How to save on your gas bill

Practical ways to cut your gas bill in Australia: switching plans, reading stepped rates and trimming usage on hot water, heating and cooking.

By EnergySorted Editorial Team · Updated 8 July 2026 · 8 min read

Start with the biggest lever: your plan

Most households never switch gas plans, yet the gap between a stale offer and a sharp one can be worth hundreds of dollars a year. Retailers rely on inertia. They quietly move you off an introductory discount and onto standing rates once your benefit period ends, and the increase rarely arrives with a warning that feels like one.

The single most effective thing you can do is compare your current plan against what is available today. Gas is billed differently from electricity, so a good comparison has to account for stepped (block) rates and supply charges, not just a single headline number. EnergySorted costs each plan against your real usage, including the way stepped rates change the price of each megajoule as you use more, so the ranking reflects what you would actually pay rather than a marketing figure. If you have never done it before, our guide on how to switch gas provider walks through every step, and you can cost the whole market on your own bill in a couple of minutes.

Before you compare, grab a recent bill. You want your annual or quarterly usage in megajoules (MJ), your supply (daily) charge, and your usage rates. With those three things, a comparison tells you the truth in a couple of minutes.

Understand how gas is priced

Gas usage is measured in megajoules, and most plans use stepped rates. That means the first block of gas each billing period is charged at one rate, the next block at a lower rate, and so on. Heavy winter usage can push you into cheaper steps, which is why comparing plans on a flat average can be misleading.

On top of usage you pay a daily supply charge that applies whether you burn any gas or not. For low-usage households (a couple who cook with gas but heat with a reverse-cycle split system, say), the supply charge can be the majority of the bill, so a plan with a low daily charge matters more than a sharp usage rate.

Megajoule (MJ): The unit gas is billed in. A typical home uses somewhere between 10,000 and 30,000 MJ a year depending on climate and how much gas heating it runs.
Stepped (block) rate: A pricing structure where the per-MJ price changes after you pass a usage threshold within a billing period. Later blocks are usually cheaper.
Supply charge: A fixed daily fee for being connected to the gas network, charged regardless of how much gas you use.

Trim the usage that actually costs you

Tackle hot water first: it is the largest gas load in most homes. Shorter showers, a water-efficient showerhead and washing clothes in cold water all chip away at it. If your system is ageing, our comparison of hot water running costs across electric, heat pump and gas is worth a read before you replace it.
Set your gas heating deliberately. Every degree above about 20°C on a ducted or space heater adds noticeably to winter usage; heating only the rooms you use beats warming the whole house.
Seal draughts around doors, windows and unused vents so your heater is not fighting cold air leaks. This is cheap and pays back quickly.
Check your hot water system temperature. Storage systems set far hotter than needed waste gas keeping water hot around the clock.
For cooking, a lid on the pot and right-sized burner make a small but real difference over a year.

Review the extras and the fine print

Pay-on-time discounts, direct debit conditions and the length of a discount period all change the real cost of a plan. A plan advertising a big percentage off can end up dearer than a plan with a modest discount but lower base rates: the discount is applied to rates that were higher to begin with.

Concessions matter too. Every mainland state and the ACT offers energy concessions for eligible pensioners and concession-card holders; these are applied by your retailer once you register, so make sure yours is recorded. Our guide to rebates and concessions you may be missing covers what is available and how to claim it. If you have both gas and electricity, ask whether a dual-fuel offer beats keeping them separate. Sometimes it does, often it does not, and only costing it on your usage settles the question.

Frequently asked questions

How much can I realistically save by switching gas plans?

It depends on how long you have been on your current plan and your usage, but households that have not switched in a few years commonly find one to several hundred dollars a year. The only way to know your number is to compare available plans against your actual annual megajoules and supply charge.

Is gas comparison available in my state?

EnergySorted compares gas plans in Victoria, New South Wales, Queensland, South Australia and the ACT. Western Australia, Tasmania and the Northern Territory have different market arrangements, so gas plan choice there is more limited.

Why does my gas bill jump so much in winter?

Gas heating is by far the biggest seasonal load. A home that uses gas ducted heating can easily use several times more gas in a cold month than a mild one, which is why winter quarters dominate the annual bill.

Does a bigger advertised discount always mean a cheaper plan?

No. A discount is applied to that retailer's rates, which may be higher than a competitor's. A 30% discount off high rates can cost more than a 10% discount off low ones. Compare the final dollar cost on your usage, not the discount headline.

Should I bundle gas and electricity with one retailer?

Sometimes a dual-fuel offer is cheaper and simpler, but not always. Bundling can lock you into a mediocre rate on one fuel to get a good one on the other. Cost both approaches on your real usage before deciding.

What information do I need off my bill to compare gas plans?

Three things: your annual or quarterly usage in megajoules, your daily supply charge, and your usage rates. With those you can cost the market accurately. If you are not sure how your usage compares to similar homes, see the average gas bill in Australia.

Would switching some appliances to electric cut my gas bill?

Often, yes. A reverse-cycle heat pump for heating or hot water can be cheaper to run than gas, and if gas becomes your only remaining appliance you may save the daily supply charge by disconnecting. Our guide on gas vs electricity running costs works through the maths.

Are there gas concessions or rebates I might be missing?

Most states and the ACT offer energy concessions for eligible pensioners and concession-card holders, and they only apply once your retailer has your details recorded. It is worth checking what you qualify for so nothing is left on the table.

How often should I re-check my gas plan?

At least once a year, and always when a discount benefit period ends, because that is when retailers quietly move you onto higher standing rates. Annual checks are normal and sensible in energy, where loyalty is rarely rewarded.

Will switching gas retailer to save money interrupt my supply?

No. Switching is a billing change only. The gas keeps flowing, nobody visits and nothing is disconnected. Only your billing retailer and rates change.

Does turning down my hot water temperature really save gas?

Yes. A storage system set far hotter than needed burns gas keeping water hot around the clock. Dialling it back to a safe but sensible temperature trims a continuous load. Cold-water clothes washing helps too, since heating water is where most laundry energy goes.

General information only, current at the time of writing. Not financial advice. Rebate schemes and rules change; always confirm details with your retailer or state government energy site.