What the wholesale price is
In the National Electricity Market, generators offer their output every five minutes and AEMO dispatches the cheapest mix that meets demand. The spot price is quoted in dollars per megawatt-hour (MWh). One MWh is 1,000 kWh, so $74 per MWh is the same as 7.4 cents per kWh, before any network or retail costs.
Retailers buy power at these prices and protect themselves from spikes with hedging contracts, then sell to households at fixed rates. See how the NEM works.
Latest wholesale prices by state
| Region | Average price | Per kWh | Change on a year |
|---|---|---|---|
| Victoria | $56/MWh | 5.6c | -60% |
| Queensland | $67/MWh | 6.7c | -44% |
| New South Wales | $75/MWh | 7.5c | -53% |
| South Australia | $86/MWh | 8.6c | -38% |
| Tasmania | $86/MWh | 8.6c | -39% |
| NEM average | $74/MWh | 7.4c | -47% |
The quarter saw record renewable output (42.1% of NEM generation), household battery capacity up 3,283 MWh and gas-fired generation down 30%, its lowest June quarter since 2003. In WA, which runs a separate market, average real-time prices rose 30% to $118 per MWh.
How much of your bill is wholesale
| Network area | Wholesale | Network | Environmental | Retail and margin | DMO price |
|---|---|---|---|---|---|
| Ausgrid (NSW) | $654 (34%) | $778 (41%) | $48 | $420 | $1,899 at 3,900 kWh |
| Endeavour (NSW) | $873 (38%) | $917 (39%) | $61 | $479 | $2,328 at 4,900 kWh |
| Essential (NSW) | $779 (30%) | $1,283 (49%) | $56 | $485 | $2,604 at 4,600 kWh |
| Energex (SE QLD) | $725 (36%) | $817 (41%) | $41 | $404 | $1,988 at 4,600 kWh |
| SA Power Networks | $843 (36%) | $974 (42%) | $47 | $470 | $2,334 at 4,000 kWh |
Network charges are the biggest single cost in every region, and wholesale the second. For 2026-27 the AER cut its wholesale allowance in every region compared with the year before, which is the main reason the DMO fell in NSW and South East Queensland. Read more on network charges and the Default Market Offer.
Why wholesale prices rise and fall
- Time of day. Prices are usually lowest in the middle of the day when solar floods the grid, and highest in the evening peak.
- Fuel costs. When gas generators set the price, gas prices flow through to electricity.
- Outages and weather. Coal plant breakdowns, heatwaves and still, cloudy weeks push prices up.
- New supply. More wind, solar and batteries add cheap supply and soften peaks.
Plans that pass through wholesale prices
A few retailers sell plans linked to wholesale prices, which can be cheap for flexible homes with batteries but risky in price spikes. See Amber Electric and Flow Power.
Common questions
AEMO reported a NEM average of $74 per MWh, or 7.4c per kWh, for the June quarter of 2026. It ranged from $56 per MWh in Victoria to $86 in South Australia and Tasmania.
In the AER's 2026-27 Default Market Offer, wholesale costs are about 34% of the Ausgrid residential price and about 38% in the Endeavour area. Network charges are the biggest part.
Retail prices are set for a year at a time, and retailers buy much of their power in advance through contracts. Falls in wholesale prices reach bills gradually, mostly at the July price reset.
Sources
Every rate on this page comes from the regulator or the regulated retailer. Last checked October 2026. Prices include GST unless we say otherwise.