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Is Air Conditioning Expensive in Australia?

  • Writer: Staff Desk
    Staff Desk
  • Mar 6
  • 4 min read
Man in grey suit smiling, sitting at a desk with a laptop, holding a remote. Air conditioner on. Office setting with shelves and binders.

Is running an air conditioning system in your home in Australia expensive? If you had asked us this question 20 years ago, you would have gotten a very different answer, but surprisingly enough, air conditioning has become relatively affordable in the last decade. With technological improvements, they have also become slightly more environmentally friendly, and as a result of all the eco-friendliness, it’s become more economical to have an AC in your home or office. So, how much are we talking?


Air conditioner running costs defined

When referring to air conditioner running costs, we refer to all the ongoing expenses associated with owning and maintaining an air conditioner. Generally, this refers to how much electricity it uses and how much it costs to repair regularly.


As you can imagine, these costs would significantly impact Australian citizens, particularly during the summer months when temperatures can be unbearable without some sort of device cooling you did. Usually, during the summer months, the electrical costs of owning an air conditioner increase due to people running the air conditioner for longer periods during the day and more often.


How to calculate the costs

Before you buy an air conditioner, it’s important to consider how much they will cost you on average. To do this, we’ll use the formula:


●     (Wattage × Hours Used Per Day × Number of Days Used Per Year) ÷ 1000 × Electricity Rate per kWh


Here’s an example of how this would work. Say you are using a split air conditioner system that uses 1KW of power, and you run it for 8 hours per day. The average electrical rate in your area is $0.30. Using the equation above, your daily cost would be around $2.40.


However, this could change depending on the type and function of the air conditioner. For example, a larger ducted air conditioner might use more electricity for the same period because its power need would be larger.


How much you can expect to pay per year

To calculate how much your air conditioner would cost to run per year, you would need to work out an average of how often you use it. According to the SEER (Seasonal Energy Efficiency Ratio) rating, running an air conditioner per hour costs between $0.25 to $0.95 per hour. With those figures in mind, you could expect to pay anywhere from $100 to over $1000 a year for your air conditioner, depending on how often you run it.


What is the average annual air conditioner running costs by type?

Here’s a breakdown of what it costs to run different types of air conditioners per annum:


●     Ducted Air Conditioners ($600 - $1,200)

●     Multi Split System air conditioning ($300 - $600)

●     Reverse Cycle Air Conditioners ($250 - $450)

●     Split air conditioning ($200 - $400)

●     Window air conditioning ($150 - $300)

●     Portable air conditioning ($100 - $250)


How much does it cost to run a Spilt air conditioner system?

A split air conditioner runs around $0.25 to $0.35 an hour. However, many factors, such as the unit size, the area it’s in, and the outdoor temperature, influence how much it costs to run a split air conditioner system.


How much does it cost to run a ducted air conditioner system?

When you’re looking at installing a ducted air conditioner in Australia, be prepared to pay between $0.60 and $0.95 per hour to run. These systems might be considerably more expensive due to their bigger capacity. Some factors that influence these air conditioners' operation costs include the home's size, system efficiency, and zoning capabilities.


How much does it cost to run a multi-split air conditioner system?

In Australia, multi-split system ACs can cost between $0.35 and $0.50 per hour to run. Other factors, like the number of indoor units, the overall system capacity, and energy efficiency, will definitely influence this cost.


How much does it cost to run a reverse-cycle air conditioner system?

Thinking of going with the reverse cycle air conditioner, but wondering how much it’s going to set you back to run? The good news is that it’s not as expensive as running a ducted or multi-split AC in Australia, and will typically cost $0.30 and $0.40 per hour to run in cooling mode. The cost can vary a lot based on the unit's size, energy efficiency, and whether it's being used for heating or cooling.


How much does it cost to run a window air conditioner system?

Finally, window air conditioners tend to be the more cost-effective option in the range. They typically cost between $0.20 to $0.30 per hour to run. Often window air conditioners can be less efficient than split systems, but they do well when cooling smaller areas.


Where can you get a good-quality AC from?

Above, we can merely give you estimates. There are a variety of air conditioner brands, all with different-sized air conditioners and different features. Thus, some might draw more power, while others are more expensive to buy but have better energy usage. Ultimately, the best solution would be to contact a professional like Sun City Air to find quotes on air conditioning servicing that might suit your budget.


Final thoughts : Air Conditioning Expensive in Australia

We all know how hot Australian summers can be! It almost seems like the only solution to making them manageable is to install an air conditioner. However, before buying one, consider the initial purchase price and how much it will cost to run. This should prepare you for owning an air conditioner in Australia.

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