Electric switch could save households $5000 a year

Australian households could potentially save up to $5000 annually by transitioning to all-electric power, according to campaigners. However, they argue that the government must provide clearer guidance and targeted assistance to facilitate a wider adoption of this switch. Over 30 organizations will advocate for incentives and stronger policies in Canberra on Monday, as part of a national push to electrify homes and businesses and shift away from fossil fuels.

This campaign aligns with the international Electrify Now movement and follows a COP31 commitment to raise the global electrification rate from around 20% to 35% by 2035. Groups such as Energy Consumers Australia, Electric Vehicle Council, Farmers for Climate Action, and Rewiring Australia will unveil the initiative at Parliament House, urging changes to enable more Australians to replace equipment powered by gas, petrol, or diesel.

While many Australians have already embraced technologies like solar panels, home-battery systems, and electric cars, government messages and incentives have been inconsistent. Jeremy Sung, policy head at Energy Efficiency Council, says there's a need for the Australian government to send a clear signal that electrification is the future of the energy system.

The Electrify Australia campaign will push for targeted support for renters, low-income households, and First Nations communities to access efficient electric appliances, as well as for farmers, businesses, and manufacturers to replace gas and diesel-powered equipment and vehicles. The organizations will also urge the government to cap fuel subsidies for mining companies and reinvest the savings.

Sung estimates that households going fully electric could save around $2000 per year on average, with additional savings of $2000 to $3000 when electrifying vehicles. Energy Consumers Australia chief executive Brendan French notes that research indicates a growing willingness among Australians to electrify their homes, though many require more clarity and assistance.

Governments and policymakers must now provide strong, unequivocal messaging on electrification's benefits, clear pathways and timelines, and robust policies to achieve this transition, French emphasizes. Australia has already installed more than 4.5 million rooftop solar systems and over 530,000 home-battery systems since July 2025, according to the Clean Energy Regulator.