The average Canberra household will see electricity bills increase by up to $13 a year for the next five years.
Under a decision announced by the Australian Energy Regulator, power bills for residential and small business customers will increase in the ACT by 2.5 per cent by 2024.
The power price hike will mean the average residential customer will pay an average of $64 and small businesses pay an average of $231 more across the five-year period.
The decision from the regulator will allow for energy supplier Evoenergy to gain more than $850 million over the five-year period, according to the Australian Energy Regulator report published on Tuesday.
It comes as the regulator announced on the same day a drop in power prices for energy customers in NSW, South Australia and south-east Queensland.
Customers in those states will receive a median saving of up to $181.
A spokeswoman for Evoenergy said the regulator decision only made up part of the overall energy price.
"The Australian Energy regulator decision determines about 27 per cent of the customer bill in the ACT, and covers only the charges passed on from the distribution network," the spokeswoman said.
"Evoenergy believes the decision will allow it continue to maintain a safe and reliable network, while supporting the Canberra community through expected population growth."
While an energy bill increase hike of 2.5 per cent is on the way for the ACT, a proposal from Evoenergy to the regulator would have seen a rise of 5.3 per cent.
That proposal would have meant residential customers would have paid $137 more and small businesses pay $495 extra over five years.
However, the regulator said energy customers in the ACT were paying the right amount for power, despite the announced increase.
"We are satisified that the revenue that Evoenergy can recover from its customers from the 2019-24 regulatory control period is in the long-term interest of customers," the regulator said in its report.
"[Evoenergy's] customers are paying no more than they should for safe and reliable electricity."
The regulator said energy affordability was a key concern for many energy customers, as well as the reliability and security of energy supply.
"We are encouraged by the increasing number of network service providers that are devoting more resources to their respective customer engagement programs," the regulator said.
"Through its engagement, it is clear that predictability and certainty with respects to price changes is a priority for Evoenergy customers."
The Evoenergy spokeswoman said the decision from the regulator factored in the need to expand infrastructure to new and expanding suburbs across Canberra.
Executive director of the ACT Council of Social Service, Susan Helyar, said while the increase in power bills may seem small, it was significant for Canberrans on low incomes.
"It can be the difference between incurring debt and being able to pay the bills," Ms Helyar said.
"It would mean people might have to cut back on other items such as food and transport in order to pay their energy bill."
Ms Helyar said energy providers should have a renewed focus on providing hardship assistance to those struggling to pay the power bills as winter approaches.
"There needs to be better access to hardship programs and there needs to be a consistent message that people will be able to get assistance," she said.
"There's growing demand for hardship provisions and we continue to hear about people who don't know it's an option for them."
The decision by the regulator comes after increases to power bills in the ACT were announced last December.
The Australian Energy Market Commission said prices would rise by $87 on average between June 2019 and June 2021.
It was the second-highest estimated rise in power bills in the country by percentage, only behind Western Australia.
Last year, the average electricity bill in the ACT was $423 more than those in NSW, and $621 more than the average in Victoria.
Canberrans pay the fourth-highest electricity bills the country, behind the Northern Territory, South Australia and Tasmania.
The wholesale price of electricity is expected to fall over the next two years, as a result of increased electricity supply in the market.