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If I want to lower my energy bill, what changes should I make first?

Are you looking at ways to lower your energy usage? From heating and cooling to reviewing your energy plan, here are some smart ways to reduce your bill.

6 MIN READ, BY ENGIE
A father and daughter removing dry clothes from the washing machine.

If you’ve ever spent time searching for ways to lower your home energy bill, you’ve probably found yourself drowning in advice.

Switch everything off at the wall. Take shorter showers. Stop using the dryer. Only do your washing at night. Replace every light bulb in the house.

The problem? Not all energy-saving changes have the same potential impact.

If you’re looking to reduce your energy bill, where should you focus first? Here’s a practical guide to help you make the changes often worth prioritising.

Get smarter about heating and cooling

Priority: high potential impact

Depending on your climate zone, heating and cooling can account for up to 50% of energy used in Australian homes, according to the Australian Government. This makes it one of the highest priority areas to focus on when it comes to reducing your energy bills.

Try this:

  • Only heat or cool rooms you’re using
  • Keep doors and windows closed when heating or cooling is running, except where your system requires ventilation
  • Use curtains and blinds to help manage indoor temperatures
  • Use ceiling fans before or alongside air conditioning where appropriate

Why it matters: heating and cooling can make up a large percentage of household energy use, so changes here may have more impact than many smaller energy-saving habits.

Sources and further reading

Review your hot water habits

Priority: high potential impact

Hot water is easy to overlook when thinking about your energy usage, but heating water still requires a substantial amount of energy.

The Australian Government identifies water heating as the second-largest segment of household energy use, ranging from 15% to 30%.

Try this:

  • Be mindful of shower length
  • Fix any dripping hot water taps throughout the house
  • Use cold washes for suitable laundry loads
  • If your hot water system is older or not performing as expected, consider seeking qualified advice about its condition and efficiency

Why it matters: hot water is a significant source of household energy use, so everyday habits can be worth reviewing.

Sources and further reading

Use your clothes dryer less often

Priority: worth prioritising

This isn’t always practical, especially during winter, but it can be worth considering, particularly during the summer months.

Try this:

  • Use a clothesline to dry clothes when weather permits
  • Air-dry larger items where possible
  • Run full loads rather than multiple, frequent small loads
  • Clean the lint filter after each load and follow the manufacturer’s maintenance instructions

Why it matters: clothes dryers can use substantial energy. NSW Government guidance recommends using the sun to dry clothes where possible and using efficient washing and drying practices.

Source: NSW Government guidance on energy-efficient washing machines and dryers

Focus on the efficiency of the appliances you use every day

Priority: worth prioritising

Not all appliances have the same impact when it comes to energy use.

The Australian Government estimates that appliances can account for around 30% of home energy use. Instead of worrying about every device, start with the appliances you use most often.

Think about:

  • Heating and cooling systems
  • Fridges and freezers
  • Washing machines
  • Dishwashers
  • Clothes dryers

Why it matters: frequently used appliances offer more opportunities to improve how energy is used. Check energy labels, use eco settings where appropriate, run full loads and follow maintenance guidance.

Source: Australian Government household energy guidance

Check whether your energy plan still suits you

Priority: worth prioritising

Sometimes reducing your bill isn’t just about using less energy.

Your tariff determines how you are charged. A single-rate tariff applies the same usage rate throughout the day, while a time-of-use tariff applies different rates at different times.

Ask yourself:

  • Does my plan still suit my household's needs?
  • Have my energy habits changed?
  • Do I understand how my tariff works?
  • have I compared my current offer with other available offers?

Why it matters: understanding your plan can help you make more informed decisions about how and when you use energy. Energy Made Easy is an independent Australian Government comparison service for eligible customers in participating jurisdictions.

Sources and further reading

Switch to LED lightbulbs

Priority: easy win

This is one of the simplest energy-efficiency upgrades you can make. No renovation. No lifestyle overhaul. Just a light bulb swap.

Try this:

  • Replace the lights you use most often first
  • Prioritise replacing older halogen bulbs
  • Choose suitable LED replacements for the fitting and intended use

Why it matters: LEDs use less electricity than older halogen bulbs and generally last longer, helping reduce lighting energy use over time.

Sources and further reading

Turn appliances off at the wall (but don't obsess over it)

Priority: good habit

Yes, standby power is real.

Some appliances continue using a small amount of electricity while in standby mode. Government guidance recommends switching appliances off at the power point when they are not in use, where practical.

Try this:

  • Turn off devices you rarely use
  • Switch off entertainment systems overnight where possible
  • Use appliance energy-saving settings where available

Why it matters: Reducing standby power is a useful habit, but heating, cooling, hot water and frequently used appliances may offer larger energy saving opportunities.

Sources and further reading

So, where should you start?

Feeling overwhelmed? Start here:

  • Review your heating and cooling habits
  • Take a closer look at your hot water usage
  • Reduce clothes dryer use where possible

These areas can represent a substantial share of household energy use, but the best priorities will depend on your home, appliances, energy plan and habits.

The good news? Lowering your energy bill isn’t usually about doing dozens of things perfectly.

It’s about focusing on practical changes that suit your household and building a few habits over time.

And if someone claims they’ve discovered the one secret trick to slashing energy bills, remember: the most useful changes are usually the practical ones you can stick with.

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