As cost-of-living pressures continue to persist throughout Australia, being mindful of your electricity consumption is as much an eco-friendly choice as it is a smart financial decision. With rising energy costs, adopting effective energy-saving habits is becoming increasingly important.
In this guide, we will cover some of our top strategies to reduce energy consumption and lower your electricity costs.
Contents
- Install a hot water timer
- Utilise the dry mode on your air conditioning
- Install smart wall plugs
- Ensure your home is well-insulated
- Switch to energy-efficient LED light bulbs
- Invest in energy-efficient appliances
- Reduce oven use
- Upgrade your showerhead
- Use appliances outside of peak times
- Install solar
Install a hot water timer
One device that you can install at your home to help manage your electricity usage is a hot water timer. These devices allow you to effectively control when your water heater operates. Heating water requires a significant amount of energy, but with access to this control, you can avoid heating water during peak electricity hours.
With certain hot water timers, you can set specific schedules for heating and ensure that it operates during the cheapest time of the day or is offset by solar, and that your hot water is ready when you need it. By minimising or avoiding water heating during peak demand hours, you can save significant costs on your electricity bill.

Utilise the ‘dry’ mode on your air conditioning
This feature on your air conditioner can save you a considerable amount on your electricity bills during the summer months. Unlike cool mode, the dry setting focuses on removing moisture from the air, which naturally makes the room feel cooler without excessive cooling. This setting uses less electricity, helping to lower your energy bills.
If dry mode still doesn’t cut it, we recommend pairing an aircon with ceiling or standing fans. If you use the fans to circulate the cooled air more effectively throughout the room, you can create a cooler environment quicker - you might even be able to turn the aircon off after the room is cooled.
This principle can also be used to heat rooms during winter. First, switch your fan to winter mode to change the spin direction of your fan to circulate air rather than cool it (by drawing air up toward the ceiling). If you have your aircon on heating mode, the fan can help circulate the hot air around the room, creating a warmer environment. This approach can ensure a comfortable environment year-round while also optimising energy use.

Install smart wall plugs
Smart wall plugs are a simple and typically inexpensive tool that you can use to manage the energy used by your home’s devices. These devices allow you to control your appliances remotely via smartphone apps, giving you the power to turn devices on or off from anywhere.
They can also be used to schedule appliances to shut down during periods of inactivity or at night. This reduction of excess energy consumption can make a decent difference in the cost of your electricity.
In addition to being able to control the amount of energy consumed by your appliances, by having these smart plugs, you can also gain some data on your specific energy consumption patterns. Having this information can be very beneficial when it comes to your energy-saving plans, as knowing what uses the most energy and when can inform your next steps to reduce that energy draw.

While these guys are super simple and provide decent benefits, homeowners can also look at installing this level of control on a whole-home scale. These smart wall plugs can be a small part of an overall home energy management system (HEMS). There is a lot more technology on offer now that can be integrated into the hardware in your home to make it either controllable by a device or even automated for maximum efficiency and minimum cost. While this can provide comprehensive control over your home’s energy, this technology still poses a significant initial cost for any devices and their installation.
Ensure your home is well-insulated
Enhancing your home's insulation is a great way to decrease your energy usage and cut down electricity expenses. A well-insulated home can be a fundamental key to creating and maintaining your energy efficiency. Without it, you could be losing some of those savings you are working hard to achieve.
Your home’s insulation aims to create a steady indoor climate that is comfortable for you to reside in. Therefore, you are looking to retain as much heat as possible in the winter and reduce as much heat as possible in the summer. Effective home insulation naturally achieves this to lessen the strain on your heating and cooling appliances.

A simple thing you can do is to seal any gaps and cracks around doors and windows using weatherstripping or caulk. For any gaps or cracks that are quite wide, you can also add some gap filler to help reinforce the caulking. Additionally, adding caulking around outlets, baseboards, and window casings can reduce drafts from coming into the home.
While it can bear an initial cost, upgrading the insulation in your walls, ceiling, and subfloor is another way to make a significant difference. Consider materials such as fibreglass, foam board, or spray foam insulation, which provide excellent thermal resistance. Insulating your ceiling is especially crucial, as heat often escapes upwards.

If you’re building a home or looking to upgrade your windows or doors, it can be beneficial to invest in double or triple-glazed glass. The extra glazing on the panes provides additional thermal protection for the home - essentially, even your windows can help keep your home cooler in summer and warmer in winter.
While there are some upfront costs to these improvements, investing in better insulation for your home can create some long-term savings on your energy bills. A well-insulated home not only conserves energy but also helps to create a more comfortable living environment.
Switch to LED Light Bulbs
Switching out your light bulbs for LED ones can be an easy and relatively cheap way to cut down your energy expenses. LED bulbs consume up to 75% less energy than traditional incandescent bulbs and can last up to 25 times longer. This means you can not only lower electricity costs but also reduce replacements, which can save you more money over time.

These bulbs are available in a range of colour temperatures and brightness levels, making it easy to find the perfect lighting for any room in your home. Many modern LED bulbs are also dimmable, providing flexibility to adjust the lighting to your needs and further conserve energy.
Additionally, some LED bulbs come equipped with smart features, allowing you to control them through smartphone apps or home automation systems. You can schedule them to turn off automatically when not needed, or even control them remotely to ensure lights aren't left on unnecessarily. This level of control can allow you to optimise your energy usage and minimise any unnecessary energy consumption.
Invest in energy-efficient appliances
Investing in energy-efficient appliances can be a powerful step towards reducing energy costs. Energy-efficient appliances also come with the bonus benefit of reducing your home’s carbon footprint.
In Australia, home appliances are marked with an Energy Star Label to allow consumers to understand the energy requirements of their appliances. The higher the star rating of an appliance, the more energy efficient it is. Although these appliances might come with a higher initial price tag, their energy efficiency is what will save you money in the long run.

On average, appliances can account for around 30% of the energy used in your home, so upgrading these appliances to be energy-efficient can yield significant savings. For example, if you upgraded your 2-star-rated washing machine to a 4-star rating, you could save an average of $80 per year in running costs. Additionally, it saves about 0.21 tonnes of CO2 equivalent every year.
We know that you can’t just go out and replace all your appliances in one go, but it’s important to make a conscious effort to upgrade to efficient appliances when yours need replacing. Additionally, state governments sporadically provide rebates for those who upgrade to energy-efficient models, so it’s worth taking advantage of these rebates when they are available. So, while this change can make a significant difference to your energy costs, it’s worth noting that it’s a longer-term plan.
Reduce oven use
Unfortunately, ovens are secretly high energy consumers, as they require a substantial amount of energy to reach and maintain cooking temperatures.
We’re not saying you have to say goodbye to your oven forever… but if you’re looking for some extra savings, you can do this by minimising your oven cooking. By using predominantly the stovetop or air fryer for cooking, you’re utilising appliances that require a lot less energy to run. Using the microwave to heat/reheat meals is another great way to reduce your oven usage.
When you do need to use your oven, we recommend trying batch cooking to maximise the efficiency of that oven energy. It means a little more prep work, but if you prepare enough dishes to fill your oven instead of just the one, you can condense the energy needed to prepare your meals into one use instead of multiple. This reduction in consumption can save you a decent amount from your electricity bill over time.

Upgrade your showerhead
Another simple swap you can make in your home to save you some money is your showerhead. This might not seem like an obvious source of energy savings, but swapping your traditional showerhead to a ‘low-flow’ model can actually save you money on your electricity bill.
These low-flow heads reduce the amount of water used during your shower, with some cutting the average 9.5 litre per minute shower down to a 3.8 litre per minute shower. Before you worry about losing your water pressure, it’s important to know that many of these showerheads have the ability to maintain a strong water pressure while minimising the water draw.
By cutting down on the water used during your showers, you reduce the amount of water you need heated and the energy required to heat that water. Additionally, reducing the time you spend in the shower can help to fully minimise your hot water energy consumption. This all translates into savings on your energy bills.

Use Appliances Outside of Peak Times
Peak energy hours, typically late afternoon to early evening, are when electricity demand and prices are at their highest. By shifting your appliance usage to off-peak times, you can benefit from lower rates and reduce your electricity costs. This pricing model is designed to reduce demand on the electrical grid during peak usage periods, which gives you an opportunity to lower your energy costs.
You can take advantage of these off-peak periods by adjusting your routine to run energy-intensive appliances such as dishwashers, washing machines, and dryers during these times. To optimise your energy management, you can look to set timers on your appliances or utilise smart plugs that allow you to schedule the appliance’s operation remotely.

For instance, you can program your dishwasher to start after midnight or your washing machine to run a cycle early in the morning. Some modern appliances even come equipped with delay start functions, allowing you to set them to operate automatically during off-peak times.
Implementing this habit is a simple yet effective way to optimise your energy use and enjoy substantial cost savings.
Read More: Electricity Bill Tariffs Explained: Flat Rates and Off Peak Charges
Read More: How To Improve Your Solar Self-Consumption With Load Shifting
Install Solar
This one should come as no surprise, but making the switch to solar can drastically reduce your electricity bill for the foreseeable future.
By harnessing the sun and converting it into electricity, you create your own energy, which in turn effectively reduces your dependence on energy from the grid. The financial benefits are substantial, and once the initial installation costs are covered, solar energy significantly lowers your monthly utility bills.

To assist in the shift towards renewable energy, the government provides various incentives and rebates that further reduce the initial investment costs. These rebates make the switch to solar even more beneficial and achievable.
By investing in solar, you're securing a reliable, low-maintenance energy source that contributes to environmental sustainability and significantly reduces your electricity bills.
Read More: Pros and Cons of Solar Energy in 2025
Read More: Solar Bill Savings - How Much Will You Save On Your Power Bill With Solar?

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Top 10 Energy-Saving Habits to Lower Your Electricity Bill