With the subsidy scheduled to finish at the end of 2025, many households are anxious to know whether assistance will continue. Treasurer Jim Chalmers has indicated that a final decision will come in December. He explained that the timing allows the government to incorporate the most up-to-date data before locking in any additional cost-of-living measures.
While the Treasurer has not committed to an extension, he also hasn’t ruled it out. The electricity rebate currently forms part of the federal Energy Bill Relief Fund, which was expanded to help households and small businesses facing steep increases in power prices.
Eligible Australians receive a quarterly discount of about $150. The program is scheduled to run until 31 December 2025, but many are wondering whether another year of support might be approved.
Prime Minister Anthony Albanese has previously noted that subsidies like this cannot run indefinitely, but he acknowledged that the government understands the pressure energy bills place on everyday Australians. This reflects the tension the government faces: power prices have climbed sharply over the past year, yet temporary subsidies were never intended to become a permanent fixture of the federal budget.
Dr Chalmers highlighted that these rebates have a measurable effect on inflation figures, with energy costs dipping in months where subsidies kicked in. This has helped take some pressure off household budgets and contributed to broader efforts to bring inflation back under control. He emphasised, however, that while rebates are an important part of supporting Australians through a difficult period, they were introduced as a temporary measure.
For the average citizen, the government’s indecision may feel frustrating, especially as electricity remains one of the largest and most unpredictable household expenses. Many families continue to juggle high rents, mortgage repayments and grocery costs. An extension of the rebate would likely provide reassurance, offering at least some certainty into 2026.
As December approaches, Australians will be watching closely. Whether the rebate continues may depend on updated forecasts, inflation trends and how much room the government has left in the budget. For now, the message is simple: support may continue, but nothing is guaranteed.
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