How to reduce your reliance on gas and electricity.
The main tactics for reducing your reliance on gas and electricity are:
- install rooftop solar panels
- install a battery storage system
- replace gas appliances with electric appliances.
It sounds simple, but it can be quite expensive and requires a significant upfront investment. Working through the tactics one at a time can make it more affordable. You’ll benefit from each individual tactic, but you’ll get the best return by implementing them all (and then switching to an electric vehicle – which is outside the scope of this article).
Not only will you be spending less on gas and electricity, but you’ll be helping the environment as well. Household energy usage generates about 10% of Australia’s greenhouse emissions1.
What it costs to reduce your reliance on gas and electricity.
It’s likely to cost you at least $8,000 to buy and install rooftop solar on your home. The exact cost will vary depending on the capacity of the system, your location and installation considerations.
Household battery storage systems are still quite expensive. Popular battery options cost between $10,000 and $15,000 to purchase and install. The exact cost will depend on the storage capacity, the brand and the installation complexity.
Finally, if you have gas appliances you should consider replacing them with electrical devices to use the electricity you generate and store from the rooftop solar and battery storage. The cost of replacing your appliances will depend on what you are replacing (cooktop, oven, hot water heater), the size or capacity of the appliances, the brand and the installation complexity.
Government assistance.
There are Federal, State and Local government incentives for households to transition to solar, battery storage and electrical appliances. These incentives change frequently, so it’s worth checking government websites for the latest incentives.
Here is a summary of what is currently available:
| State | What's available |
| All states | Federal Government Small Scale Renewable Energy Scheme. Under this scheme, households are assigned STC’s (Small-scale Technology Certificates) based on capacity, location and when the system is installed. STC’s have a value and most households assign them to the system installer to offset purchase and installation costs. A rooftop solar installation of 9kW, installed in Sydney would generate 9 STC’s per year. At $40 per STC this means a saving of $360 a year and $2160 through to 2030 when the scheme ends. |
| South Australia | The City of Adelaide’s Sustainability Incentives Scheme provides a range of incentives including: residential appliance electrification rebates of 50% up to $1,000 rooftop solar rebates of 20% up to $5,000 shared solar rebates of 20% up to $20,000 and battery storage rebates of 50% up to $2,000. |
| Western Australia | Solar feed-in tariffs under the WA Government’s Distributed Energy Buyback Scheme offers eligible customers payments for electricity exported to the grid, including from solar panels, batteries, and electric vehicles. |
| Victoria | The Solar Homes Program offers rebates (up to $1400) and interest-free loans for rooftop solar panels, interest-free loans for home batteries (up to $8,800) and rebates for installation of energy-efficient hot water systems (up to $1,000). |
| New South Wales | Beginning 1 November 2024, the Peak Demand Reduction Scheme will offer residential battery storage and Virtual Power Plant incentives of between $1600 and $2400 for battery installation costs and between $250 and $400 for connecting home batteries to Virtual Power Plants. |
| Queensland | No State Government programs are currently available. |
| ACT | The Sustainable Household Scheme provides interest free loans of up to $15,000 to help with purchase of rooftop solar, household batteries and electrical appliances The Home Energy Support Scheme is available to eligible concession card holders and provides rebates of up to $5000 for help with installing energy-efficient products and interest-free loans of up to $10,000. |
| Tasmania | No State Government programs are currently available. |
| Northern Territory | The Home and Business Battery Scheme provides grants of up to $5000 to purchase and install home battery storage. |
Transitioning from gas and grid electricity to solar requires multiple steps and can be expensive. But every step you take will help reduce your household energy costs and is good for the environment.
If you need help or would like to discuss options for financing the transition, contact your local branch or give us a call on 13 25 85. We have a range of home loans and personal loans that might be helpful.
Please read this important information.
This information is of a general nature only and does not take into consideration your objectives, financial situation or needs. The information must not be relied upon as financial product advice. Before acquiring any product, you should read the relevant guides, Product Disclosure Document, and consider whether a product is suitable for your circumstances to decide if a product is right for you.
