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WILL AUSSIES MAKE ENERGY-SAVING CHANGES IN THEIR HOMES TO AVOID COSTLY POWER BILLS?

A Money Study, November 2022

Compare energy providers in NSW with Money Matchmaker

About the study

The Australian Government expects energy prices to increase by 20% nationally this financial year and 30% next year (1). As a result, Money commissioned a survey of an independent panel of 1,010 Australians to gauge whether they are planning to make energy-saving amendments to their homes in the next two years to reduce their energy bills.

Australia is also predicted to generate half its electricity from renewable sources by 2025, and 68% by 2030 (2). With this in mind, Money also asked survey respondents whether they believe the shift to renewable energy sources will result in lower energy bills.

The pool of survey respondents matches the age and geographical spread of the Australian population.

What proportion of Australians will make energy-saving changes in their homes to avoid costly energy bills?

Money asked survey respondents whether they would invest in energy-saving amendments to their homes in the next two years to reduce their household energy bills. Respondents could select one amendment from a list of five. Nearly three quarters (72%) selected a change they would make to reduce their bills. Specifically:

  • 29% will install rooftop solar panels
  • 21% will update appliances to a better energy rating
  • 10% will invest in better window dressings to prevent or trap light and heat into the home
  • 7% will make some improvement to the home to increase ventilation and airtightness
  • 5% will install better insulation in the roof

If you could reduce your energy bills, would you invest in any of the following home improvements in the next 2 years?

If it would reduce your energy bills, would you invest in any of the following home improvements in the next 2 years?

What age group is more likely to make home improvements?

Money analysed the responses across age groups and found that younger respondents are more likely to make home improvements in the next two years to reduce their energy bills, by a small margin.

Nearly eight in 10 (79%) of under-30s indicated they will make changes to their home. This compares with:

  • 76% of 31-50-year-olds
  • 64% of over-50s

What age group is more likely to install solar?

Father and daughter holding a solar panel near their home

The younger the age group, the more likely they are to install rooftop solar panels to reduce their household energy bills, with 35% of under-30s selecting this change. This compares with:

  • 31% of 31-50-year-olds

  • 23% of over-50s

What age group is more likely to invest in better window dressings?

More under-30s also plan to invest in better window dressings to prevent, or trap, light and heat into the home, with 13% choosing this option.

This compares with:

  • 11% of 31-50-year-olds
  • 7% of over-50s

What age group is more likely to upgrade their appliances?

Similar proportions of the different age groups indicated they will update their appliances to a better energy rating to save energy costs.

Specifically:
user-left

20% of under-30s

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21% of over-30s

If you could reduce your energy bills, would you invest in any of the following home improvements in the next 2 years?

If it would reduce your energy bills, would you invest in any of the following home improvements in the next 2 years?

What state is more likely to invest in energy-saving changes?

Money found that NSW and SA respondents are more likely to invest in energy-saving changes to their homes to reduce their energy bills. Here's what states will make these changes:

  • 77% of NSW and South Australian respondents
  • 72% of Victorians
  • 68% of Queenslanders
  • 64% of West Australians

What state is more likely to upgrade their appliances?

By a small margin, South Australians appear the most likely to upgrade their home appliances, with 26% indicating they would invest in appliances with better energy ratings. This is followed by:

  • 22% of NSW respondents
  • 21% of Queenslanders
  • 20% of Victorians
  • 18% of West Australians

What state is more likely to install solar?

Interestingly, states along the eastern seaboard are more willing to install rooftop solar panels in the next two years to reduce energy costs. This includes:

35% of NSW respondents

29% of Victorians

27% of Queenslanders

25% of South Australians

22% of West Australians

If it would reduce your energy bills, would you invest in any of the following home improvements in the next 2 years?

Response

Updating appliances to a better energy rating

NSW (%)

22

VIC (%)

20

QLD (%)

21

SA (%)

26

WA (%)

18

Response

Installing rooftop solar panels

NSW (%)

35

VIC (%)

29

QLD (%)

27

SA (%)

25

WA (%)

22

Response

Better window dressings to prevent, or trap, light and heat into the home

NSW (%)

8

VIC (%)

11

QLD (%)

11

SA (%)

14

WA (%)

11

Response

Making some improvements to the home to increase ventilation and airtightness

NSW (%)

9

VIC (%)

7

QLD (%)

5

SA (%)

10

WA (%)

8

Response

Better insulation in the roof

NSW (%)

4

VIC (%)

6

QLD (%)

4

SA (%)

3

WA (%)

5

Response

None of the above

NSW (%)

23

VIC (%)

27

QLD (%)

32

SA (%)

22

WA (%)

36

ResponseNSW (%)VIC (%)QLD (%)SA (%)WA (%)

Updating appliances to a better energy rating

22

20

21

26

18

Installing rooftop solar panels

35

29

27

25

22

Better window dressings to prevent, or trap, light and heat into the home

8

11

11

14

11

Making some improvements to the home to increase ventilation and airtightness

9

7

5

10

8

Better insulation in the roof

4

6

4

3

5

None of the above

23

27

32

22

36

Do Aussies think that switching to renewable energy sources will lower household energy bills?

Money asked survey respondents whether they believe that Australia switching to renewable energy sources will result in lower household energy bills. Nearly two in three (61%) said no. Specifically:

  • 32% think renewable energy won’t make household energy bills cheaper
  • 29% think renewable energy will result in more expensive energy bills

This compares with:

  • 39% who think renewable energy will result in lower energy bills

Among the benefits of switching to a more affordable energy plan is helping insulate yourself from the risk of missed bill payments which could impact your credit score.

What age group is least confident in renewable energy?

Older respondents are the least confident in renewable energy and its ability to reduce household energy bills. Seven in 10 (70%) of over-50s indicated that renewable energy would not impact their energy bills or would result in higher bills. This compares with:

  • 57% of 31-50-year-olds
  • 50% of under-30s

Do you think Australia switching to renewable energy sources will lower household energy bills?

Do you think Australia switching to renewable energy sources will lower household energy bills?

How do the different states feel about shifting to renewable energy?

The survey also revealed that a similar proportion of respondents across the states believe that Australia making the shift to renewable energy will not result in lower household energy bills or will increase those bills.

Nearly two-thirds (63%) of Queenslanders indicated energy bills will remain the same or become more expensive after the shift to renewable energy.

This is followed by:

  • 62% of Victorians and West Australians
  • 60% of NSW respondents
  • 58% of South Australians

Do you think Australia switching to renewable energy sources will lower household energy bills?

Response

No, I think renewable energy will not make household energy bills any cheaper

NSW (%)

30

VIC (%)

28

QLD (%)

36

SA (%)

25

WA (%)

40

Response

No, I think renewable energy will result in more expensive household energy bills

NSW (%)

30

VIC (%)

33

QLD (%)

28

SA (%)

32

WA (%)

22

Response

Yes, I think renewable energy will result in lower household energy bills

NSW (%)

40

VIC (%)

39

QLD (%)

36

SA (%)

43

WA (%)

38

ResponseNSW (%)VIC (%)QLD (%)SA (%)WA (%)

No, I think renewable energy will not make household energy bills any cheaper

30

28

36

25

40

No, I think renewable energy will result in more expensive household energy bills

30

33

28

32

22

Yes, I think renewable energy will result in lower household energy bills

40

39

36

43

38

Shaun McGowan is the founder of Money.com.au. He's determined to help people and businesses pay as little as possible for financial products, through education and building world class technology. Previously Shaun co-founded CarLoans.com.au and Lend.

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