Why should one go with Fixed over Discount Off Regulated Tariff?

What's the best actually between fixed and discounted

Hi there!

The benefit of a fixed price plan is that you get to lock in a predetermined price for the entire length of your contract. Which means that you get to know for sure the amount you're paying for per kWh of electricity.

For discount off regulated tariff plans, your prices may fluctuate every quarter when the EMA updates their prices. The % discount off the regulated tariff is set and fixed by the electricity retailers.

You can also consider non-standard price plans where the rates are lower during off-peak hours (11pm to 7am) and higher during on-peak hours (7am to 11pm).

I've left a more detailed explanation of each plan type below from one of my previous answered questions. Meanwhile, do note that you can now use Seedly's comparison tool to filter and sort which plan/plan type would be most feasible for you.

I hope this would help!

Important fact and assumption to note:

Fact: Regulated tariff in Q3 2019 = 0.2592/kWh

Assumption: Average monthly consumption of 500 kWh*

1) Fixed Price Plans (Standard Plans)

This is the most straight forward plan type. As the name suggested, you pay a constant rate (e.g. $18.00/kWh) for electricity throughout your contract duration. However, the rate may be higher or lower than the regulated tariff during the contract duration as the regulated tariff is reviewed every quarter. This plan will be suitable for you if you prefer prize certainty or if you speculate that the kWh price is at an all-time low.

Top 3 cheapest Fixed Price Plans in the market:

a) iSwitch's "Chope" the Rate Plan (12-month contract)

• Fixed-rate of 17.67c/kWh
• Monthly electricity bill payable $88.35*

b) Geneco's Give Us A Try Plan (6-month contract)

• Fixed-rate of 17.68c/kWh
• Monthly electricity bill payable $88.40*

c) Union Power's Fixed Saver Plans (12 or 24 months contract)

• Fixed-rate of 17.70c/kWh
• Monthly electricity bill payable $88.50*

2) Discount Off Regulated Tariff Plans (Standard Plans)

Short-form DORT, you get to enjoy a fixed discount off the prevailing regulated tariff (e.g. 20% - determined by the retailer) throughout your contract duration. This plan is suitable for users who do not mind their electricity rate changing every quarter. Do note that the regulated tariff is reviewed by SP Group on a quarterly basis (approved by the EMA).

Top 3 cheapest DORT plans in the market

a) Ohm Energy's Discount Plan (6 or 12 months contract)

• 25% off the regulated tariff
• Monthly electricity bill payable $97.20*

b) Diamond Electric's Saver Plans (12 months contract)

• 25% off the regulated tariff
• Monthly electricity bill $97.20*

c) Sunseap's Sunseap-One Plan (6 months contract)

• 23% off the regulated tariff
• Monthly electricity bill $99.80*

3) Non-standard Price Plans

This plan would be the best for night owls, users who consume more/or the majority of their electricity during off-peak hours between 11pm to 7am as compared to on-peak hours between 7am to 11pm.