Rita Burrows has pulled the plug on just about every appliance in her inner-Sydney home.

Key points: Electricity bills up an average 44 per cent over 10 years, after inflation

Electricity bills up an average 44 per cent over 10 years, after inflation Almost half of consumers' bills made up of network costs

Almost half of consumers' bills made up of network costs ACCC recommends consumers shop around for best deal

It is a desperate bid to reduce her electricity bill but, despite her best efforts, she still struggles to meet the payments.

She has thrown out her heaters, she does not use air conditioning and she only lights rooms that she is using.

She has even reduced her shower time and only fills the kettle to heat up one cup of water at a time.

She still dreads getting her bill every quarter.

"Sometimes I leave it on the table so I don't have to open it," she told 7.30.

"It's horrible."

As she is renting, there is not much more Ms Burrows can do to reduce her electricity use.

When her bill skyrocketed after one particularly cold winter she was reluctantly forced to turn to St Vincent de Paul for help, a charity that she used to donate to.

"You get to a point where you just have to swallow your pride and ask for help," she told 7.30.

"You shouldn't have to depend on charity. You should be able to pay your own bill, especially when you try to do everything to keep things reasonable."

The retired hairdresser and pensioner said it was unsustainable for electricity bills to be going up so fast when her income was essentially fixed.

"When you get to retirement age it's supposed to be a time to relax, a time to finally be able to enjoy life," she said.

"There's no enjoyment of being in debt."

Competition not bringing prices down

Sorry, this video has expired Why are electricity prices soaring?

The Australian Competition and Consumer Commission (ACCC) says the burden of higher electricity prices is disproportionately affecting low-income households like Ms Burrows', and is currently investigating the sector.

The commission's preliminary report, released late last year, found that over the past 10 years the average bill has gone up by 44 per cent (adjusted for inflation).

Australian Bureau of Statistics figures show that over the same period real wages have only increased by 6 per cent.

The ACCC's report found that there were four elements that make up consumers' bills: The network costs (48 per cent), retail costs (23 per cent), wholesale electricity (22 per cent) and environmental costs (7 per cent).

It says network costs over the decade have increased by 42 per cent, mainly due to over-investment in the poles and wires.

Retail costs have also increased by 26 per cent, which has frustrated the commission's chairman Rod Sims.

"Competition was meant to give incentives to reduce their costs, and it seems like the reverse is happening," he told 7.30.

"So it's a really serious point and we will get to the bottom of it."

Energy retailers claim the higher cost of wholesale electricity is forcing them to pass it onto customers.

"People are feeling sharp prices on their power bills in recent times because power stations are closing down and we're not replacing them," Sarah McNamara from the Australian Energy Council, the group representing electricity retailers, said.

"Until we fix that problem, we're not going to see downward pressure on price increases."

The rise of solar and storage

Peter Youll with the battery which stores his solar power. ( ABC News: Jerry Rickard )

Peter Youll is among a growing number of Australians making enormous reductions to their electricity bills.

The retired engineer makes a profit of about $30 a month by selling electricity he generates into the grid.

That is thanks to 20 solar panels on the roof of his northern Sydney townhouse, and a Tesla battery in his garage that stores the energy.

Since the solar panels and battery were installed a year-and-a-half ago, Mr Youll has only had to rely on the grid once, when his daughter and her family came to stay for a weekend.

But the system came with a very high set-up cost of approximately $21,000 for the panels and battery.

Regardless, Mr Youll is hoping to encourage more households to consider solar power and battery storage.

"If they can afford it, there's no reason why they shouldn't do it themselves," he said.

"You look around and you see ideal-looking roofs all over the place. Why don't they put panels on it?

"Every roof that's suitable should have [solar]. It's a no-brainer really.

"The prices for batteries are going to keep coming down. The prices for electricity, who knows?"

Shop around for retailers to save money: ACCC

The ACCC says consumers should shop around for the best electricity price. ( flickr: Brian Henry Thompson )

Many households think that cutting electricity usage is the only way to reduce electricity bills.

However there are hundreds of dollars to be saved by looking for a better deal, according to the Mr Sims.

"Shop around, switch retailers," he said.

New data from Energy Consumers Australia indicates many consumers are actively looking to switch retailers to get a better deal.

In a survey of 2,000 households, 28 per cent of NSW households, 29 per cent of Victorian households and 21 per cent of Queensland households had switched providers in the last three years.

"There are some people who think the more loyal you are, the more you'll get looked after, the lower price you get." Mr Sims said.

"I'm afraid the reverse is true.

"The more loyal you are, very likely the more you're paying."