There are many factors that affect the costs of delivering gas and electricity to you. Here we break them down for you.
What costs does AGL incur in delivering energy to you?
The costs charged by distributors to transmit energy to homes via electricity poles, wires, gas pipes and meters. AGL pays distributors for the cost of delivering energy to you.
Wholesale market costs
Retailers buy wholesale energy from the wholesale energy market. The price of wholesale energy is determined by conditions in the wholesale market including supply and demand conditions.
AGL incurs other costs in supplying energy to you, such as costs of complying with a range of Federal and State government programs. Common examples of this include renewable energy targets and energy efficiency schemes.
The costs to a retailer of selling energy to homes. This includes the direct and indirect costs of running the retail business, providing customer service, complying with regulations and managing your account.