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Australian household electricity prices see a rise over inflation
How do household energy costs compare with inflation in Australia and globally
New research from energy comparison service iSelect, has compared year-on-year household electricity costs across major global economies, highlighting an increase in household electricity prices, many of which are greater than the annual Consumer Price Index.
According to the research, the average electricity price for Australian households rose from AU$0.361/kWh in June 2023 to AU$0.389/kWh in June 2025, marking a 7.63% increase. The rise in electricity costs comes amid a national Consumer Price Index increase of 2.1% in July 2025, which is an economic indicator of inflation and cost of living. The difference in increase reflects a broader pressure on Australian household bills.
This growth sits below some European nations that have seen a significant increase over the past two years. Denmark saw the highest increase with 51.06%, followed by Norway with 49.02% and Portugal at 22.22%. The CPI in all three nations was not this high, reflecting an imbalance in household costs.
The USA saw an increase of 9.04% in household electricity prices, compared with only a 2.7% annual CPI. France saw one of the lowest CPI increases at 0.20% compared to a rise in household energy bills of 8.17%.
“Overall, the research reveals that while Australian households are facing above-inflation increases in their electricity bills, the situation is far more severe in some parts of Europe where energy costs have surged well beyond broader price growth. With inflation increasing globally, there is a significant difference between household electricity prices and annual CPI, which highlights the continued strain energy affordability places on consumers. These findings highlight the importance of comparing energy providers regularly. At iSelect, we help Australians compare plans from a range of energy providers to look for one that suits their lifestyle and budget.”
Julia Paszka
General Manager – Utilities at iSelect
Written by:
Sarah Grealy
Digital Public Relations Specialist
0413 363 690
Sarah is our Digital Public Relations Specialist, and brings more than a decade of experience in the insurance comparison industry to iSelect.
With a passion for storytelling through data-driven insights, Sarah strives to empower Aussies with practical guides and tips.
About the data
Sources
– Electricity prices around the world | GlobalPetrolPrices.com
– Consumer price index – Statistics Denmark
– Consumer price index – SSB-Norway
– Statistics Portugal – Web Portal
– CPI Home : U.S. Bureau of Labor Statistics
– France Consumer Price Index (CPI)
– Spain Standard of living and living conditions (CPI)
– Measures of Consumer Price Inflation | RBA
Currency converted from USD to AUD on 3 Sept
Information accurate as of June 2025
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About 
At iSelect, we’re passionate about making Aussies’ lives easier by saving them time, effort and money. We are Australia’s go-to destination for comparison across insurance, utilities and personal finance products made available from our range of providers. Our service is provided at no cost to the customer.
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