The 5 Best Small Business Energy Suppliers in Australia

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By Julia Watts | Content Manager | Updated: 14 July 2021

Compare the best electricity plans for small businesses in Australia, including rates, discounts, pros, cons, and more


Perhaps you’re setting up a business premises for the very first time, or maybe you’re simply looking to switch to a better provider. Either way, when you run a small business, the last thing you want is confusion and doubt over who should be supplying your excellent enterprise with energy.

That’s why we’ve carefully curated this list of the top five small business energy suppliers in Australia, utilising over a decade’s experience in the world of business energy to do the hard work for you. On this page, you’ll find examinations of what each supplier can offer your business, how much their energy costs, their pros and cons, and more.

Of course, if you’d rather cut right to the chase and get a quote from the cheapest supplier for you, you can use our free quote-matching service. Simply answer a few questions about your small business and its energy needs, and our trusted broker will find the cheapest energy quote for you. This process is quick and easy, and best of all, it saves Expert Market customers an average of $1,837 per year on their energy bills.


The 5 best small business energy suppliers in Australia

Following our extensive research, we’ve picked out Alinta Energy, AGL, Powershop, Tango Energy, and EnergyAustralia as our favourite suppliers for small businesses. Each of these suppliers offers particular benefits to small businesses, while providing affordable small business plans.

Let’s take a closer look at these companies:

SupplierKey benefitGeneral electricity usage rates (per kWh)Sample electricity quote (per year)*% less than reference priceAverage customer score**
Alinta EnergyCheapest electricity rates21.63 cents$4,98828% (2.7)
AGLBest solutions for energy efficiency22.61 – 26.88 cents$5,104 – $6,07026% (2.6)
PowershopGreenest energy24.53 cents$5,70917.3% (3.9)
Tango EnergyBest rated by customers24 – 30.47 cents$5,366 – $6,90022% (3.9)
EnergyAustraliaBest small business solar benefits24.36 cents$5,45121% (3.3)

*For a small business that’s based in Sydney, and using 20,000 kWh per year on a single rate plan. Sample quotes aren’t guaranteed – what you spend each year will depend on your business’s location and energy usage.

**Calculated using customer scores from Trustpilot, Canstar Blue, Finder, and productreview.com.au (when available).

▶ Up next: Running a bigger business? Check out our list of the best business electricity suppliers in Australia, for businesses of all sizes


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Alinta Energy

Cheapest electricity rates for small businesses

Running a small business is as much an exercise in budgeting and cost-cutting as it is in anything else. So, obviously, how much your energy costs is a big consideration – and it’s on this count that Alinta Energy really wins us over. On Alinta’s BusinessDeal Energy single rate tariff, you’ll pay just 21.63 cents per kWh of electricity your business uses – that’s the cheapest rate we’ve seen on the market since prices shifted in July 2021, and it’s a whopping 28% less than the reference price. It makes sense that the sample quote of $4,988 that Alinta gives for small businesses is also the cheapest we’ve seen.

Average customer score

Alinta Energy’s small business rates

PlanSupply charge (per day)General usage rate (per kWh)% less than reference price
BusinessDeal Energy$1.8221.63 cents28%

Sample quote: $4,988 per year

Pros:

  • Good solar feed-in tariff rate of 7.5 cents per kWh exported
  • No exit fees, credit card fees, or fees for choosing paper bills
  • Cheap usage rates, fueled by a discount of almost a third for new customers

X Cons:

  • No GreenPower or carbon offset options
  • 93% of its energy comes from non-renewable sources
  • Alinta’s plan prices aren’t fixed, and so could go up or down during your contract

Did You Know?

You’ll often see business energy suppliers shouting about their prices being a certain percentage “less than the reference price”. Let’s take a moment to clarify what that means.

The reference price is an estimation of the average amount that businesses in your area would typically be expected to pay for electricity, based on an assumed level of usage for businesses like yours. For the purposes of this article, the reference price refers to the average amount that Sydney-based businesses would likely pay per year to use 20,000 kWh of electricity from the Ausgrid network annually.

So, the bigger the percentage off the reference price, the better the deal you’re getting from your supplier. In fact, these percentages are often referred to as discounts, which makes them sound even more appealing.


AGL

Best solutions for energy efficiency

Of course, the cost of your energy doesn’t just depend on usage rates – it also depends on how much energy you use. The more energy efficient you are, the less you spend (and the less harm you cause to the planet!). If you’d like a helping hand in boosting your energy efficiency, we recommend looking at AGL. Not only does it offer a competitively priced small business energy plan (Business Super Saver), but it can also go the extra mile in providing tailored solutions to help you streamline your energy use, from tweaking the way you use lighting all the way to helping you generate solar energy.

Average customer score

AGL’s small business rates

PlanSupply charge (per day)General usage rate (per kWh)% less than reference price
Business Flexible Saver$1.9026.88 cents12%

Sample quote: $6,070 per year

Business Super Saver$1.6022.61 cents26%

Sample quote: $5,104 per year

Pros:

  • 10% to 100% GreenPower options available
  • Decent solar FiT rate of 7 cents
  • Business Super Saver plan boasts really competitive rates
  • Plan prices are fixed, and so won’t go up or down

X Cons:

  • Charges credit card fees
  • Gets 84% of its energy from non-renewable coal
  • Has been penalised for pollution by EPA NSW

Did You Know?

For this comparison, we’ve looked at rates from each supplier’s single rate tariffs. These are tariffs on which you pay a flat rate for your electricity and gas, no matter how much you use or when you use it.

But there are other kinds of business energy tariffs available. Small businesses that operate mainly over the weekend or overnight, for example, would probably benefit more from a time of use tariff, on which you pay cheaper rates for the energy you use at off-peak times.


Powershop

Greenest small business energy

As scientists and teenage activists alike warn of a climate emergency, it’s important that we do what we can to lessen our impact on the planet. One way for a small business to do that would be to choose a clean, green energy supplier – and there’s no better example in Australia than Powershop. Powershop gets all of its energy from totally renewable sources: 66% comes from wind and 34% from hydro, to be exact. Both the organisation and the energy it supplies are carbon neutral – it’s the only supplier in Australia that can make this claim – and Powershop is publicly vocal in its anti-fossil fuels stance.

Average customer score

Powershop’s small business rates

PlanSupply charge (per day)General usage rate (per kWh)% less than reference price
Powershop 100% Carbon Neutral Offer$2.2024.53 cents17.3%
Sample quote: $5,709 per year

Pros:

  • Consistently rated highly by customers (its customer score is one of the best on this page)
  • No exit fees, credit card fees, or fees for choosing paper bills
  • No connection fee
  • Offers 100% GreenPower...

X Cons:

  • ...but charges 3.74 cents per kWh for it
  • Charges one of the most expensive daily supply charges on this list
  • Powershop’s plan prices aren’t fixed, and so could go up or down mid-contract

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Tango Energy

Best rated by fellow customers

Sometimes, nothing is as reassuring as an existing customer saying “yep, this company is good”. Luckily, Tango Energy has shining endorsements in spades, netting the best customer review score on this list (aside from Powershop, which also scored 3.9, but from fewer review sources). Reviewers mostly praise Tango’s award-winning, Australia-based customer service team, who’ve been dubbed “friendly”, “professional”, “proactive”, and “outstanding” by customers. Plus, according to a Choice survey, Tango’s team answers 80% of phone calls within 30 seconds – a reassuring stat for a busy small business owner.

Average customer score

Tango Energy’s small business rates

PlanSupply charge (per day)General usage rate (per kWh)% less than reference price
Business Select$1.5524 cents22%
Sample quote: $5,366 per year
Tango Blue$1.5527.83 cents11%
Sample quote: $6,132 per year
Everyday Basic$2.2130.47 centsNone
Sample quote: $6,900 per year

Pros:

  • Charges the cheapest daily supply charge on this list
  • Offers 100% GreenPower on the Tango Blue plan
  • Can help your business get set up with solar panels
  • Plan prices are fixed on the Business Select and Tango Blue plans, so rates won’t increase mid-contract

X Cons:

  • Charges an expensive connection fee of $45, as well as credit card fees
  • FiT rate of 5.5 cents per kWh is the lowest on this list
  • Isn’t transparent about its energy sources
  • Only available in three territories (SA, Vic, and NSW)

EnergyAustralia

Best small business solar benefits

With no dedicated plan for solar energy generators, EnergyAustralia may seem like an odd choice for companies that want to make the most of the Aussie sun. But, with the cost-saving needs of small businesses in mind, we think its solar buy back rate of 9.5 cents per kWh is very generous alongside its nice and affordable electricity usage rates. While other suppliers – including Origin Energy, Momentum Energy, and Red Energy – offer dedicated solar plans with better solar buy back rates, they tend to charge higher usage rates on those plans, too. That's we’d recommend those other suppliers to larger businesses that can afford the higher rates, and will get more out of the juicier buy backs. It’s all about balance!

Average customer score

EnergyAustralia’s small business rates

PlanSupply charge (per day)General usage rate (per kWh)% less than reference price
Total Plan – Business$1.5924.36 cents21%
Sample quote: $5,451 per year

Pros:

  • 10%, 25%, and 100% GreenPower options available
  • One of its products is carbon neutral
  • Can help your business get set up with solar panels, and its solar FiT rates are higher than average

X Cons:

  • Sources 90% of its energy from non-renewable coal and gas
  • Doesn’t provide an option for monthly billing
  • Charges credit card fees
  • Plan prices aren’t fixed on the Basic Business and Business Balance plans, and may go up or down

Did You Know?

If your business generates its own solar energy, you can export any that you generate, but don’t use yourself, back to the grid. To incentivise this process, your energy supplier may pay you back a set amount per kWh that you export (if you’re eligible). This initiative is called the Solar Feed-In Tariff (FiT), but you’ll often see suppliers refer to the amount they pay back as their solar buy back rate. Usually, the amount you earn from the Solar FiT will be added as credit onto your next energy bill.


Expert verdict

So there you have it! The best small business energy suppliers in Australia are Alinta Energy, AGL, Powershop, Tango Energy, and EnergyAustralia.

If you’d like more help in zeroing in on the best – and cheapest – energy supplier for your small business, why not try out our free quote-matching service? Just answer a few questions about your small company and its energy needs (it only takes a minute), and our trusted broker will use that information to find you the cheapest energy quote available.

Our service is free, quick, and easy, and it saves Expert Market customers an average of $1,837 per year on their energy bills.


Get a free, tailored quote from the cheapest energy supplier for your small business
Just answer a few questions – it only takes a minute
Does your business already have an energy supplier? YES NO

FAQs

How much energy does a small business use?

As you’ll have seen from our sample quotes, energy suppliers tend to assume that a small business will use around 20,000 kWh of electricity per year. But don’t take that as a given for your business, because it completely depends on the size of your premises, the size of your team, the type of equipment your team uses, how long your company is open and operational each day, and all sorts of other factors.

Generally, though, we’d say that a small business could use anything up to about 30,000 kWh of electricity per year.

Which is the best electricity supplier for a small business?

That depends on your priorities! As we’ve covered in this article, Alinta Energy offers the cheapest rates for small businesses, while AGL is our top pick for helping you to cut back on your energy consumption. Powershop is best if you’re looking for clean, renewable energy, while EnergyAustralia offers the best deal for small businesses that generate solar energy. Meanwhile, Tango Energy is the supplier that’s been rated the best by its customers.

Is business electricity cheaper than residential?

It’s difficult to say a definitive yes or no here, because it does depend on the rates in your local area.

Generally though, the larger your business, the more likely your rates are to be higher than residential rates. This is because big businesses put more demand on the grid and need more infrastructure to keep them supplied, and so their rates will usually be higher to account for that.

Who is the cheapest electricity provider in SA?

With smaller reference price discounts available, energy rates in South Australia tend to be more expensive than those in New South Wales (specifically Sydney, the city we’ve chosen to compare rates for on this page). Of the suppliers on this list, though, AGL offers the cheapest rate for SA businesses – 32.4 cents per kWh of electricity.

We’ve included Sydney-based rates on this page to give as good a guide as possible, but it’s always a good idea to check the rates in your specific area to make sure you’re getting the best deal for your circumstances. Fortunately, our free quote-finding service can help you to do this quickly and easily. Just answer a few questions about your small business energy needs, and our trusted broker will find the best rate for you. No worries!

Julia Watts Content Manager

Specializing in the complex realms of telephone systems, business energy, vehicle tracking, asset tracking, and fuel cards, Julia writes content that cuts through the noise to help you find the right solutions and technologies for your business. Having spent five years working across the dynamic world of entrepreneurship, she loves helping exciting ventures – big or small – to flourish.

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