Rewiring Australia has strongly endorsed Victoria’s decision to ban new gas connections for houses and apartments and said it will reduce energy bills for households, while also slashing the state’s greenhouse gas emissions.
Victorian Energy Minister Lily D’Ambrosio has announced that from 1 January 2024 new gas connections will not be permitted for new build residences. Victoria is the largest user of residential gas in the nation, with 80% connected to the network, exposing them to sharp price rises.
Research published by Rewiring Australia since 2021 has demonstrated that there are significant financial benefits to households that replace gas-powered appliances with modern, efficient, electric alternatives, particularly for houses with rooftop solar. It costs a resident of Victoria 49 cents to have a hot shower using gas. But if they use a commercially-available, solar powered heat pump, the cost plummets to just six cents.
Heating a Victorian home with gas costs an average of $2.47 per day, but with a solar and battery backed heat pump, the cost more than halves to $1.13.
Dr Saul Griffith, co-founder and chief scientist of Rewiring Australia, said the Victorian gas ban is the first step to ensuring all Victorians get access to the financial benefits of electrification.
“Victoria has the most to gain from electrification, because it has the most households relying on gas and exposed to price gouging by international gas companies.
“The state government has a clear and sensible plan to lower household bills and decrease reliance on fossil fuels. This is the type of commonsense leadership Australia needs.
“Electrification is the fastest and most cost effective way to shave thousands of dollars a year from energy bills and lower our emissions. Decisions made around the kitchen table account for 42% of emissions in the domestic consumption economy.”
All new Victorian Government buildings will also go fully electric under the policy. And an incentive package will save new homebuyers $4,600 on solar technology while permanently lowering their energy bills.
Rewiring Australia executive director, Dan Cass, said the policy was a profound act of climate leadership. “The hottest days in recorded history have been recorded this year and it is clear we are in a climate emergency that demands faster action. The most efficient and equitable way to accelerate the rate of emissions reduction is electrification.
“The fossil fuel industry will bleat about this decision because they want to keep gouging households and they do not care about the planet.
“When someone shifts from grid power dominated by coal to rooftop solar, or from a petrol to electric car, they do more than change an energy source. They permanently lower their emissions and energy bills, and they never look back.
