When should a laundromat switch energy retailer?
Plans rarely stay competitive. Here is how to tell when yours has stopped being a good deal.
Why plans drift
Business energy contracts often have a fixed term or a discount that ends. When it does, the retailer may move you to a higher rate. Meanwhile the market keeps moving. The bill rarely announces that a better offer exists.
When to look
- Your contract or benefit period is about to end (the bill usually shows an end date).
- You received a price change notice.
- Your cost per cycle has risen with no change in usage.
- Your usage has changed, for example after adding machines.
What to compare
Do not compare headline discounts. Compare the total cost for your actual usage:
- Usage rate(s), including tiers or time bands.
- Daily supply charge. For a small shop this can matter as much as the usage rate.
- Whether rates include GST.
- Conditional discounts (pay on time, direct debit) and whether you reliably qualify.
- Exit fees and the length of the term.
- Whether the offer is for new customers only.
Where to compare
Government comparison sites such as Energy Made Easy (most states and territories) and Victorian Energy Compare (Victoria) list published offers. Business offers can be more limited online, so also ask retailers or a broker for a quote, using your last twelve months of usage.
Ask your current retailer too
A phone call citing a competitor's offer sometimes gets a better rate without switching. Get any new rate in writing.
Before you sign
Read the contract term, price review clauses and exit fees. This is general information, not financial advice.
Keeping track
LaundroMetrics compares the rates on each bill with current published offers and tells you when a cheaper one exists for your usage. See plans, or read how to read an electricity bill first.