Question 1

What is the cheapest heater to run in Australia?

Accepted Answer

A reverse-cycle air conditioner (split system) is the cheapest electric heater to run in Australia. Its heat pump technology delivers 3–4 units of heat for every unit of electricity consumed, making it 3–4x more efficient than any resistive electric heater. In NSW running 6 hrs/day, it costs around $9–12/week compared to $25–35/week for a panel heater.

Question 2

Are gas heaters cheaper to run than electric?

Accepted Answer

It depends on your state and gas prices. Historically gas was cheaper, but electricity prices have stabilised while gas prices have surged. In most states in 2026, a reverse-cycle A/C now beats a gas heater on running cost. Gas still wins in very cold climates (VIC, TAS) where heat pump efficiency drops and for whole-home ducted heating.

Question 3

How much does it cost to run a 2,400W panel heater?

Accepted Answer

A 2,400W panel heater running 6 hours a day costs approximately $4.54/day in NSW (at 31.5c/kWh), $31.75/week, or around $413 over a 13-week winter. In SA (the most expensive state at 39.8c/kWh) this rises to $572 for the winter season.

Question 4

Is a reverse-cycle A/C worth the upfront cost for heating?

Accepted Answer

Almost always yes. A quality split system costs $800–$2,500 installed but saves $300–$600/year in heating costs compared to panel heaters. It typically pays for itself in 3–5 years, while also providing cooling in summer — effectively replacing two appliances.

Question 5

Which state has the most expensive electricity for heating?

Accepted Answer

South Australia has the highest residential electricity rates in Australia at around 39.8c/kWh, making heating significantly more expensive than other states. This makes the efficiency difference between a reverse-cycle A/C and resistive heaters especially pronounced — SA households save the most by switching.

Question 6

Can I use a portable heater as my main heat source?

Accepted Answer

For most Australian homes, a portable electric heater used as a primary heat source will be expensive to run. They are best suited for short-duration heating of small spaces. If you are renting and cannot install a split system, a portable heat pump (not resistive) is the most economical option among portable heaters.

Cheapest Heater to Run in Australia

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