.
- Find a better price offer from a retailer. Many gas retailers offer to supply customers on market contracts for a discounted prices. Go to myenergyoffers to find out what market contracts are available in your area, or click here for more information.
- Make sure you are receiving any government assistance you are eligible for. Both the NSW and Federal Governments provide certain people and households with rebates on their gas bills – click here for more information. You may also be eligible for another form of help, such as through the Energy Accounts Payment Scheme – click here form information.
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Gas retail prices need to reflect the costs of supplying gas to small retail customers, and when these costs go up, prices must also go up.
When we reviewed regulated retail gas prices for 2010/11 to 2012/13, we conducted a transparent and consultative process. We considered a lot of information, including information from different stakeholders. We also sought expert advice and did extensive analysis. We are confident that we estimated the costs of supplying gas as accurately as possible and set prices that will recover these costs. We cannot reconsider these prices. Click here to see full documentation of all the inputs we considered in making our final decision.
If you have a problem or dispute with your retailer about billing or another matter, you can contact EWON for help in resolving your dispute. However, EWON has no role or authority in setting prices. This means it is not able to investigate complaints about price increases. But it can review whether the relevant charges and prices have been correctly applied to your account.
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Each standard retailer has 2 types of charges:
- A ‘supply’ or ‘access’ charge, which applies to the number of days you were connected to the gas supply via the retailer during the billing period. This charge is generally expressed as cents per day.
- ‘Consumption’ or ‘usage’ charges, which apply to the gas you consumed during the billing period, and are generally expressed as cents per Mega Joule (MJ).
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IPART sets the regulated prices for each regulated retailer so they reflect the efficient costs it incurs in supplying gas to its customers on regulated contracts. These prices differ because each regulated supplier:
- Incurs different distribution network costs. Each gas retailer has to pay the companies that own and operate the gas distribution networks in NSW for using these networks to deliver gas to your property. To recover these costs, the regulated retail prices include distribution network charges. Because the regulated suppliers each use a different gas distribution network, their network costs are different, and the network charges included in their regulated retail prices are also different.
- May incur different retail costs. For example, they may incur different wholesale gas costs and/or different costs to run the retail business.
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You may be on a regulated contract if:
- You live in Sydney, Wollongong, Newcastle, Dubbo, Orange, Parkes or the Riverina and you are supplied by AGL.
- You live in the NSW regions surrounding the ACT and south east NSW (including Young, Goulburn, Shoalhaven and Yass) and you are supplied by ActewAGL.
- You live in a south western region of NSW (including Wagga Wagga and Gundagai) or an inland city (such as Tamworth) and you are supplied by Country Energy.
- You live in an area on the NSW and Victorian border (including Albury and the Murray Valley Towns) and you are supplied by Origin Energy.
You are likely to be on a market contract if:
- the above does not apply to you
- you are supplied gas by any other retailer
- there are any discount items on your bill
- you have been door-knocked and asked to change retailer any time since 2002 and have taken up their offer.
If you are still not sure, contact your retailer and ask what kind of contract you are on.
Note that if you are on a market contract, you can switch back to your regulated supplier and a regulated contract at any time. Simply call the regulated supplier in your area. However, if you switch before the end of your market contract term, you may have to pay an exit fee. Check the terms and conditions with your current retailer.
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For a list of all the retailers licenced to supply gas in NSW, click here.
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Many of the costs incurred in supplying customers on regulated prices are fixed. This means that they do not vary with the amount of gas the customer uses. For example, the fixed costs include those of:
- providing access to network infrastructure
- operating a 24-hour-a-day control centre
- providing an emergency and technical response team
- operating billing and accounting systems.
The supply or access charge on your gas bill recovers some of these fixed costs. This charge ensures that all customers make a reasonable contribution to the overall cost of making the supply of gas available.
The supply or access charge is not the same as distribution network charges. Distribution network charges generally include both fixed and variable cost components, so they are incorporated into the supply charge and the consumption charges you pay your retailer.
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On 1 March 2011, the NSW Government sold Country Energy’s retail business to Origin Energy (a licensed retailer that was already active in the NSW market). This business continues to operate under the Country Energy brand name.
If you live in Country Energy’s supply area, the change in its ownership has not affected the availability of regulated prices, or the current regulation of these prices. You continue to have the option of being supplied by Country Energy on a regulated contract for the regulated prices, at least until 30 July 2013 (when our current regulatory decision expires). If you are currently on a market contract, you can switch back to a regulated contract at any time by calling Country Energy. However, if you switch before the end of the term of your market contract, you may have to pay an exit fee. Check terms and conditions with your current retailer.
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IPART does not set a specific price for each regulated retail price on offer in NSW – we have agreed the average amount (in percentage terms) by which each regulated supplier can increase the retail component of its regulated prices. The regulated suppler must then set its individual prices so that, on average, they do not increase by more than the amount we agreed.
This form of regulation means that a regulated supplier can increase one regulated price by more than the average amount, as long as it increases another by less than the average. However, it is most likely to set each price so that it reflects the underlying costs of supplying the customers on that price. This is because, in the competitive market for retail gas, it is in the retailer’s interests to do this. For example, if it were to set one price well above the costs of supply, its competitors would be able to target customers on that price by offering them a better deal, and it would likely lose these customers.
The form of regulation also means that a regulated supplier can increase one component of a regulated price by more than the average amount, as long as it increases another component by less that this amount. For example, it may increase the supply charge by more than the average amount, but increase the consumption charges by less than this amount. If you are a small gas user, this might mean that your bill increases by more than the average percentage increase announced by IPART.
In addition, the amount you are billed for gas depends on how much gas you use, as well as the price you are charged. Therefore, if you have used more gas than you did in the same period the previous year, your bill might increase by more than the average percentage increase in prices.
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It is important for all gas consumers that the distribution networks have sufficient funds to operate and maintain their network infrastructure, and to make appropriate investments in extending and improving this infrastructure. This is necessary to ensure that all consumers continue to receive a high-quality, reliable gas supply. But it is also important that the network businesses are efficient and deliver their services at the lowest cost.
The Australian Energy Regulator’s role is to get this balance right when it sets prices for gas distribution networks. In doing so, it is guided by the National Gas Rules, which are set by the Australian Energy Market Commission. These rules also apply to distribution companies in other states, whether they are state-owned or private businesses.
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The carbon pricing mechanism commenced on 1 July 2012. The carbon price is fixed at $23 per tonne of CO2-e for 2012/13 and escalates by 2.5% (plus inflation) for two years. After 3 years, it will transition to a market-based (floating price) scheme. By placing a price on carbon emissions, the mechanism which will push up the cost of extracting gas, transporting it over the transmission and distribution networks, and selling it to small retail customers. In turn, this will increase electricity retailers’ costs and thus retail gas prices.
The carbon pricing mechanism will also result in indirect costs, such as increased operating costs. IPART agreed to proposals submitted by AGL and ActewAGL to increase gas prices to reflect these additional operating costs.
As a result, the carbon price increases regulated retail gas prices by 5.5% to 9% on 1 July 2012. For more information about how the carbon pricing mechanism will affect gas bills see our Fact Sheet.
If you are concerned that the impact of the carbon price has been misrepresented or overstated in relation to goods or services, you can contact the Australian Competition and Consumer Commission (ACCC). The ACCC has set up a carbon claims hotline on 1300 303 609, or alternatively, click here.
Low and middle income households will receive carbon price compensation from the Commonwealth Government. Our analysis indicates that the Commonwealth Government’s assistance package will adequately compensate the large majority of low-income households for the impact of the carbon price on their electricity and gas bills price – click here for more information.
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Gas prices are set at cost reflective levels so that everyone who is connected to the system bears the cost of their own actions. It is a user pays approach to pricing.
Setting gas prices at cost reflective levels also means that competitive retailers can vigourously compete for customers, which should lead to improvements in the efficiency of all retailers.
If prices were set below the underlying costs in some areas (such as rural and regional areas), then competitive retailers would not be able to compete in those areas, and customers in those areas would not benefit from competition.
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The cost of supplying gas to your home depends on where you live. For example, it costs less if you live in a city (where there are a large number of customers in a small area) than if you live in a rural area (where there few customers in a large area). If everyone paid the same price, then some people would have to pay more than it costs to supply them, and so would be subsidising the costs of other people.
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Under the Voluntary Transitional Pricing Arrangements (VTPAs) agreed between IPART and the regulated suppliers, regulated retail gas prices generally change on 1 July in each year for the duration of the agreement (2010 to 2013).
For customers on market contracts, your contract will specify how and when your retailer can change your price.
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In Australia, the transmission and distribution of gas operates under a set of National Gas Rules. Both the Federal and State Governments and a range of administrative and regulatory bodies make decisions that affect gas prices, as illustrated in the diagram below.
The Standing Council on Energy and Resources (SCER) comprises Energy Ministers from the Federal and State Governments. The SCER is the national policy and governance body for the Australian gas and gas markets.
The Australian Energy Market Commission is the rule maker and developer for the nation's energy markets.
The Australian Energy Regulator (AER) is responsible for regulating most gas distribution network businesses, and determining the prices they can charge for the use of their networks. In making its determinations, the AER takes account of the costs the network businesses incur in providing and maintaining the networks. These costs are influenced by the National Gas Rules. They are also influenced by any licence obligations the State Governments impose on the networks.
State-based regulators, such as IPART, are responsible for determining regulated retail prices (in the states where regulated prices exist). These regulators take account of the costs the regulated retailers incur in supplying gas. These costs are influenced by the network prices they must pay as well as the retail costs they face.
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On 4 August 2011 IPART received a terms of reference from the Premier of NSW asking us to undertake a review of solar feed-in tariffs.
The review was requested after the closure of the NSW Government’s Solar Bonus Scheme, which provided a subsidised feed-in tariff to eligible customers. The combination of generous state and federal government subsidies for customers installing PV units together with falling capital costs led to a strong uptake under the Solar Bonus Scheme. The generosity of the subsidies and higher than expected uptake of solar PV have resulted in higher than anticipated costs.
Currently NSW customers who buy and install solar panels can still access an upfront subsidy through the Federal Government’s RET scheme, and connect their new system to the grid. But now the Solar Bonus Scheme is closed they cannot receive the subsidised feed-in tariff. However if customers export excess electricity to the grid they may receive a subsidy-free feed-in tariff from their retailer that reflects the value to the retailer of the electricity exported.
We were asked to investigate and recommend a ‘fair and reasonable’ value for electricity exported to the grid, and how Government might ensure or encourage retailers to offer a feed-in tariff that reflects this value.
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The terms of reference for the review asked IPART to complete two main tasks.
The first task was to recommend a ‘fair and reasonable value’ for the electricity generated by small-scale solar PV units and exported to the grid. This feed-in tariff applies to customers who are not participants in the Solar Bonus Scheme. The feed-in tariff should be set so that electricity prices do not increase and so that it does not require funding from the NSW Government and is consistent with national principles for feed-in tariffs.
The second task relates to mitigating the ongoing costs of the Solar Bonus Scheme to the Government and taxpayers over the remaining 5 years of the scheme’s life by requiring electricity retailers contribute to the costs of the scheme.
The full terms of reference for the review can be downloaded here.
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IPART’s final report was released in March 2012. The main findings and recommendations from the Solar Review are:
q For new customers with solar PV units and ‘net metering’ the largest ongoing financial benefit is likely to be savings on electricity bills as a result of less energy being purchased from retailers (all else being equal). We estimate that a typical customer with a 1.5 kW solar PV system would save around $300 per annum on their electricity bill, and earn around $50 per annum from a subsidy-free feed-in tariff.
q The fair and reasonable value for a subsidy-free feed-in tariff in NSW is in the range of 5.2-10.3 cents per kilowatt hour (c/kWh) in 2011/12. We expect this range will be higher in 2012/13 due to the introduction of the Carbon Pricing Mechanism. IPART will update this range each year to help customers understand the value of the electricity their PV unit exports to the grid.
q We recommend that all retailers should contribute to the costs of the Solar Bonus Scheme, starting from 1 July 2012. This contribution reflects the financial gain that retailers make under this scheme.
More information can be found in our fact sheet and final report.
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Customers who are part of the Solar Bonus Scheme will continue to receive their statutory feed-in tariffs (either 60c or 20c per kilowatt hour) until the scheme closes.
However, our recommendation that all retailers contribute to the costs of the Solar Bonus Scheme from 1 July 2012, may mean that any payments your retailer provides you above the statutory rates are reduced or eliminated. We made this recommendation because from 1 July 2012, all electricity customers in NSW will be paying extra on their electricity bills to recover the costs of the Solar Bonus Scheme. Therefore, by reducing the costs of the Solar Bonus Scheme we are reducing future electricity price increases for all customers.
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IPART’s myenergyoffers website provides information on feed-in tariffs available in your area.
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The NSW Department of Trade & Investment, Regional Infrastructure & Services has developed some frequently asked questions about solar PV systems and the Solar Bonus Scheme. This includes information about Solar Bonus Scheme eligibility, tariff payments and metering arrangements. These frequently asked questions are located here: http://www.dtiris.nsw.gov.au/energy/sustainable/renewable/solar/solar-scheme/questions.
IPART also has a fact sheet which explains the characteristics of PV systems in NSW and some key messages for those thinking of installing a system.
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The electricity you export to the grid has a value to your retailer, but this value is less than the full retail price. This is because the retailer still incurs certain costs on the electricity you export to the grid. For example, if the electricity you export to the grid is ‘sold’ to another customer, the retailer is still required to pay network costs on the energy you export (these are the costs of transporting electricity across the transmission and distribution system). These network costs represent around half of a customers’ retail bill.
If retailers were required to pay households the full retail price for electricity exported to the grid they would be incurring a loss which may have implications for their financial viability and ultimately the competitiveness of the retail market.
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We set maximum fares for many of the train, bus and ferry passenger services in NSW. This includes:
- Most CityRail services
- Most Sydney bus services, including those run by private operators
- Most bus services in Newcastle, Wollongong, Central Coast and Blue Mountains
- Many of the buses that provide transport within and around country towns
- Sydney Ferries services
- Stockton Ferry services in Newcastle.
We also recommend maximum fares for taxis and some private ferry services to the Minister for Transport.
We don’t set or make recommendations on maximum fares for tourist-specific services or long distance rail, bus or ferry services.
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Usually, we first work out how much it costs to provide the train, bus or ferry services (assuming this is done efficiently). Then we decide how much passengers and the NSW Government should each contribute towards these total costs. Finally, we set fares at the levels required to recover passengers’ contribution, taking into account the expected number of passenger journeys and the structure of fares.
When people use a public transport service rather than their private vehicle, they benefit the community in general by reducing traffic congestion and pollution. We base our decision on how much the Government (on behalf of the community) should contribute towards the total costs of public transport services on the value of these wider benefits.
In many cases, the contribution that passengers make through fares represents a fairly small proportion of the total costs of providing the service. For example, the revenue raised from CityRail tickets recovers only around one-quarter of the total costs of providing CityRail services. The revenue required to cover the remaining three-quarters of the costs comes from the Government (or NSW taxpayers).
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To find out current fares for CityRail services, go to www.131500.com.au or phone the Government’s information line on 131 500.
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We set the maximum fare CityRail can charge for most of its services. In some cases, the Government sets the actual fare below the maximum fares we set.
We don’t set maximum fares for concession tickets, like pensioner excursion tickets. These are determined by NSW Government policy.
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No. We set maximum fares for full-fare paying passengers only. The size of the discounts available to pensioners, students and other eligible passengers are determined by the NSW Government.
To find out the current concession fares and eligibility requirements, go to www.131500.com.au or phone the Government’s information line on 131 500.
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In our last determination, we set maximum CityRail fares for 4 years, up to the end of 2012. Under this determination, fares could increase by a weighted average of 2.3% on top of the rate of inflation in January 2011, and again in January 2012. The actual amounts they did increase depended on the general rate of inflation (as measured by the Consumer Price Index released by the Australian Bureau of Statistics) and on whether Government chose to increase fares to the maximum values we set.
We will review maximum fares again during 2012, and any changes arising out of this review will come into effect in January 2013.
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In January 2012, the government decided to increase CityRail fares by an average of 5.4%, even though it could have increased them by a weighted average of 10.6%
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Usually, CityRail change once a year, on the first Sunday in January. This is generally the same day that fares for buses and Sydney Ferries also change.
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We decide what maximum fares should be by working out how much it costs to efficiently provide CityRail services, and then deciding how much passengers should contribute towards this cost.
When more people travel by train it benefits everyone by lowering traffic congestion and pollution. We take this into account when we decide maximum train fares. Overall, revenue from sales of CityRail tickets funds around a quarter of the cost of providing them. The rest is paid for by the Government using tax revenue. We think this is an appropriate share given the costs and benefits of CityRail.
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If you think you have been charged the wrong train fare you should contact CityRail, or phone 131500 or log on to www.131500.com.au.
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It is difficult to compare train fares in different states because each state has its own fare structure and ticketing system (for example, single or multiple modes, timed tickets, discounts for multiple tickets and zones and sections may be different lengths). However, to provide an indication the table below compares fares for an adult single short trip across 1 or 2 stations or zones. CityRail fares for these trips tend to be similar to fares in other Australian capital cities (except Perth). In Melbourne, Brisbane and Perth customers are charged more if they pay cash or purchase a single ticket than if they use the smartcard ticket.
Selected CityRail fares compared with other Australian cities
| City |
How trips are charged |
tickets |
current fare |
| Sydney |
Distance based - charges depend on sections travelled |
Single adult trip 0-10kma
Single adult trip 10-20kma |
$3.40
$4.20 |
| Melbourne |
Multi-modal based on 2 zonea |
Adult MetCard ticket for 2 hours travel in Zone 1b
Adult MetCard ticket for 2 hours travel in both zonesb
Adult myki money fare for 2 hour travel in Zone 1
Adult myki money fare for 2 hour travel in Zones 1 and 2 |
$4.00
$6.50
$3.28
$5.54 |
| Brisbane/ Gold Coast |
Multi-modal based on 23 zones |
Adult paper ticket travel in Zone 1 (Brisbane CBD)
GoCard adult travel in Zone 1 (Brisbane CBD) |
$4.50
$3.05/$2.44 off peak |
| Adelaide |
Mix of distance and zone based charges |
Adult single trip ticket 2 sections
Adult single Zone ticket - 2 hours includes transfers |
$2.90/$2.10 interpeakd
$4.90/$3.00 interpeakd |
| Perth |
Mix of distance and zone based charges |
Adult single ticket 2 sections - cash
Adult single ticket 2 sections - SmartRider
Adult Zone 1 ticket - cash
Adult Zone 1 ticket - SmartRider |
$1.90
$1.62
$2.70
$2.30 |
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a Fares are lower if a periodical ticket is used (eg. Weekly or monthly).
b Fares are lower if ‘myki money’ or ‘value metcards’ are used.
c Interpeak tickets are for travel between 9am and 3pm weekdays.
d Fares are lower if SmartRider tickets are purchased.
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Current fares are available from www.131500.com.au or by phoning the Government’s information line on 131 500.
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No. We set maximum fares for full-fare paying passengers only. Discounts available to pensioners, students and other eligible passengers are determined by the NSW Government.
Concession fares and eligibility requirements are available from www.131500.com.au or by phoning the Government’s information line on 131 500.
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First, we work out how much it costs to efficiently provide bus services in the areas serviced by Sydney Buses (Sydney CBD, lower north shore, inner west and south). This is where most bus trips occur, and therefore where the cost per trip is lowest.
Then we decide what percentage of these costs passengers and the Government should contribute. When people use buses rather than private cars, it benefits the wider community by lowering traffic congestion and pollution. We calculate the value of these wider benefits, and generally set the Government’s contribution in line with this value and passengers’ contribution in line with the remainder. Finally, we set fares to recover the passengers’ share of these costs.
Under this approach, the Government pays most of the costs. Overall, revenue from sales of bus tickets in Sydney, Newcastle, Wollongong, the Central Coast and Blue Mountains funds less than a third of the cost of providing them – 28% in 20010/11. The rest is paid for by the Government using tax revenue. We think this is an appropriate share given the costs and benefits of buses.
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Each year, we work out how the costs involved in providing rural and regional bus services have changed in the previous 12 months. For example, these costs include the wages they pay bus drivers and other staff, and the costs of buying and running buses (such as buying spare parts and fuel). If these costs have increased, we increase the maximum fares so they can recover these increased costs.
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If you think you have been charged the wrong bus fare you should contact the bus company directly, or phone 131500 or log on to www.131500.com.au.
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For Sydney, Newcastle, Wollongong, the Central Coast and Blue Mountains, we have set maximum fare increases up to 2013. In 2012, the maximum fares included an increase of between 1.4% and 1.6% plus the rate of inflation. The actual fare changes depended on what the rate of inflation in the previous 12 months was (as measured by the Consumer Price Index released by the Australian Bureau of Statistics), and whether the Government decided to increase fares to the maximum values we set.
For rural and regional areas, we release a new determination in December of each year that sets out the maximum fares that will apply from the following January. From January 2012, the maximum fares on country routes increased by 2.4% (including inflation). The maximum fares on rural routes decreased by 8%. The actual fare change depended may have been different to this, as many rural and regional bus fares are set below the maximum level, and bus companies can make their own decisions on how to change their fares, as long as they don’t set them higher than the maximum levels we set.
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Maximum bus fares usually change once a year, on the first Sunday in January – generally this is the same day that fares for CityRail and Sydney Ferries services also change.
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It is difficult to compare bus fares in different state capitals because each state has its own fare structure and ticketing system (for example, single or multiple modes, timed tickets, discounts for multiple tickets and zones and sections may be different lengths). However, to provide an indication the table below compares fares for an adult single short trip across 1 or 2 sections or zones. Sydney bus fares for these trips tend to be cheaper than fares in other Australian capital cities.
Selected Sydney bus fares compared with other Australian cities
| City |
how trips are charged |
Tickets |
Current fare |
| Sydney |
Distance based - charges depend on sections travelled |
Full-fare MyBus1 (1-2 sections)a
Full-fare MyBus2 (3-5 sections)a |
$2.10
$3.50 |
| Melbourne |
Multi-modal based on 2 zones |
Adult MetCard ticket for 2 hour travel in Zone 1b
Adult MetCard ticket for 2 hour travel in both zonesb
Adult myki money fare for 2 hours in in Zone 1
Adult myki money fare for 2 hour travel in Zones 1 and 2 |
$4.00
$6.50
$3.28
$5.54 |
| Brisbane/Gold Coast |
Multi-modal based on 23 zones |
Adult paper ticket travel in Zone 1 (Brisbane CBD)
GoCard adult travel in Zone 1 (Brisbane CBD) |
$4.50
$3.05/$2.10 off peakc |
| Adelaide |
Mix of distance and zone based charges |
Adult single trip ticket 2 sections
Adult single Zone ticket - 2 hours, includes transfers |
$2.90/$2.10 interpeakd
$4.90/$3.00 interpeakd |
| Perth |
Mix of distance and zone based charges |
Adult single ticket 2 sections - cash
Adult single ticket 2 sections - SmartRider
Adult Zone 1 ticket - cash
Adult Zone 1 ticket - SmartRider |
$1.90
$1.62
$2.70
$2.30 |
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a Fares are lower if Travelten is used.
b Fares are lower if ‘myki money’ or ‘value metcards’ are used.
c off-peak tickets are for travel between 9am and 3:30pm, after 7pm on weekdays and all day weekends and public holidays.
d Interpeak tickets are for travel between 9am and 3pm weekdays.
Source: Fares obtained from official websites of transport providers.
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In Sydney, Newcastle, Wollongong, the Central Coast and Blue Mountains, the maximum bus fares IPART set increased by 10.6% in January 2012. However, actual fares increased by an average of 5.4% as the Government decided not to increase fares by the maximum allowable.
In rural and regional areas, the maximum bus fares we set for country town routes increased by 2.4%, while those we set for rural routes fell by 8%. However, actual changes may not have been different to this, as many rural and regional bus fares are below the maximum level. Bus companies can make their own decisions about whether and how much to change their fares, as long as they do not charge more than the maximum fares we set.
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If you want to make a complaint or provide a suggestion about your bus service, either contact the bus company directly or phone 131500 or log on to www.131500.com.au.
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To find out current fares for Sydney Ferries and the Stockton Ferry in Newcastle, go to www.131500.com.au or phone the Government’s information line on 131 500. For fares for private ferries services, contact the ferry operator.
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Sydney Ferries
We currently set the prices of MyMulti tickets, which can be used to travel on Sydney Ferries. However, fares for single trips and FerryTens are set by the NSW Government under the service contract between it and Sydney Ferries. These fares will apply until we next make a fare determination, which we expect to be in 2012 for fares from January 2013.
Stockton Ferry
We set the maximum fare for Stockton Ferry services in Newcastle.
Private ferry services
We recommend maximum fares for the following private ferry services:
- Central Coast Ferries’ Woy Woy–Empire Bay route
- Church Point Ferry Service’s Scotland Island-Western foreshore of Pittwater route
- Clarence River Ferry’s Iluka–Yamba route
- Cronulla and National Park Ferry Service’s Cronulla–Bundeena route
- Dangar Island Ferries’ Brooklyn–Dangar Island route
- Matilda Cruises’ Circular Quay–Darling Harbour and Circular Quay–Lane Cove routes
- Palm Beach Ferries’ Palm Beach–Mackerel and the Basin and Palm Beach–Ettalong, Wagstaff routes
The Director-General of Transport for NSW makes the final decision on fares for these services.
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We are currently reviewing maximum fares for Sydney Ferries from January 2013. We expect to consider how much it costs to efficiently provide Sydney Ferries’ services, and then decide how much passengers and the NSW Government should each contribute towards this cost.
We think that both passengers and the Government should contribute to the cost of providing public transport services. In setting bus and rail fares, we commissioned studies to help us work out what the appropriate balance is. These studies examined the wider community benefits of people catching public transport, such as reducing traffic congestion and pollution. We are currently extending this approach to Sydney Ferries’ fares.
Currently, the Government funds more than half the cost costs of providing Sydney Ferries’ services. We will review the reasonableness of the current level of fares as part of our current fare review.
For more information, see our Fact Sheet - Review of fares for Sydney Ferries services from January 2013.
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Each year, we calculate the change in the cost of providing private ferry services over the past 12 months. These changes include wage increases, changes in the cost of maintaining and running ferries (like increases in the cost of spare parts and fuel) and the general rate of inflation. We then recommend changes to maximum fares so that private ferry operators can re-coup the changes in their costs.
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If you think you have been charged the wrong ferry fare you should phone 131500 or log on to www.131500.com.au.
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Not at this stage. We are currently reviewing maximum fares for Sydney Ferries and expect to release a fare determination in late 2012.
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For Sydney Ferries, fares usually change once a year, on the first Sunday in January. This is generally the same day that fares for CityRail and bus services also change.
For private ferries, we aim to make recommendations to the Minister so that fare changes can take place in early December. The actual date on which fares change is determined by the Director General of Transport for NSW in consultation with ferry operators.
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An adult single fare on Sydney Ferries for a journey under 9 kms is currently $5.60. The adult single fare for a journey of 9kms and above is $7.00. Discounts apply for multi trip tickets. Maximum fares for private ferries tend to be higher – they currently range from $6.10 to $10.40.
Few Australian cities have comparable ferry services. Brisbane has ferry services across and along the Brisbane River. All Brisbane City ferry services are in TransLink zones 1 and 2. Travel in Zone 1 (Brisbane CBD) is $4.50 for a single paper ticket ($3.05 using a gocard). The fare for a ferry trip across 2 zones is $5.20 for a single paper ticket ($3.58 using a gocard).
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The Government increased fares for Sydney Ferries’ services on 1 January 2012.
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To find out the current taxi fares, go to NSW Department of Transport’s website (www.transport.nsw.gov.au). These fares are also displayed inside taxi cabs.
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We recommend changes to maximum taxi fares to the Director-General of Transport for NSW. The Director-General of the NSW Department of Transport considers our recommendations, but is responsible for make the final decision on maximum taxi fares.
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The same maximum fares apply to all standard taxis, premium taxis (eg, Silver Service), and station wagon taxis. Maxi taxis are permitted to charge 50% more than other taxis in some circumstances. To find out the current fares, go to the NSW Department of Transport’s website (www.transport.nsw.gov.au). Current fares are also displayed inside taxi cabs.
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No. Surcharges for electronic payments (EFTPOS and credit cards) and Cabcharge vouchers are not currently regulated.
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Yes. Taxi drivers can charge you any road tolls they are required to pay when driving you to your destination. If you cross the Sydney Harbour Bridge, taxis are permitted to charge the bridge toll for northbound journeys (which are not subject to the toll), to cover the driver’s return journey. If you would prefer to avoid road tolls you can ask the driver to take a different route.
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Each year, we calculate how much the costs of providing taxi services has changed over the past year. For example, these costs include those of leasing a taxi licence, leasing or buying a vehicle, insuring it, paying fees to belong to a network, and buying LPG fuel. We also allow for an increase in driver and operator income to keep pace with wage growth in the rest of NSW.
We then recommend a change in maximum fares to allow taxi drivers and operators to recoup the changes in costs. We calculate the changes in costs of providing taxis in urban areas and in country areas separately because taxi cost structures and fares are different in these areas.
We also conduct a mid-year review of LPG fuel prices, as these can be volatile. If we find that LPG prices have increased or decreased by more than 20%, we recommend mid-year change in taxi fares to reflect this.
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Taxis are privately operated businesses that don’t receive Government funding. We recommend fares that in our view allow taxi drivers and operators to recoup their costs and to earn a reasonable income from providing taxi services.
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Taxi fares usually change in July each year but the exact fare change date is determined by the NSW Department of Transport. If LPG prices change significantly between June and November, we will recommend an extra fare change in December or January.
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If you think you’ve been charged the wrong fare you can ring the Taxi Customer Feedback Management System on 1800 648 478 or fill out the online feedback form available on the NSW Department of Transport’s website (www.transport.nsw.gov.au). You will need the taxi's number plate, or the driver's number, the taxi network, and the time and date of your journey.
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If you want to make a complaint or provide a comment on taxi services, you can ring the Taxi Customer Feedback Management System on 1800 648 478 or fill out the online feedback form available on the NSW Department of Transport’s website (www.transport.nsw.gov.au). You will need the taxi's number plate, or the driver's number, the taxi network, and the time and date of your journey.
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NSW taxi fares tend to be higher than in other areas of Australia. Both the distance rate and waiting time charges are higher in NSW than in many other states, but the flag fall charge in NSW urban areas is lower than in Perth, Darwin and Canberra.
The figures below illustrate the difference in fares between states.
Country fares by state, selected trips, 2012
Data source: IPART, 2012 Review of Taxi Fares in NSW. Fares obtained from the relevant government agency and/or taxi companies. NSW fares are those recommended in this report.
Urban taxi fares in capital cities, selected trips, 2012
Data source: IPART, 2012 Review of Taxi Fares in NSW. Fares obtained from the relevant government agency and/or taxi companies. NSW fares are those recommended in this report.
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Taxi fares rose by around 3.5% in urban areas and 3.6% in country areas in July 2011.