Is Gas Cheaper than Electricity

Published 15 May 20255 mins read

Gas and electricity are both powerful energy sources deserving respect. The inherent energy within electricity and gas is substantial, providing power-hungry homes and businesses with a seemingly endless energy supply. But is gas cost-effective and energy-efficient compared to electricity for heating, cooking, and hot water? Read on to find out.

Gas Prices vs Electricity Prices

Considerations for budget-conscious Australian homeowners include natural gas or LPG gas supply. Lifestyle factors, property constraints, market rates, and appliance energy efficiency all need to be considered before choosing gas or electricity providers. Compare gas and electricity prices for your postcode to determine if gas, electricity, or a combination of both, is right for your home or small business.

Powering Australian Homes

Energy customers can choose between gas and electricity for powering Australian homes. Gas is in some ways not as powerful as electricity, requiring 3.6 megajoules of gas to equal one kilowatt-hour (kWh) of electricity. However, the kWh of electricity charge depends on your distributor, retailer, and energy plan. Electricity is more common, with nearly every home in Australia connected to the grid. Natural gas networks are also vast, with close to 70% of Australian homes using natural gas or LPG for various applications.

Gas can be cost-effective, but its uses are generally limited to hot water systems, gas heating systems, gas ovens, and BBQs. You will also need an available gas connection. Electricity, on the other hand, can power electric ovens, cooktops, electric hot water systems, electric heat pumps, air conditioners, smart home applications, internet devices, lights, security systems, and more.

Gas vs Electricity: Which One is Cheaper?

To answer this question, we have to consider how a person chooses to use gas or electricity. As examples, electric heating can be the efficient option compared to gas heaters, but gas flame cooking can be preferable and more efficient than electricity for versatile chefs. Gas is generally considered as safe as electricity for household use, although gas leaks can emit harmful carbon monoxide.

Combining electricity and gas is a no-brainer for some households, especially if power needs are also met with BBQ LPG and a wood burning fireplace that can double as a cooktop. Aussie energy price options also include ever-reliable solar energy for most regions.

You will need to factor in appliance energy ratings plus your energy plan and installation costs to determine the total running cost of gas or electricity in your home. For example, mains gas is often cheaper than LPG, and Greenpower renewable energy is slightly pricier than the standard cost of electricity. Solar electricity is cost-effective but includes initial up-front costs. Comparing costs between gas and electricity rates isn’t always straightforward.

Typical electricity usage costs

Gas and electricity customers are billed on their consumption, measured in kilowatt-hours (1,000 watts) for electricity and megajoules (1 million jouls) for gas. There are a range of daily energy usage charges and other tariffs that come with energy contracts. There are also lots of ways to get cost effectiveness out of energy deals.

That’s where the GoSwitch energy retailer price comparison service comes into the picture. Use the free GoSwitch service to discover the best deals for your postcode in NSW, Vic, Qld, and other Australian regions, with information such as:

  • Electricity supply charges
  • Electricity usage rates
  • Natural gas supply charges
  • Natural gas usage rates
  • Peak rates and off-peak tariffs
  • LPG usage cost
  • Combined electricity & gas deals for overall cheaper running costs
  • Solar panels and feed-in tariffs
  • Contract deals, incentives, rebates, and limited time offers
  • Flexible payments and zero exit fees
  • Alternative energy sources to limit fossil fuel emissions and environmental impacts

Choosing Gas or electric appliances

Comparing gas-powered and electric appliances for cost efficiency isn’t really practical. Every home is different, and installing new electric appliances or a natural gas connection can be costly. However, if you have both gas appliances and electric connections available, you can enjoy the best of both worlds for energy-efficient cooking, heating, and cooling, indoors and outside. GoSwitch can help you lower gas and electricity bills.

The GoSwitch Energy Price Comparison Search Engine!

You could take days or weeks searching for a plan to lower energy bills and improve energy efficiency. Alternatively, use the GoSwitch price comparison search engine to find the best available deals for your postcode in minutes! Then you can speak to a GoSwitch energy expert to ask questions and fine-tune your new and better gas deal or electricity service. Plus, the GoSwitch service is !00% free to use in three easy steps:

  1. Create a profile using your postcode.
  2. Use the search engine to find the latest deals from Australia’s leading energy retailers.
  3. Sign up for a better plan. Your GoSwitch expert can help every step of the way.

If you are ready to upgrade your current energy contract, moving home, or are looking to lower your gas or electricity energy costs, GoSwitch can help. When choosing between gas and electricity, make the switch with GoSwitch and start saving on energy bills today!


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