Deciding on your home's energy setup can be one of the most crucial choices you make during a renovation.
While fixtures and furniture can seem more glamourous, the choices you make regarding energy and appliances will influence your home’s costs and comfort for decades to come. That’s why households are increasingly opting to go all electric.
What is an all-electric home?
An all-electric home is completely powered by electricity. For a renovator, this means replacing gas appliances with efficient, electric alternatives and removing your gas connection altogether.
All-electric homes are becoming increasingly popular because they generally have lower energy costs, a smaller carbon footprint and increased resale value. It’s a great way to create an efficient, sustainable and modern home; one that stays comfortable, for less. And a renovation is one of the best times to electrify your home.
Why go all-electric during a renovation?
During a renovation, you have a unique opportunity to make comprehensive changes to your home’s infrastructure, with thoughtful planning to select the best appliances. This can allow for a cohesive and future-proof design. Plus, with professionals already on site, it’s usually the most efficient, cost-effective time to install new systems.
So, why should you go all-electric when renovating?
1. Save money on your energy bills
Most households will save money over the long term by going all-electric, particularly in Victoria where households use more gas than any other state or territory.
The Victorian Government estimates a home with solar panels could save around $2000 a year on energy bills by switching from gas to electricity. This is partly due to the increased efficiency of electric appliances, which generally use less energy than their gas counterparts. However gas prices are also increasing and, as more households move off gas, bills will continue to rise for those left connected.
2. Beat rising gas prices
While gas has historically been cheaper, electricity is now generally more cost-effective than gas, especially if you have energy efficient appliances and/or solar panels.
As households continue to transition off gas, this will only become more significant. This is because the increasing costs associated with maintaining the gas network are passed on to consumers on their bills. As more households switch off gas, there will be fewer customers left connected to the network to share the cost of maintaining it, increasing bills for those remaining.
3. Increase your property’s value
With sustainability and energy efficiency increasingly important to homeowners, efficient electric homes are more appealing to buyers.
Two-thirds of home buyers prefer energy efficient homes when given a choice, while one in 3 homeowners say they’re thinking of cancelling their gas supply in the next 10 years. In fact, according to Domain, houses with energy efficiency features can sell for up to $112,000 more than non-energy efficient homes.
4. Renewable electricity is more sustainable
Gas is a fossil fuel mostly made up of methane, a key driver of climate change.
Electric appliances produce fewer emissions than gas, especially when powered by renewable sources like solar power.
Even cars are transitioning to electricity, with electric vehicles making up nearly 10% of the car market in 2024 and popularity expected to almost double by 2026.
5. Maximise solar savings
If you have solar panels or are thinking about getting them as part of your renovation, going all-electric can deliver even greater savings and self-sufficiency.
Solar households that go all-electric can swap their gas usage for free solar energy, powering systems such as heating, cooking and hot water with free electricity from their solar panels. With an electric vehicle, you can even use solar to power your drive.
6. Smart home coordination
Moving to electric appliances opens opportunities for managing energy use using smart devices in the home.
In a ‘smart home’, household functions like heating and cooling, hot water, lighting, security and other appliances can be controlled automatically and remotely through the internet, using your smart phone or even voice commands. This allows households greater flexibility and control to save energy and money, while embedding modern functionality in the home.
7. Stay comfortable for less
Electric appliances are typically more efficient than old gas systems. This means they use less energy to do the same job and it costs less to keep your home comfortable.
Split system air conditioners, for example, can heat and cool the home and are up to 3 times more efficient than electric space heaters.
Similarly, electric hot water heat pumps can be up to 80% more efficient than conventional hot water systems, delivering hot water for a fraction of the cost.
8. Better for your health
Electric appliances are better for your health and more efficient than gas.
Studies have shown gas appliances, like cooktops and heaters, can be a major source of indoor air pollution. Gas stoves release pollutants that irritate the lungs and cooking with gas has even been linked to childhood asthma.
Gas ducted heating can also produce poorer air quality compared to electric split systems, which are safer and cost less to run.
9. Renovating is a cost-effective time to go all-electric
A renovation can be the most cost-effective time to go all-electric because you’ll likely already have trades on site, plumbing and rewiring to be done, and decisions to be made about what appliances to buy and install.
This not only supports cost efficiencies, but the seamless installation of new appliances too.
Appliances such as air conditioners, hot water systems and stovetops can be connected into newly upgraded switchboards and installed with wiring neatly tucked away behind freshly plastered walls.
10. Rebates can help reduce costs
Government rebates, discounts and interest-free loans are available on products such as solar panels, batteries, hot water systems, split systems, induction cooktops and more. These can reduce the upfront cost of appliances by hundreds or even thousands of dollars, helping make the switch to all-electric more affordable.
11. Gas disconnection
A key part of going all-electric is removing your gas connection once your home no longer uses any gas. That way you can stop paying gas supply charges and eliminate your gas bill altogether.
During a renovation, many households have to disconnect their gas supply for the duration of the works. So, it can be a good time to abolish your gas connection altogether, saving time and money.