Made the Switch to Electric? Here’s Why Your Gas Bill Might Not Drop Immediately
Upgrading your home to efficient electric appliances is a smart move — whether it’s a heat pump hot water system, reverse-cycle air conditioning, or induction cooking. Many Melbourne households are making this shift to cut bills, reduce emissions, and create a healthier home environment.
But there’s one surprise many homeowners don’t expect:
Even after removing or replacing all gas appliances, the gas bill can still arrive — and sometimes it’s larger than before.
If this has happened to you, here’s why it occurs and what you can do to fix it quickly.
1. Gas Meters Use Estimates, Not Real-Time Data
Most gas meters in Victoria are still manually read, not “smart meters.”
This means that after you electrify your home:
- If the meter reader hasn’t visited,
- Your retailer will bill you based on estimated consumption,
- Using your past gas usage history,
- Even if you’re no longer using gas at all.
These “assumed usage” bills can look quite alarming, but they’re usually inaccurate.
What to do:
Always request a manual meter read after you stop using gas.
Your bill will be corrected once the actual reading is taken.
2. Stopping Gas Use Doesn’t Stop Gas Bills
Even if your gas appliances are removed and everything is now electric, you will still receive a gas bill if your property is connected to the gas network.
Gas retailers charge a fixed daily supply fee, which covers the cost of maintaining your connection — not actual gas usage.
Typical supply charges range from:
- 19 cents/day up to $1.24/day,
which can easily add up to $100–$450 per year.
These charges continue until the gas line is formally removed or disconnected.
3. Disconnecting vs. Abolishing Your Gas Connection
To eliminate gas bills completely, you must choose between:
Gas Disconnection
This involves sealing the pipe that enters your property and may include removing the meter.
- Quick (usually a few days)
- Low cost
- Stops further gas supply charges
Gas Abolishment
This is the complete removal of your entire gas service — from the street mains to your home.
- Can take weeks or months
- Costs anywhere from a few hundred dollars to $1,500+, depending on the retailer
- Permanently removes your gas connection
If your goal is to become fully electric and eliminate gas charges forever, abolishment is the final step.
4. Your Gas Bill May Still Need Time to Correct Itself
Once your retailer completes a manual read, your bill should:
- Reflect zero gas usage
- Adjust any previously estimated amounts
- Show only the supply charges (until disconnection/abolishment is complete)
Until then, it’s common to receive an estimated bill that doesn’t match your actual usage.
5. Electrification Still Delivers Strong Long-Term Savings
While there might be some confusion during the transition away from gas, going fully electric remains one of the most cost-effective upgrades a household can make — especially with Melbourne’s generous incentives.
Switching from gas to:
- Heat pump hot water
- Reverse-cycle heating & cooling
- Induction cooking
- Solar and battery systems
can significantly reduce your long-term energy costs.
Once the gas supply is completely removed, your energy bills become simpler, more predictable, and often much lower.
6. Victoria Is Moving Toward an All-Electric Future
More homeowners are choosing to disconnect from gas every year.
National surveys show:
- 35% of households currently using mains gas plan to cancel their supply within 10 years
- Nearly 10% expect to do so within the next two years
Government policy is also driving the momentum:
- From 1 January 2027, all new Victorian homes must be all-electric
- Homes requiring planning permits since 2024 are already being built without gas connections
Electrification is rapidly becoming the standard — not the exception.
Final Takeaway: Don’t Panic About That Unexpected Gas Bill
If you’ve electrified your home and your gas bill hasn’t dropped yet, here’s what to do:
Ask your gas retailer for a manual meter read
Check whether supply charges are still active
Decide whether to disconnect or abolish your gas supply
Review the corrected bill once the reading is updated
Complete your electrification with heat pumps, induction and solar
Climate Green Melbourne can assist with every stage of your transition — from selecting efficient electric appliances to understanding rebates, to helping you move toward a fully electric, low-cost, environmentally friendly home.
Switch to electric but still getting gas bills? Learn why estimated readings, supply charges, and gas connection fees keep appearing — and how to eliminate them for good.
1. Why didn’t my gas bill drop after I made the switch to electric?
Even after you switch to electric appliances, your gas bill may not fall immediately because gas meters rely on manual readings. Until a real reading is taken, your retailer may send estimated bills based on your old gas usage.
2. Do gas supply charges continue after I switch to electric?
Yes. Even if you fully switch to electric and no longer use gas, daily supply charges will continue as long as your property remains connected to the gas network.
3. How can I stop gas bills completely after I switch to electric?
To eliminate gas charges permanently, you must request a gas disconnection or gas abolishment. Simply stopping gas use after you switch to electric isn’t enough to remove supply fees.
4. Why do retailers estimate gas usage when I switch to electric?
If the meter reader hasn’t visited your property, the retailer estimates usage based on your previous consumption pattern. This is why estimated bills can remain high even after you switch to electric.
5. Is switching to electric really cheaper in the long run?
Yes. When you switch to electric appliances—especially heat pumps, reverse-cycle heating, induction cooking and solar—the long-term savings are significant. Once the gas line is removed, your bills usually drop even further.
6. Do I need a new gas meter reading after I switch to electric?
Absolutely. Always request a manual meter read after you switch to electric to ensure your gas retailer updates your real usage instead of relying on estimated figures.
7. What are the benefits when I switch to electric in Victoria?
When you switch to electric, you gain lower running costs, better efficiency, safer appliances, and in many cases access to Victorian government rebates for heat pumps, hot water systems, solar panels and more.
