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How to reduce energy bills to focus on other financial commitments

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According to a recent report, energy prices are set to rise from July 1 20171. We have created a useful checklist to help your household run more efficiently leaving you with more dollars and cents to place into your savings or other financial commitments.

Review your energy bill

Read the fine print and consider peak and off-peak periods. How does this compare to your usage behaviour? If they are at odds, it may be time to shop around to find a plan that suits your needs.

Identify energy hotspots

According to the Australian Government, the two biggest sources of household energy consumption comes from hot water, heating, and cooling2.

  • Consider handwashing dishes, otherwise, if you have a big family, use the dishwasher during off-peak periods if your energy provider offers this service
  • Time your showers around these off-peak hours
  • In winter, make the most use of the sun. Open up the blinds and let the sun heat up rooms during the day. Then close the blinds as the sun sets to help retain heat
  • In summer, keep blinds closed to prevent sunlight from heating the home. At night open blinds and windows to allow the cool night breeze to circulate inside your home

Choose the most energy efficient appliance you can afford

Smaller appliances can account for up to 33% of your power bills3. Power consumption can be lower than a comparable less efficient appliance.

Check your windows and doors

According to the Australian Government, you could be losing up to 40% of heat through your windows in winter. Check for unsealed gaps where outside draughts can seep through.

Turn off appliances at the power socket

Appliances in standby mode can account for up to 10% of your power bill4. Even a phone charger can draw power without a connected phone.

Be energy smart

For example;

  • Switch off additional fridges and freezers
  • Use lids on pots while cooking
  • Use the outdoors instead of using a drier for clothes

In Summary

This checklist could be the beginning of a series of new energy saving habits to help with your saving and other financial goals. The more you can save on power bills, the more you can distribute to other things like a house or car deposit, a trip overseas or pay off your credit card debt sooner.

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References:

1 ABC News Breakfast, ‘Facebook Video: 10154920348658983’, June 2017

2 Australian Government, ‘Your Energy Savings: Reduce your energy bills’, Accessed: 30 June 2017

3 Australian Government, ‘Your Energy Savings: Reduce your energy bills’, Accessed: 30 June 2017

4 Australian Government, ‘Your Energy Savings: Reduce your energy bills’, Accessed: 30 June 2017