Australians are installing inefficient gas and electric appliances that will lock in $3.4 billion every year of unnecessary energy costs.

Australians are installing an estimated 940,000 new gas appliances and 800,000 new resistive electric appliances -panel heaters, oil heaters and older style electric hot water systems - every year, which are locking in significant long-term costs for heating and cooking.

The Institute for Energy Economics and Financial Analysis(IEEFA) found these inefficient appliances will force Australians to rack up $3.4billion in unnecessary energy costs because, whilst they may be cheaper to buy, they are more expensive to run.

The problem is Australia has no minimum energy standards for space heaters, water heaters or cooktops which would enable consumers to make informed decisions about these important home appliances.

Jay Gordon, IEEFA’s Energy Finance Analyst, says the government could fix the problem with a single intervention.

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