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Submission to the Senate Economics References Committee Inquiry into Residential Electrification


Energy Consumers Australia

Energy Consumers Australia welcomes the opportunity to comment on Australia’s residential electrification efforts. As the national voice for residential and small business energy consumers, this topic is very much front of mind for us.

Over the next two to three decades, Australian households will need to stop using fossil fuels in their homes. Currently, more than 10% of Australia’s total carbon emissions are from homes. To reduce these emissions in line with Australia’s targeted timeframes, almost all households will need to electrify by 2050.

We are confident that residential electrification will lead to better outcomes for all households. This is evidenced in our attached 2023 report Stepping Up: A Smoother Pathway to Decarbonising Homes (Stepping Up), and the accompanying technical report by CSIRO and Dynamic Analysis. The report looks at the shared and individual cost impacts of electrification for consumers if the Australian Energy Market Operator’s 2022 Integrated System Plan’s Step Change scenario is realised.

To support Australia’s residential electrification efforts, our Stepping Up report recommends:

Governments task a new national partnership with developing a clear and comprehensive plan that sets out how all households will decarbonise.

This plan needs to:

  1. Support consumer agency by effectively communicating with consumers, so that they understand why they are being asked to change, what the energy transition means for them, and what actions they can take on their individual journey.
  2. Provide financial support to ensure that all Australians can benefit from this transition, and no-one is left behind.
  3. Create the structural policies needed to ensure the necessary infrastructure and processes are in place to help all households electrify. This needs to include a safe and orderly transition away from gas for households.

Read the full submission here.

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