The Australian Energy Council (AEC), the peak body for energy retailers and generators, says the ACCC’s latest electricity market inquiry report confirms that home batteries and virtual power plants (VPPs) are delivering significant benefits for Australian households, while highlighting opportunities to unlock even greater value for customers.
The ACCC found households participating in VPPs recorded some of the lowest electricity bills.
The AEC’s Chief Executive Louisa Kinnear said the findings reinforce the important role customers with solar and batteries will play in Australia’s future energy system.
“The ACCC’s report demonstrates the value retailer-led virtual power plant products can deliver for customers through lower bills and greater participation in the energy system,” Ms Kinnear said.
“As Australia continues to electrify, consumer energy resources such as batteries, rooftop solar and electric vehicles will become an increasingly important part of maintaining affordability and reliability.
“The 2026 Integrated System Plan (ISP) highlights how better orchestration of consumer energy resources will be critical to achieving the energy transition at the lowest cost for consumers.
“VPPs are already delivering significant savings for households. The next step is unlocking more of the value customer batteries create across the energy system and ensuring that value can flow back to customers through innovative energy products.
“Customer batteries can help reduce pressure on electricity networks and avoid costly infrastructure upgrades, but more needs to be done to ensure those benefits are shared with households through competitive energy products.”
Ms Kinnear said the Australian Energy Market Commission’s upcoming work on its Electricity Network Regulation Review presents an opportunity to examine how network incentives can better support customer participation.
“This isn’t just about trust, it’s also about customer value. If we want more Australians to participate in virtual power plants, we need to change the market settings to ensure the full value from these services can be shared with customers.”
About the Australian Energy Council
The Australian Energy Council (AEC) is the peak body for energy retailers and generators operating in competitive markets.
Our members generate and sell energy to over 10 million homes and businesses and are committed to delivering a reliable, affordable and decarbonised energy system for consumers.
The AEC supports net zero by 2050 and recognises the electricity sector’s role in reducing Australia’s emissions. Our members are major investors in renewables, firming and storage technologies that are critical to ensuring customers continue to receive reliable and sustainable energy supply as we navigate the energy transition.
Media contact Tom Monaghan 0423 348 088
