Fact check: Does privatisation increase electricity bills? 2014 was hottest year in modern history: NASA Consumers can save money by making the switch from gas heating to using reverse cycle air conditioners, a Melbourne University study has found.The report, Switching Off Gas: an Examination of Declining Gas Demand in Eastern Australia, by the university's Melbourne Energy Institute found some Australian households falsely believe gas is cheapest option for heating.But rising domestic gas prices mean that is no longer the case. Do you know more about this story? Report author Tim Forcey said he cut his own heating costs by 70 per cent by switching from ducted gas heating to several reverse cycle air conditioners."Gas has traditionally been cheap in Australia but it's not anymore," Mr Forcey said."The price of gas and electricity has never been closer."The report was funded by The Australia Institute think tank and by Victorian farmers opposed to coal seam gas exploration.

But Mr Forcey said the university's research was completely independent."Where [the funding] came from had no bearing on the terms of the research and what we did and how we went about it," Mr Forcey said.Since 2012, domestic gas use in Australia has fallen every year and the Australian Energy Market Operator predicts that will continue.window ac units dimensionsModelling by the Melbourne Energy Institute has estimated that by 2025, gas consumption in Australia could fall to half the peak use of gas recorded in 2012.The university study said in the long term many Australian households would replace old gas appliances like heaters with new electric ones, which could "lead to a 'death spiral' where more and more customers leave the gas grid"."hvac air conditioner pricesThese changes in the economics of gas-use in buildings and industry have important implications for infrastructure planning," the report said."ac dc power supply reference design

There is now no economic need for any new house or suburb to be connected to the gas grid."Governments, housing developers and homeowners can now look for opportunities to cut spending on gas infrastructure."Sometimes referred to as absorption pumps, gas heat pumps work similarly to any other air-source heat pump, except instead of using electricity to fuel their operation they rely on natural gas. This alternative form of power comes with many advantages and disadvantages compared to standard products, so as you shop around for the right type of unit there are a few things you’ll want to keep in mind about each model. First, it’s important to understand how an air-source pump works. It is often compared to a refrigerator, where a series of coils and compressors move warm air to and from the house. For instance, even during the winter, there is still a small amount of warm air outside that can then be captured and forced into the house. During the summer, the “heat pump” can also cool the house, forcing out warm air and pulling in the cold stuff.

But often they’re set up like an air conditioner, run by electricity and refrigerants such as Freon. Or they’re available in a geo-thermal system which pulls heat back and forth from the earth. Gas heat pumps, on the other hand, have an engine operated by natural gas and utilize natural refrigerants, such as ammonia and water. All three do the same type of work, but the methods by which they’re run have significant differences. Oddly enough, though it uses a non-renewable fossil fuel, a gas heat pump also comes with distinct environmental benefits. First off, it doesn’t use ozone-depleting refrigerants like electric units. And unlike gas or coal furnaces, they don’t have as many harmful emissions. Plus, though electricity may seem cheaper and more eco-friendly, there has been a large rise in electrical consumption in the country, creating dangerous waste, urban blackouts, and occasional power surges. In fact, many utility companies are feeling the strain from people’s dependence, and overuse, of electrical products.

In contrast, gas-generated power can often burn clean and in smaller amounts, especially when it comes to the efficiency associated with heat pumps. Their largest disadvantage is expense since natural gas isn’t cheap. However, overall economics are always relative. For instance, all heat pumps are more efficient and cost-effective compared to gas furnaces and electric air conditioners. And though they may cost a bit more to run than electric air-source systems, gas powered units are less wasteful in terms of operation. Since all heat pumps rely on outdoor conditions to function, power and dependability are two of the biggest complaints against them. But gas-operated systems often put out more energy than is put into them, making them more trustworthy all year round. Plus, though geo-thermal units are the most efficient and effective over time, their initial installation is expensive and requires quite an investment upfront. All three types of air-source systems are cheaper to install and operate than furnaces or traditional air-conditioners.

However, they all also depend on the outdoor environment, which is why they are better suited for warmer, milder climates. As mentioned before, even in the winter there is still warm air that can be moved into the house. But as the temperatures drop, that ratio quickly shifts and the amount of usable warm air decreases, making your pump work extra hard. And since the entire point of these products is to increase efficiency and save on your energy bills it’s not a good idea to install one in extremely hot or cold areas. Also, make sure you get it professionally installed. These qualified contractors can help you select the appropriate model with the proper efficiency rating, and they’ll know the best place to put the unit so it isn’t vulnerable to icing, high winds, or other exterior impediments. Need to find a pro for your Central Heat?How to choose an energy efficient heater A high efficiency gas heater or high efficiency reverse cycle air conditioner will cost less to run.

By choosing the right sized system for your home you can avoid paying for energy you don’t need. Disclaimer: ‘Whole house’ refers to heating approximately 160 - 170m2. ‘One room’ is approximately 30 – 40 m2. Approximate costs per year, based on 900 hours usage (or around 5 months at 6 hours per day). Based on peak electricity tariff of 27.7cents / kWh, off-peak electricity tariff of 16.6 c/kWh and marginal natural gas tariffs of 1.50 cents / MJ (gas ducted heating) and 1.66 cents / MJ (gas room heating). 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. The tables below compares the different types of heaters and the pros and cons of each system. Designed to heat a single room or open plan area. Can be flued orIn Victoria, there are strict regulations around the installation of unflued LPG heaters. Can be run on natural gas or LPG (which is more expensive).