Heating and cooling can account for up to 40% of your energy use. There are efficient ways to stay warm and comfortable in your home during winter.
Prepare your home
You can reduce how much you rely on heating appliances by making a few simple changes around the house.
Find out more in the Home Heating and Cooling Guide (PDF, 9.3 MB)
Your home can lose heat through obvious places like around the windows and doors. But you could also be losing heat through your ceiling, walls and floor.
Examine where your house could be losing heat. This diagram shows where heat is lost from a typical home.

Insulation
Effective insulation can reduce up to 60% of heat lost through your ceiling and walls.
By law, all new homes and additions must have insultation.
We recommend that every home be insulated:
- If your home is older, consider topping up or replacing insulation.
- Talk to your landlord about having insulation installed if you rent.
- The effectiveness of your insulation is based on how well it resists heat flow. This is known as the 'R value'. The higher the R value, the higher the level of insulation.
- Speak to your installer about the best R value to suit your home and specific needs.
Curtains and pelmets
Up to 20% of your heating can also be lost through your windows. Thick curtains with pelmets can insulate windows and keep rooms warmer.
Warm air cools quickly when it meets a cold window causing heat loss.
Pelmets that are closed at the top reduce this heat loss preventing warm air flowing from the top of the room, down past the windows before flowing back into the room as cold air.


A. Let the sunshine into your home
Open curtains and blinds during the day and move any large objects that could be blocking light. By letting the sunlight warm tiled or concrete floors and brick walls, heat will be stored in the thermal mass, which will then warm your home into the evening.
B. Only heat the areas you need
Divide your home into sections (or zones) by closing doors to only heat the areas you’re using. For example, heat your living areas during the day but close the doors to your bedrooms.
C. Insulation
Insulation is any material that reduces the amount of heat transferred in and out of your home. It can help keep your home warmer in winter and reduce your need for heating appliances.
Find out more about insulating your home.
D. Draught proofing
Using draught excluders under doors, sealing strips around doors and window frames, and filling gaps can help stop heat escaping.
By improving draught proofing and insulation you will be ensuring that any heating or cooling costs are minimised by reducing losses. This can also be useful if you are wanting to use your heating or cooling appliances in the day, when tariffs are cheaper, as the house will hold the desired temperature for longer into the evening.
Always try to 'heat the person, not the room' before turning on your heater.
Start with adding extra layers of clothing, using hot water bottles, wheat bags, or inexpensive electric throws or blankets.
Other simple changes can also keep you warmer this winter:
- Adjust your heater's louvres towards the floor, as hot air rises.
- Set your heater's thermostat to 18°C to 21°C or lower – every degree lower can reduce the running costs by up to 10%.
- Follow the maintenance instructions for your heater and service it regularly, including cleaning filters.
- Reversible ceiling fans help move warm air around a room. Check if you can change your fan settings to ‘winter’.
Heating appliances
There are a number of factors to consider when shopping for a new heating appliance.
Size of the area heated
- Electric rugs or blankets heat you directly and air efficient for 1 or 2 people who are often idle. For example, watching TV on the lounge or lying in bed for longer periods.
- A small reverse cycle air conditioner is effective if you want to heat a small to medium space, where people are more active.
- Larger zoned heating systems can heat an entire home. You can zone off areas and the cost will depend on how many zones are being used.
Product features and specifics
- Compare the purchase, installation and running costs of the appliance. Also check the life span and warranty.
- If wanting to use existing or new solar and battery systems to power the appliance, consider its consumption and use case to minimise additional grid usage.
- If you want to use a new or an existing gas connection to power the appliance, consider both the connection costs and the additional supply charges.
- Look into convenience features such as timers, child locks and remote controls.
Most heaters and coolers have an energy rating label to ocmpare energy use and efficiency.
Larger zones ratings feature different efficiency ratings, depending on which climate zone an air condition is used in (hot, average, or cold).
These ratings help shoppers make meaningful comparisons and allows retailers to promote the best air conditioners for the region.
Compare the estimated running costs of appliances on the Energy Rating website.
| Heating appliance | Hourly running costs | Works best in |
|---|---|---|
Heated rug (electric) | Flat rate 4 to 6 cents Time of use 2 to 3 cents (shoulder) 3 to 5 cents (off-peak) 5 to 7 cents (peak) | 1 or 2 people in one place |
Heated blanket (electric) | Flat rate 5 to 6 cents Time of use 3 to 4 cents (shoulder) 4 to 5 cents (off-peak) 6 to 7 cents (peak) | 1 or 2 people in one place |
Radiant heater (electric) | Flat rate 40 to 54 cents Time of use 22 to 30 cents (shoulder) 31 to 42 cents (off-peak) 48 to 65 cents (peak) | 1 or 2 people in one place |
Small reverse cycle air conditioner![]() | Flat rate 10 to 14 cents Time of use 6 to 7cents (shoulder) 8 to 11 cents (off-peak) 13 to 17 cents (peak) | Small room floor space 12 m2 |
Electric panel heater | Flat rate 48 to 65 cents Time of use 26 to 36 cents (shoulder) 47 to 51 cents (off-peak) 58 to 28 cents (peak) | Small room floor space 12 m2 |
Electric portable heater | Flat rate 96 cents to $1.29 Time of use 53 to 72 cents (shoulder) 75 cents to $1.01 (off-peak) $1.15 to $1.56 (peak) | Small room floor space 12 m2 |
Reverse cycle air conditioner![]() | Flat rate 37 to 50 cents Time of use 20 to 28 cents (shoulder) 29 to 39 cents (off-peak) 41 to 60 cents (peak) | Large room floor space 36 m2 |
Gas heater | Flat rate 50 to 95 cents | Large room floor space 36 m2 |
Small combustion fire | Flat rate 60 to 82 cent | Large room floor space 36 m2 |
Zoned ducted reverse cycle air conditioner | Flat rate $2.50 to $2.02 Time of use 83 cents to $1.12 (shoulder) $1.16 to $1.57 (off-peak) $1.66 to $2.25 (peak) | Whole of house floor space 200 m2 |
Zoned ducted gas heating | Flat rate $2.78 to $3.05 | Whole of house floor space 200 m2 |
Notes
Running costs are a guide only. Calculations are based on AGL’s standing retail contract electricity rates, which are generally aligned with the regulated Default Market Offer.



