8,760 hHours a year a fridge runs, it never stops
2–3×Power an old fridge can use vs a new efficient one
$150–$250A second fridge can add to the bill each year
GarageHeat makes a fridge work harder and cost more

Why most fridge advice gets it wrong

General appliance advice treats every star rating the same: "buy more stars, save energy". But stars matter far more on some appliances than others, and the fridge sits at the top of that list precisely because it runs all the time. The same advice applied to an aircon you use a few hours a day barely moves the dial. Applied to a fridge, it compounds every hour for a decade.

The bigger blind spot is the second fridge. Buying guides obsess over which new fridge to get and never mention the old one that gets demoted to the garage to keep drinks cold. That demoted fridge is usually the least efficient appliance in the house, running 24/7 in the hottest spot, and nobody's counting it.

How fridge running costs work

Two things drive it: efficiency multiplied by constant running, and where the fridge lives.

Always-on amplifies efficiency

A fridge's energy use is quoted in kilowatt-hours per year on the Energy Rating Label, and because it never switches off, that annual figure is what you actually pay, every year. An efficient modern fridge might use 300 to 400 kWh a year; an older or oversized one 600 to 900. At a 30 c/kWh rate that's the difference between roughly $100 and $250 a year, repeated for the life of the fridge. This is why the star rating earns its keep here when it barely matters on occasional-use appliances.

Location, and the second fridge

A fridge cools by pumping heat out of itself into the surrounding air, so the hotter the room, the harder it works. A fridge in a sweltering garage runs longer and uses more power than the same unit in an air-conditioned kitchen. Stack that onto an old, inefficient second fridge that's only half full of drinks, and you've got one of the most wasteful standing costs in the house, hiding in plain sight.

The 5 cheapest plans on the Ausgrid network, costed on 5,000 kWh a year, single rate, GST included, last verified 11/07/2026.

Cheapest for a 5,000 kWh home
Kogan Energy
Kogan Energy with free FIRST
Variable
Single rate Standing 82.8c/day
Unit rate 27 c/kWh

Estimated yearly bill

$ 1,653
That's $138 /month
2
Kogan Energy
Kogan Energy for current FIRST members
Variable
Single rate Standing 82.8c/day
Unit rate 27 c/kWh

Estimated yearly bill

$ 1,653
That's $138 /month
3
Powershop
Power House
Variable
Single rate Standing 82.8c/day
Unit rate 27 c/kWh

Estimated yearly bill

$ 1,653
That's $138 /month
4
Momentum Energy
Home Run Electricity
Variable
Single rate Standing 134c/day
Unit rate 24.7 c/kWh

Estimated yearly bill

$ 1,724
That's $144 /month
5
Momentum Energy
Warm Welcome
Variable
Single rate Standing 134c/day
Unit rate 24.7 c/kWh

Estimated yearly bill

$ 1,724
That's $144 /month

Your own usage changes the order. Open the full comparator to rank every plan on your real kilowatt-hours.

Your fridges, costed for the year

Set your main fridge's yearly energy use, then add a second fridge if you have one, to see the real annual cost. Compare it with a single efficient fridge. Every figure also appears in the worked example below.

Fridge running cost

Per year, never switches off. Edit any input.

Your setup
One efficient fridge (~320 kWh)

Annual cost = kWh/year × rate. A hot garage adds about 25% to the second fridge's use. Energy Rating Label kWh/year figures are the number to compare on. Rate is an editable default.

Worked example (the calculator's default). A 600 kWh main fridge plus a 600 kWh second fridge in a hot garage, at 30 c/kWh:

A year of fridge running costs (at 30 c/kWh)
SetupEnergy usedCost for the year
Main fridge (600 kWh) + garage second fridge (600 +25%)1,350 kWh~$405
One efficient fridge (320 kWh)320 kWh~$96

Retiring the garage fridge and running one efficient unit saves about $300 a year, every year, for keeping the drinks in the main fridge instead.

How Aussies overpay without realising it

Trap 1 · The demoted beer fridge

The old fridge "still works", so it goes to the garage. It's usually the least efficient appliance you own, running 24/7 for a few drinks.

Trap 2 · Ignoring the star rating where it counts

People sweat star ratings on rarely-used gadgets and shrug at the fridge, the one appliance running every hour of the year.

Trap 3 · Buying bigger than needed

A larger fridge uses more power to keep cold. Oversizing "just in case" is a permanent cost for occasional capacity.

Trap 4 · Keeping a 15-year-old fridge running

Old fridges can use two to three times a new one. "It still works" can quietly cost more than a replacement over a few years.

The insider insight: star ratings are only worth obsessing over on always-on appliances

Here's the rule that cuts through every appliance buying guide: the value of a star rating is proportional to how many hours the appliance runs. On a fridge, which runs 8,760 hours a year, a one-star efficiency gain is realised constantly and compounds into real money. On an air conditioner you run 500 hours a year, the same efficiency gain is worth a fraction as much, and is easily swamped by your tariff and timing.

That reframes where to spend effort. For the fridge (and the freezer), chase the efficient model and read the kWh/year figure carefully, it pays back every hour. For occasional-use appliances, the star rating is a tiebreaker at most. And the highest-value move of all isn't buying stars; it's switching off an always-on appliance you barely use. Unplugging the garage fridge saves more, instantly and for free, than upgrading the main one.

What you should actually do

Action and why it works
Do thisWhy it works
Retire or unplug the second fridgeRemoves a 24/7 standing cost of $150–$250+ a year for occasional use.
On the main fridge, read the kWh/year and buy efficientThe saving is realised every hour, all year, for the fridge's life.
Right-size, don't oversizeA bigger fridge is a bigger permanent running cost.
Keep fridges out of hot spots and well-sealedA cooler location and good door seals cut how hard the fridge works.
Replace fridges over ~10 years oldOld units can use 2–3× a new one; the saving offsets the purchase.
In VIC, NSW, SA, QLD, ACT: compare plans against the DMO/VDOA better rate lowers the cost of every always-on kilowatt-hour.

In Western Australia (Synergy) and the Northern Territory (Power and Water) there's no retailer to switch to, so the appliance choices matter most. See our home energy efficiency guide for the whole-home picture.

Why this matters right now

With power prices high, an always-on appliance is where small inefficiencies turn into the biggest annual costs. The fridge, and especially a forgotten second fridge, is low-hanging fruit most households walk straight past.

The takeaway: chase efficiency where the hours are. Buy the fridge for its kWh/year, and switch off the second one you barely use.

Frequently asked questions

A modern, efficient fridge uses around 300 to 400 kWh a year, costing roughly $90 to $120 at a 30 c/kWh rate. An older or larger fridge can use 600 to 900 kWh, doubling that. Because a fridge runs constantly, those differences compound year after year.

More than for almost any other appliance. A fridge runs 24/7, so a higher star rating saves power every hour of every day. Unlike an aircon you run occasionally, the efficiency gain on a fridge is realised constantly, which is why the label is worth paying attention to here.

Often yes, especially for fridges over about ten years old. Older models can use two to three times the power of a new efficient one. The running-cost saving, sometimes $100 or more a year, can pay back a chunk of the purchase over the fridge life.

A second fridge, often an old one, can add $150 to $250 a year, more if it sits in a hot garage where it works harder to stay cold. For the amount most people actually use a beer fridge, that is a steep standing cost.

Because it has to fight a hotter surrounding temperature. A fridge works by moving heat out of itself into the room; the warmer the room, the harder and longer it runs. A garage fridge in summer can use noticeably more power than the same fridge indoors.

Victoria, New South Wales, South Australia, Queensland and the ACT have retail competition, so you can switch retailer and tariff. Western Australia (Synergy) and the Northern Territory (Power and Water) have no competition.

Current figures — last updated 2026-06-13

All values in AUD and Australian units. Volatile figures change; check the Energy Rating Label before relying on them.

Efficient modern fridge~300–400 kWh/year (~$90–$120)
Older / larger fridge~600–900 kWh/year (~$180–$270)
Second fridge added cost~$150–$250/year (more in a hot garage)
Hours a fridge runs8,760 per year (always on)
Typical electricity rate~25–35 c/kWh [verify: your plan]
Reference price (NSW, SA, SE QLD / VIC)AER DMO / ESC VDO [verify: current value]

Sources: energy.gov.au, Energy Rating Label scheme, Australian Energy Regulator (DMO), ESC Victoria (VDO).