Gas distribution charges

Our gas network

We own and operate one of three Victorian gas networks. Our 12,800km gas distribution network covers an area of more than 60,000 square kilometers in central and western Victoria. We deliver gas to approximately 796,000 homes and businesses.

Gas is an important part of the energy mix in Victoria. Our customers use gas primarily for cooking, heating, hot water and/or a range of industrial processes.

Victorians rely on gas more than any other state. Around four out of five Victorian homes are connected to gas, and the gas networks currently provide more energy than electricity networks.

View Gas tariffs and charges.

The Gas Access Arrangement Review (GAAR)

The Australian Energy Regulator (AER) is responsible for regulating Australian gas distribution, which falls under a national framework.

Every 5 years, gas distributors across Victoria must submit a draft plan to the AER for the next 5-year regulatory period. This plan outlines the services we will offer customers, the costs to deliver those services, and the plan for how we will use money collected via the distribution charge on customers’ bills. This process is known as the Gas Access Arrangement Review (GAAR).

Our current regulatory period expires on 30 June 2028. Read our current Gas Access Arrangement (2024 - 2028):

• Part A – Access Arrangement
• Part B – Reference Tariffs and Reference Tariffs Policy
• Part C - Terms and Conditions

We engaged extensively with customers and other stakeholders throughout prior to submission to understand their needs and expectations of our network, and ensure they are reflected in our plan. AER published its final decision on our access arrangements in June 2023.

The Gas Access Arrangement Review (GAAR) - Variation Proposal

On 30 September 2024, we submitted a proposal to the AER to vary its approved 2023–28 access arrangement. This was to respond to  the Victorian Government’s policy decision to restrict new gas connections. We anticipate the AER will make its final decision on the variation proposal in May 2025.

For details of our proposal and the AER’s decision making process, visit the AER’s website.

Customer feedback shapes our plans

We regularly talk to our customers to learn and understand what they need. This helps us make better network plans. Here's how we do it:

• regular round tables with customer representatives, retailers and big business
• targeted stakeholder co-design workshops on specific issues
• residential and small business customer workshops
• deep dives on the major areas of spending and the future of gas
• comprehensive and statistically significant customer surveys.

Our draft plan and addendum were shaped by extensive customer research to prioritise customer needs and assess their impact on prices and bills.

Balancing low prices and long-term customer protection

We are among Australia's most affordable gas distribution businesses. Our plans prioritise short-term bill affordability to reduce cost-of-living concerns and protect customers from sudden bill increases in the future. This approach aligns with customers' need for total bills and long-term bill stability.

Our distribution network charges make up about 20% of gas bills and residential customers and about 5% for small business consumers. The remaining portion of the bill includes expenses like gas procurement, transmission costs (moving gas from production to our network), retailer costs and margins.