One in 3 homeowner households using mains gas say they are thinking of cancelling their gas supply within the next 10 years, according to new research from Energy Consumers Australia – and nearly 1 in 10 say they will probably cancel their gas supply in the next two years.
The How households use gas and their attitudes towards electrification report, released today, analyses data from a survey of more than 4,000 Australian consumers to understand how they are currently using gas, whether they are considering electrification, and the potential challenges for them in the transition to electric alternatives.
“This research shows that a significant number of homeowners are considering whether to electrify in the near future,” said Dr Brendan French, Energy Consumers Australia CEO. “This is good news as there have been many studies now, including our own Stepping Up report, showing that consumers who can go all-electric can make significant cost savings.
“But it will be easier for some households to electrify than for others.
“If, as this data suggests, there is the potential for an accelerated consumer exit from the gas network in the next 10 years, we need to make sure that those who face barriers to electrification pay a fair and affordable price for gas as long as they use it.”
The report highlights that the ease of electrification for each household will vary significantly depending on how much they rely on gas.
More than half of Australian households use mains gas, and about 1 in 4 of them use it for three purposes: cooking, hot water, and heating, indicating electrification could be more challenging and costly for those households.
However, a similar number of households (1 in 4) with mains gas are only using it for one purpose (either cooking, hot water, or heating), suggesting electrification may be more straightforward and less expensive for them.
”People who face barriers to electrification will need additional help,” said Dr French. “This includes people on low incomes who may not be able to afford the upfront costs of electrifying their homes, and people who rent their homes and are reliant on their landlord to make changes to their properties.
“We want to see incentives and assistance for electrification for residential and small business renters, and governments accelerate programs to upgrade social housing stock, to ensure that no-one is left behind. All governments must ensure that the last households to electrify are the ones who choose to wait, not those who couldn’t afford to.”
The report, and the Consumer Energy Report Card survey data, is available here. For interview requests or more information, contact Stuart Turner on 0415 403 208 or via email.
About Energy Consumers Australia
Energy Consumers Australia is the independent, national voice for residential and small business energy consumers. We enable residential and small business energy consumers to have their voices heard.