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How to stay warm this winter without breaking the bank

How to stay warm this winter without breaking the bank

The Guardian14-06-2025

For many Australians the onset of winter has often meant piling on extra layers at home, waking up breathing a mist of condensation and keeping blankets and doonas handy on the couch as the winter chill bites. Either that or racking up massive winter energy bills powering inefficient appliances in uninsulated homes.
But according to the Institute for Energy Economics and Financial Analysis (IEEFA), the first step to reducing massive bills and increasing winter comfort is to switch away from gas. Their most recent modelling shows that a typical home in Melbourne could save over $1,300 annually by switching its gas appliances to efficient electric alternatives.
With that in mind, what are the most carbon (and wallet) friendly ways to stay warm this winter?
Tim Forcey, author of My Efficient Electric Home Handbook, says that after working and writing about home efficiency for over a decade – the verdict is in and the most sustainable and cheapest way to heat your home over winter is with reverse-cycle air conditioners.
The main hurdle preventing their widespread use comes down to branding. 'We've demonised the use of air conditioners – some people still think they should only be used in emergencies,' he says. 'But the reality is that heating with an air-con can cost a third of the cost of heating with gas.'
Jay Gordon from IEEFA says he has calculated that a reverse-cycle air conditioner uses about a fifth of the energy of a ducted heater. 'Heat pump hot water systems are also several times more efficient than gas hot water systems, and homes that fully replace their gas appliances can save over $300 in fixed annual charges by disconnecting from the gas network,' he says.
So switching away from gas is the first step towards a more efficient and less costly warm home in winter – and it is worth looking into any government rebates available in your area to take the sting out of upgrading your home.
Electric and oil heaters can of course still serve a purpose if used in small spaces such as under your desk at home, says Forcey, as they work like a toaster and can take the edge off. Many may also have the advantage of including timers to regulate their use, but it's worth keeping track of how much energy they use to make sure you don't get a nasty surprise at the end of winter.
It's worth noting that several Australian states are now offering significant rebates for installing electric appliances. In Victoria, if gas appliances break down, it is now often cheaper to replace them with more efficient electric appliances.
We all know that most older Australian homes and apartments can feel like glorified tents in winter so DIY, low-cost improvements such as draught stoppers, gap sealings, and even installing heavy curtains and keeping them closed during the day, can help your home retain heat and remove drafts.
On top of renewable energy upgrades, it's also vital that you prepare your home with back-to-basics thermal efficiency improvements. The most practical home renovations you could make include double-glazing your windows and upgrading ceiling insulation. These investments can make a big impact in terms of reducing energy consumption and cost.
It's also worth considering having a smart meter installed in your home to help understand and regulate your overall energy consumption patterns. These will allow you to monitor your electricity consumption in real time (even remotely) and eliminate the need for manual meter readings or estimated bills.
For those renting or without the budget to upgrade your home's energy system or undertake costly renovations – other practical measures include something as simple as taking advantage of the sun's rays during the day by spending more time in those rooms that attract the most direct sunlight.
And if double-glazing is outside your budget, using bubble-wrap over the windows in winter is a poor-man's solution that will help regulate your home's thermal envelope. Another age-old trick I've found myself doing is wearing my mother's warm hand-knitted socks both around the home and in bed to increase personal comfort levels as the mercury drops.
Of course, perhaps the most practical way to stay warm this winter might be to find yourself a warm pet or human to cuddle. But that's something no government rebate can help you with.

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