Energy efficiency is a crucial part of the package of measures needed to tackle climate change and address rising electricity prices. Numerous reports have outlined the potential for energy efficiency across Australia. Realising that potential requires better coordination and partnerships at all levels.

Partnerships are needed between state and federal governments to rationalise program delivery, between industry and governments to develop better, trusted delivery frameworks and between consumer groups, industry and government to simplify communications to households.

The Wilkins Review of 2008 found a significant overlap of federal and state government initiatives in response to climate change. In energy efficiency alone over 200 individual initiatives were identified in 2008, today it is closer to 300.

The potential for energy efficiency policies around Australia to be harmonised to deliver a better outcome for Australian households and businesses is significant.

Governments around Australia have an opportunity to work together to achieve a better, more efficient suite of policy measures in response to the Prime Minister’s Task Group Report. It’s in all of their interests.

The Prime Minister’s Task Group recommended the establishment of a National Energy Savings Initiative (NESI) – governments committing to this transition would make a significant step towards achieving this harmonisation.

The NESI is a policy which has been supported by a cross-section of industry, welfare, consumer and environment groups including the Clean Energy Council, Energy Efficiency Council, Choice, the Brotherhood of St Laurence, ACOSS and the Climate Institute.

Such a scheme would deliver could deliver savings to households from between $50-$243 per year from 2012-2030. For medium-scale businesses, the expected financial benefits are between $10,608 - $23,712 per year.

The good news is Australian households have never had more appetite for these kinds of supportive policies and information campaigns.

The Clean Energy Council this week released national market research completed by Auspoll, surveying 1000 people about energy efficiency in June.

Cost of living is the major issue for voters, with 95 per cent of those surveyed either concerned or very concerned about rising energy costs.

The appetite for action is strong, with 89 per cent of respondents willing to take action to use less – if only they knew how.

The knowledge gap in the Australian community was more of a yawning chasm, with 73 per cent wanting more information on how to save, 50 per cent knowing little or nothing about key aspects of their energy use and a massive 57 per cent with little or no awareness of the government programs available.

There is a lot of information out there, the problem lies in the fact it is not in a form which is readily accessible, easily understandable and relevant to those who need it.

While previous campaigns around black balloons were successful in raising awareness and harnessing people’s concern around carbon, the most recent polling showed that the community is currently more responsive to the economic frame, or what it means for their back pocket.

In another interesting lesson for both government and industry, the research found that the most trusted source of advice for future energy savings information was an independent consumer group such as Choice, or the local sparky.

Equipping consumers with relevant, meaningful information about how to make real changes to energy usage around the home can help to cut pollution, dampen the need for expensive network upgrades and reduce household electricity bills at the same time.

To deliver effective results consumers must also be equipped with the tools to easily act on the information available to them – namely policies which assist in the delivery of energy efficient products and services to households. This helps to overcome another barrier, the opportunity costs of time.

A strong signal to the federal government was the overwhelming support for their carbon price package to be matched with a plan to manage energy bills. Just under 90 per cent of those polled said that if the government is to implement a carbon tax it should make sure the community is supported with measures to help them save on their bills.

At the end of the day, program delivery for energy efficiency should be focused on the demands and needs of Australian households, breaking down the barriers for them to participate in energy saving initiatives. A National Energy Savings Initiative provides a better long-term framework for households to receive these measures and for industry to deliver them.  This stronger, more sustainable partnership between industry and Government improves certainty both for business and for consumers. 

Empowering households to take control of their energy bills should be a priority for all governments – after all, households should be their number one customer.

Lauren Solomon is policy manager at the Clean Energy Council

The summary of findings of the Clean Energy Council research can be found at www.cleanenergycouncil.org.au