The independent regulator announced the price cut for consumers on Thursday as part of its Network Revenue Determination for 2014 to 2019.

The decision means that the average household bill for Ausgrid customers, which is the electricity provider for the Hunter, would be $165 cheaper next financial year and bills for businesses would save about $264.

But the energy regulator has warned that the determination could lead to significant job losses in the energy sector.

NSW Resources and Energy Minister Anthony Roberts said last week’s storms showed the importance of a safe and reliable electricity network.

“The NSW government shares the objective of the independent AER in ensuring a safe and reliable supply of electricity, at the lowest sustainable cost for the state’s households and businesses,” he said.

Treasurer and Industrial Relations Minister Gladys Berejiklian said the government was concerned about the impact of the cuts on ­energy sector employees.

“We will work with employees and industry to ensure impacts on the workforce are managed in a sensitive and orderly way,” she said.

Opposition Leader Luke Foley said Premier Mike Baird should guarantee that the energy regulator’s determination would apply to future owners of the electricity distribution and transmission network.

The government plans to lease 49 per cent of the state’s electricity infrastructure to the private sector for 99 years.

“I call on the Premier to guarantee that any future owner or operator of the network will be bound by this determination to cut bills for customers,” Mr Foley said.

“The privatisation legislation must ensure that a private owner is bound by the terms of the determination.”

Opposition spokesman for industry, resources and energy Adam Searle said power companies should find savings and efficiencies in ways other than staff cuts.

“The AER has determined the total revenue for the businesses, not issued a directive to cut jobs and services,” he said.