The Australian Energy Council claims most people won’t benefit from a default electricity price.

The federal government wants to set a benchmark price for retailers, as part of plans to lower power bills.

But the organisation representing more than 20 energy retailers says shopping around for a deal is the best way to lower your energy bill.

Energy Minister Angus Taylor tells Alan Jones not all Australians have the time or the negotiating skills to make that happen.

“There is a loyalty tax which customers are being hit with.

“Customers who have stuck with a service provider and not got on the phone to get a better price, then we get slugged.

“We’re saying that’s not good enough.

“This will be a fair price for customers who don’t have the time to get on and negotiate.

“You know how painful it is. Three or four, five, 10 phone calls you’ve got to make.”

Alan warns Minister Taylor that all of these measures are ignoring the bigger issue.

“The way out of better prices for electricity is to stop demonising coal-fired power.

“We’ve got to stop closing coal-fired power plants,” says Alan.

Click PLAY below for the full interview