What is the Default Market Offer

The Default Market Offer (DMO) is an energy plan set by the Australian Energy Regulator. It is the maximum price that retailers can charge residential and small business customers on a standing offer contract for electricity.

It applies to households and small businesses in: 

  • South Australia
  • New South Wales
  • South-east Queensland 

The DMO protects people who are unable, or choose not, to sign up to a more competitive market retail energy plan. 

Every year on 1 July, the DMO annual price is locked in for 12 months.

How the Default Market Offer protects you

The DMO is also a reference price used to compare against market retail energy plans for electricity. Retailers must show how their plans compare to the DMO in all advertising and promotion. 

The DMO may not be the cheapest plan available. Consumers are encouraged to shop around for better deals. Currently, less than 10% of households and only about 15% of small businesses are on the DMO.

A standing offer is the default energy plan a retailer must provide if a customer hasn’t chosen another option.

A market offer is a competitive energy plan designed by retailers that often include different prices, discounts or features, and customers can choose between them to find a deal that suits their needs.

Customers might be on a standing offer if: 

  • they have never switched to a retailer’s market offer contract
  • they move to a premise and are supplied by the existing retailer but are yet to make contact with a retailer.

You should check with your retailer to find out if you are on a standing offer or a market retail offer.

Default Market Offer Decisions

Default Market Offer starting 1 July 2025

View the entire process that the AER followed to determine the current Default Market Offer, which is in effect until 1 July 2026.

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Default Market Offer starting 1 July 2026

We are currently working on the draft Default Market Offer for 2026-27. Go to our project page for all information related to this decision, including opportunities for consultation.

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