The Victorian Default Offer (VDO) — 2026–27

Who sets it, and where it applies

The Victorian Default Offer is set by the Essential Services Commission, Victoria's state regulator. Victoria sits outside the national Default Market Offer and runs this scheme of its own instead. It applies right across the state, adjusted for Victoria's five electricity distribution zones, because network costs differ depending on which part of the state you're in.

What it actually is

Like the DMO, the VDO is a cap and a reference price, not the rate everyone pays. It protects households on a standing offer from overpaying, and gives everyone else a clear baseline. Retailers can and do compete below it, so a market offer will often sit under the VDO. It's designed to be a simple, trustworthy default rather than the cheapest deal available.

How it's structured

The VDO is published as its underlying components, a daily supply charge plus a usage rate, rather than as a single annual figure. Splitting it out this way lets you compare a plan's standing charge and its per-unit rate separately, which is how a retailer actually bills you. Because there are five distribution zones, the exact figures vary by where you live.

Why it matters to you

The VDO is your yardstick in Victoria. Line your plan's supply and usage rates up against it, and you'll quickly see whether you're ahead or behind. If your rates are higher, it's a signal to look at market offers; if they're lower, you're already doing well.

When it changes

The VDO resets every 1 July with the rest of Australia's regulated prices. We re-verify Victoria's figures at that reset and show the date each page was last checked. This is general information, not energy-retail advice.