“That’s why the government acted in December to cap coal and gas prices and why we worked with states and territories to deliver up to $3 billion in direct relief for the most vulnerable households and small businesses,” Bowen said.

The federal government is providing power bill rebates worth up to $500 for eligible households and $650 for small businesses. The subsidies vary across the country because the federal government cut different deals with states and territories, which will also contribute to the subsides that will be delivered by paying energy retailers to lower consumers’ bills.

Eligibility is limited to pensioners, veterans, seniors, concession card-holders as well as recipients of the Carer Allowance, Family Tax Benefit and a range of existing state and territory concession schemes that already offer energy subsidies.

Savage said households and small businesses that were struggling with bills should contact their electricity retailer as soon as possible because the companies are compelled by the law to offer assistance.

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“No one wants to see rising prices, and we recognise this is a difficult time,” Savage said. “That’s why it’s important for consumers to shop around for a better deal.”

Social services groups have warned that this year’s looming price hikes would be devastating for low-income Australians and worsen the cost-of-living crisis.

“People on the lowest incomes do not have anything left in their budgets to cut back on and are at breaking point,” Australian Council of Social Services chief Cassandra Goldie said in March.

The Australian Council of Social Services called on the federal government to update the regulator’s guidelines to lower retail margins, lift JobSeeker payments to at least $76 a day and provide an emergency energy relief payment of up to $2000 for customers in hardship.