Unprecedented Increase in Energy Efficiency - Gerbilnow Leads the Way

Power consumption in New South Wales makes historic drop
August 15, 2011
One of Australia's largest electricity distributors says it is experiencing a "historic" cut in households' demand for power.

Ausgrid, which provides power to much of New South Wales, has announced demand for its electricity by regular households has fallen 2 per cent each year for the past four years.

"We are seeing the impact of energy efficiency," Ausgrid specialist, Paul Myors said, pointing to the move away from electric hot water systems, previously the main user of electricity in the home. In terms of hot water systems, which are monitored separately, he said reductions had been up to 8 percent over the last year.

Efficient Gas Hot Water Systems

Merlin Gas Hot Water System

It is the first time the company has seen a fall in demand since the 1950s.

The fall is expected to lead the national electricity market body, the Australian Electricity Market Operator, to forecast overall cuts of 5 to 6 per cent in demand in the next decade - the first cuts in living memory.

The slashing of demand forecasts is expected to result in little need for more large-scale power stations until the end of the decade, until 2020, at the earliest. The drop in demand forecasts has increased pressure on the government to curtail capital spending by state-owned electricity companies.

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Response to the $170 million NSW Home Saver Rebates has been phenomenal.
This was first announced in early 2009.
By 30 September 2011 when all applications had been received, more than 330,000 rebates had been issued to NSW households. This represents 1 in 8 NSW households receiving a rebate(s) for a climate-friendly hot water system or ceiling insulation...
The rebates available for hot water systems purchased and installed on or before 30 June 2011 were:

• $300 for a gas hot water system with an energy rating of 5 stars or greater
• $300 for a solar or heat pump hot water system

The new hot water system must have replaced an existing electric hot water system.
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Gerbilnow staff writer to New South Wales Energy Directions Statement Coordinator
February 10, 2005
Demand-Side Potential
Consider the impact of information provided to consumers to assist their decision-making.
Comparing just 2 options:

• An electric hot water heater, and
• A gas hot water heater.

An Electric Hot Water System:

• Produces up to 5 times more CO2 than a gas hot water system.
• Requires electric power generation and distribution infrastructure that is unnecessary for gas hot water systems.
• Produces 3.4 to 4.0 tonnes of C02 a year.

A Gas Hot Water System:

• No electric power generation required.
• Using gas to directly heat the water, only around 0.8 tonnes of C02 a year would be produced.
• Assuming combined cycle gas generation has a thermal efficiency of 50%, then only half as much gas as used to generate electricity is needed to heat the water.

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