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How to Tell If Your Appliance Is Energy Efficient — Reading the Energy Star Label

by Oceania Appliances on Nov 11, 2026

How to Tell If Your Appliance Is Energy Efficient — Reading the Energy Star Label

When you're buying a new appliance in Australia, the Energy Rating Label — the yellow and red sticker you see in every appliance store — is your most important guide to running costs. Here's exactly how to read it and what the numbers mean for your electricity bills.

What Is the Australian Energy Rating Label?

The Energy Rating Label is a mandatory scheme run by the Australian government. It applies to fridges, freezers, washing machines, dishwashers, air conditioners, televisions and other appliances.

The label shows:

  • Star rating — from 1 star (least efficient) to 10 stars (most efficient on the extended scale)
  • Annual energy consumption in kWh — how much electricity the appliance uses per year under test conditions

How to Read the Label

The Stars

More stars = more efficient = lower running costs. Each star represents approximately a 20–27% improvement in efficiency. A 5-star appliance costs roughly half as much to run as a 2.5-star appliance of the same type.

The kWh Number

This is the annual energy consumption under standardised test conditions. Use this number to calculate your annual cost:

Annual cost = kWh × electricity rate

In Sydney, electricity costs approximately $0.30–$0.35 per kWh (Origin, AGL, etc.). So:

  • A fridge using 400 kWh/year costs ~$130/year to run
  • A fridge using 250 kWh/year costs ~$80/year to run
  • That's a $50/year difference = $500 over 10 years

Energy Ratings by Appliance Type

Fridges

Look for 4 stars or higher. A modern 400L fridge should use 250–350 kWh/year. Very efficient models use under 200 kWh/year.

Washing Machines

Also consider the WELS water efficiency label (blue stars). For energy, front loaders score much higher than top loaders because they don't heat as much water. Look for 5–6 stars.

Dishwashers

Modern dishwashers are very efficient. Look for 4+ stars. A good dishwasher uses less energy and water than hand-washing the same load.

Air Conditioners

Have two ratings: cooling and heating. Look for 4–5 stars on both. The star rating and kW capacity together determine running cost.

Super-Efficient Appliances: The Extended Scale

Australia introduced an extended 10-star scale for the most efficient appliances. If you see more than 6 stars, the appliance is exceptionally efficient — this is what to look for when buying new.

Find Energy-Efficient Appliances at Oceania Appliances

We can advise on the energy efficiency of specific models in our range. Sydney-wide delivery with 3–6 month warranty.

Browse our appliance range | Ask about efficiency

Tags: appliance running costs sydney, energy efficient appliances australia, energy star fridge washing machine, energy star rating australia, how to read energy rating label, reduce electricity bills appliances
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