The table below provides approximate annual running costs for a range of types and sizes of different heating options.

Room size	Heater types		Energy star rating	Annual energy cost	Annual GHG emissions (kg/yr)
Room / Space heating
Small room 12m2	Gas heater			$170	345
				$140	290
	Portable electric heater		N/A	$385	1410
	Reverse-cycle air conditioner			$140	510
				$85	300
Medium room 30m2	Gas heater			$395	845
				$340	720
	Electric panel, convection or fan heater		N/A	$935	3460
	Reverse-cycle air conditioner			$310	1140
				$200	730
Large area 60m2	Gas heater			$730	1685
				$625	1440
	Electric panel, convection or fan heater		N/A	$1860	6825
	Reverse-cycle split system air conditioner (8kW)			$640	2365
				$440	1620
Central heating
Small house 100m2	Gas ducted heating	Not zoned		$1130	2825
				$995	2485
				$860	2145
		Zoned		$1125	2810
				$990	2465
				$855	2130
	Gas hydronic	Not zoned	Standard	$1035	2520
			High	$865	2100
		Zoned	Standard	$1030	2505
			High	$860	2085
	Ducted reverse-cycle air conditioner	Not zoned		$975	3600
				$680	2505
		Zoned		$970	3580
				$675	2490
Medium house 160m2	Gas ducted heating	Not zoned		$1705	4520
				$1495	3975
				$1295	3430
		Zoned		$1690	4490
				$1485	3945
				$1285	3410
	Gas hydronic	Not zoned	Standard	$1555	4030
			High	$1295	3360
		Zoned	Standard	$1545	4005
			High	$1290	3340
	Ducted reverse-cycle air conditioner	Not zoned		$1500	5550
				$1150	4245
		Zoned		$1495	5515
				$1140	4215
Large house 220m2	Gas ducted heating	Not zoned		$2265	6215
				$1990	5460
				$1720	4720
		Zoned		$2250	6175
				$1975	5425
				$1705	4685
	Gas hydronic	Not zoned	Standard	$2060	5545
			High	$1720	4620
		Zoned	Standard	$2050	5505
			High	$1705	4590
	Ducted reverse-cycle air conditioner	Not zoned		$2030	7500
				$1580	5830
		Zoned		$2015	7455
				$1570	5790

* Approximate costs per year, based an average existing (pre-2005) 2 Star house in a Melbourne climate, heating to 20°C all day on the weekend (7am to 10pm) and in the morning (6am to 9am) and evening (5pm to 11pm) on weekdays, as needed.
Based on an electricity tariff of 31.9c/kWh. Gas tariffs are based on a declining block structure, which means the unit cost of gas decreases as gas use (or area being heated) increases. Gas tariffs used for room heating: 12m² – 2.75c/MJ; 30m² – 2.64c/MJ; 60m² – 2.45c/MJ.
Gas tariffs used for central heating: 100m² – 2.32c/MJ; 160m² – 2.17c/MJ; 220m² – 2.09c/MJ. The energy tariffs do not include any pay on time discount, or any fixed supply charge.
The figures for "zoned" operation assume that heating in the bedroom areas is switched off during the day (9am to 5pm) on the weekends. The zoning does not affect the operation of the heating on weekdays, as the house is not occupied during this time and the heating is assumed to be off. Other zoning arrangements are possible, and would change the saving achieved by zoning.

Actual costs for your house will depend on the area heated, how long you run the heating for, your thermostat settings, how well insulated the house is, your energy tariffs and your local climate. To estimate the running cost for a cold climate (e.g. Ballarat) multiply these figures by 1.3, and for a warm climate (e.g. Mildura) multiply these figures by 0.7.
To estimate the running cost for a 5 Star house in a Melbourne climate multiply these figures by 0.4, and for a 6 Star house multiply these figures by 0.3.

Resources

Use your heating system efficiently

Operate and maintain your heating system wisely and you can reduce your heating costs without sacrificing comfort.

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