Is your business overpaying for electricity? It probably is.
In an energy market as volatile as Australia’s, the wrong contract can cost you thousands over a year. That’s where an energy broker can be a game-changer. But before you jump in, there are a few things you should understand.
Whether you’re running a national franchise or a growing SME, picking the right energy partner isn’t just about finding the cheapest rate—it’s about making an informed, strategic decision. Here are ten things every Australian business owner should know before choosing an energy broker.
1. Not All Brokers Work the Same Way
At a glance, many brokers might seem identical—they compare rates and help you switch providers. But dig deeper and you’ll find huge differences in how they operate.
Some earn commissions from energy retailers, which can lead to bias. Others charge a flat consultancy fee, offering advice without any retailer incentives. Understanding how your energy broker gets paid is essential for trusting their recommendations.
2. Look for Brokers Who Offer Multi-Year Comparisons
Energy isn’t a one-year decision. Contracts can lock you in for years, and costs often change. A reliable energy broker should be able to show you not just today’s rates, but projected savings over time.
This includes factoring in peak usage, tariff structures, and annual trends—not just the cheapest kilowatt-hour rate available this month.
3. Ask About Embedded Network Experience
If your business operates in a retail complex, office tower, or multi-tenant facility, chances are you’re part of an embedded network. These require specific expertise.
Make sure your energy broker has experience dealing with embedded networks, or they might overlook key charges that impact your total spend.
4. Customisation Isn’t Always a Good Thing
Some brokers promise “custom solutions” or energy contracts built around your business. Be cautious. Energy retailers rarely offer custom pricing for SMEs unless you’re using hundreds of thousands of kilowatt-hours a year.
Instead of falling for buzzwords, ask for evidence—previous client case studies, before-and-after bill comparisons, or load profile analysis.
5. Demand Data Transparency
Any broker worth their salt will ask you for interval data or recent energy bills to perform a proper assessment. But the best ones will also give you access to that analysis.
If your energy broker can’t show you how they calculated your savings, what assumptions they made, and why they chose a particular retailer, walk away.
6. One Retailer Isn’t Enough
A broker who only compares two or three retailers isn’t helping you much. There are dozens of commercial energy retailers operating across Australian states—especially in Victoria, NSW, and Queensland.
At minimum, your energy broker should compare offers from five or more retailers. Anything less, and you’re missing out on competitive pricing.
7. Watch the Contract Length
Longer contracts often come with lower rates—but they also carry more risk. A three-year agreement might look great now, but what if your business scales up or relocates next year?
A smart energy broker will match contract lengths to your business roadmap—not just retailer preferences.
8. Green Energy Isn’t Always Cheaper—Or More Expensive
Many businesses assume green energy is a costly upgrade. But with the Australian Energy Market Operator (AEMO) forecasting growing renewable penetration across the grid, that’s changing fast.
Some brokers now secure green electricity at competitive or even cheaper rates than traditional plans. Don’t assume—ask your energy broker to model both options.
Source: AEMO’s 2023 Integrated System Plan
9. Post-Switch Support Matters
Switching is only the beginning. A proper energy broker will continue to monitor your contract performance, notify you of renewal deadlines, and flag cost anomalies.
The best brokers also offer quarterly reviews and ongoing data tracking. If their service stops the moment you sign a new deal, you’re not getting full value.
10. Your Broker Should Understand Your Sector
Energy use in a warehouse looks nothing like usage in a bakery or fitness studio. Your broker doesn’t need to know your business inside-out, but they do need experience in your industry.
Sector-specific experience helps them spot savings opportunities others miss—like off-peak advantages for manufacturing or demand response options in retail. The difference can be significant, especially for multi-site operators or energy-intense businesses.
Final Thought: Choose Smart, Not Fast
Switching energy providers isn’t hard. But switching right takes knowledge, comparison, and the right broker in your corner.
If you want to understand what separates average service from strategic energy guidance, check out this in-depth comparison of what to expect from a high-performing energy broker.
You’ll see how a true energy partner can help you reduce costs, simplify admin, and plan for long-term growth—all while keeping your business in control of its usage.