More households struggled to pay power bills even with electricity and gas prices pulling back slightly in the first three months of the year.
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The number of customers accessing hardship programs grew roughly 20 per cent between January and March.
The Australian Energy Regulator also recorded an eight per cent uptick in payment plans, which help customers smooth out bill shock.
This equated to average hardship debt increasing $137 to $1871 since the same quarter last year.
While surging power prices and cost of living pressures likely contributed to the growth in hardship, the energy regulator said it had also ramped up engagement with customers about these programs.
The communications blitz may help explain the rise in claims, as well as the lower total debt people accumulated before accessing the service.
The quarterly report also revealed a modest dip in median market offers for gas and electricity after customers endured double-digit growth through sections of last year.
The regulator recorded a one to five per cent fall in the median market offer across most electricity distribution zones since the end of December.
This represented a turnaround from the eight to 18 per cent increase between June and December.
Finder energy expert Mariam Gabaji said seasonal factors largely explained the slowdown in prices over the March quarter and bills would lift again to reflect the winter cold.
Ms Gabaji told AAP higher default market offers, which are the safety net prices set by the energy regulator, would kick in on July 1.
From the start of the month, residential customers on the standing offer will see price increases of 19.6 to 24.9 per cent, depending on their region.
Ms Gabaji said customers could contact their energy provider if they were struggling to pay bills.
She also recommended shopping around for the best plan, as well as investigating possible government rebates and concessions that could take the edge off bills.
Australian Council of Social Service CEO Cassandra Goldie said her organisation's research showed 65 per cent of people on income support are cutting back on heating and 60 per cent are going without essentials like food and medication to afford bills.
The welfare peak body wants the federal government to lower retail profits by updating guidelines on the default market offer and strengthen the powers of the consumer watchdog.
Cash relief payments and permanent hikes in income support such as youth allowance and JobSeeker would also be of use.
Australian Associated Press
