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Energy saving myths in Australia, debunked

Leave the heater on all day? Appliances cost nothing on standby? We separate the energy-saving advice that works from the myths that quietly cost you money.

By EnergySorted Editorial Team · Updated · 5 min read

Myth: leaving the heater or air conditioner on all day is cheaper

A stubborn belief is that a heater or air conditioner uses more energy starting up than it does running, so it is cheaper to leave it on all day than to switch it on and off. For the vast majority of modern systems this is false. The energy to reach a comfortable temperature is far smaller than the energy spent maintaining it for hours in an empty or poorly sealed house.

Heating or cooling only when and where you need it is almost always cheaper. The one nuance is solar: if you have panels, pre-cooling or pre-heating with your own midday generation, then coasting, can make sense, but that is about using free solar, not about the system being cheaper to leave running.

Myth: appliances on standby cost nothing

Devices left in standby (TVs, set-top boxes, game consoles, microwaves, chargers and modems) draw a small trickle of power around the clock. For any single device it is tiny, which is where the myth comes from. But across a whole house, standby "vampire" loads add up to a small but real slice of the annual bill, running 24 hours a day, every day.

Switching off the worst offenders at the wall, or using a smart plug, does save money, modestly. The caveat is proportion: chasing standby loads while ignoring a poorly matched energy plan or an inefficient heater is straining at the small stuff. Fix the big loads first, then trim the vampires.

Myths about how power is priced

Myth: solar means my bill should be near zero
Only if you use your generation. With feed-in rates now low, exported solar earns little. The savings come from self-consuming power during the day, plus you still pay the daily supply charge regardless.
Myth: the plan with the lowest c/kWh is cheapest
Not necessarily. A low usage rate paired with a high daily supply charge can cost more overall. The cheapest plan depends on your total usage and the mix of charges, not one headline number.
Myth: turning lights off is where the real savings are
Lighting, especially LED, is a small part of most bills. Heating, cooling, hot water and any EV charging dwarf it. That is where meaningful savings live.
Myth: my retailer keeps me on their best deal
Retailers rarely move you onto a cheaper plan automatically, and benefit periods lapse quietly. Staying put after a discount ends often means paying more, which is why comparing periodically matters.

What actually moves the needle

The habits that genuinely cut bills are unglamorous: heat and cool efficiently and only where needed, seal draughts, run big flexible loads in off-peak or solar hours, and put hot water on a cheap controlled-load tariff. These target the loads that dominate the bill, rather than the rounding errors.

The biggest overlooked saving, though, is the rate itself. Many households are on a plan whose discount has lapsed or which never suited their usage. EnergySorted costs every plan against your real bill (no retailer commission, around $39 a year) and its Bill Health Score tells you at a glance whether you are overpaying. No amount of switching off lights beats being on the wrong plan by hundreds of dollars a year.

Frequently asked questions

Is it cheaper to leave the heater on all day?

No, for almost all modern systems. The energy to reach temperature is far less than the energy to maintain it for hours, so heating or cooling only when and where you need it is cheaper. The exception is deliberately using your own midday solar to pre-heat or pre-cool.

Do appliances really use power on standby?

Yes, but modestly. TVs, consoles, microwaves, chargers and modems draw a small trickle 24 hours a day, which adds up across a whole house. Switching them off at the wall saves a little, worth doing, but not before fixing bigger loads and your plan.

Should solar make my bill almost zero?

Only if you use your generation rather than export it. Feed-in rates are now low, so the savings come from self-consuming solar during the day. You also still pay the daily supply charge regardless of how much you generate.

Is the plan with the lowest usage rate always cheapest?

No. A low c/kWh paired with a high daily supply charge can cost more overall, and time-of-use rates complicate it further. The cheapest plan depends on your total usage and the mix of charges, which is why comparing on your real bill matters.

What is the single biggest energy saving most people miss?

Being on the wrong plan. Many households sit on a plan whose discount has lapsed or which never suited their usage, overpaying hundreds a year. Comparing the market on your real usage (as EnergySorted does with its Bill Health Score) often beats every behavioural tweak combined.

Does turning off lights really save much money?

Not much on its own. Lighting, especially LED, is a small slice of most bills next to heating, cooling, hot water and any EV charging. It is a fine habit, but the real money is in the big loads. Our list of practical ways to cut your power bill puts the effort where it counts.

Does my retailer automatically move me to its cheapest plan?

No, and this is one of the most expensive myths. Retailers rarely shift you to a better deal on their own, and benefit periods lapse quietly. That is why it pays to know how often you should switch energy plans and to compare periodically rather than assume loyalty is rewarded.

Are energy comparison sites just adverts for whoever pays them?

Many are, because they earn a commission from the retailers they list, which can steer the ranking. The honest test is whether the site shows the whole market and takes no retailer commission. Our guide to the best energy comparison site in Australia explains what to look for.

Is chasing standby power worth the effort?

It saves a little, and it is worth switching off the worst offenders at the wall, but it is not where the big money is. Standby loads are a small, real slice of the bill running around the clock. Fix the big loads and your plan first, then trim the vampires as a bonus.

Is it true that a fuller freezer runs more cheaply?

There is a grain of truth: a well-stocked freezer holds its cold better, so it recovers faster after the door opens. But the effect is small, and an empty second freezer kept running "just in case" costs far more than any efficiency it gains. Switching an unused one off beats filling it.

General information only, current at the time of writing. Not financial advice. Rebate schemes and rules change; always confirm details with your retailer or state government energy site.