Energy efficient appliance payback period
An appliance that uses less power it is going to consume less electricity, there is nothing to argue here…
But, is it worth to pay more money for an appliance that uses less power?
For example, as shown on the image below, if you have to chose between a more expensive but a more efficient appliance or a more economic but less efficient appliance, which one would you choose?
Buying an efficient fridge payback period
The payback period refers to the amount of time that it takes to recover an investment.
The more efficient fridge (A+++) it is 260 Euro more expensive than the less efficient one (A++) but it uses less electricity.
The A+++ uses only 174 kWh per year, which is significantly less than the 252 kWh per year that the A++ fridge will be using.
If you want to know if buying the more expensive fridge it is a good decision, you need to find out how long it will take to recover those 260 Euro through electricity savings.
Well, assuming a prize of 0,17 Euro per kWh, it will take us 20 years to recover those additional 260 Euro that it will cost to buy the more expensive fridge.
The problem here is that it is very unlikely that a fridge will last for so long. Therefore, at 0,17 Euro per kWh, buying the more economic but less efficient fridge it is the best choice.
Payback period calculator
Of course, not everyone pays the same prize per kWh so in order to know if buying a more efficient but a more expensive home appliance makes sense, you need to run some calculations.
With the calculator below, anyone can easily estimate the total cost (appliance cost + electricity cost) over time and decide which appliance is the most economic to buy.
As a rule of thumb, the higher it is the cost per kWh, the more makes sense to buy energy efficient appliances. If you don’t know what a kWh is or how much you are paying per kWh, have a look to this post where we explain those concepts.
Save electricity and save money
If what you are looking after is to save on electricity, have a look to our electricity page and let us show you other ways to reduce your electricity consumption and save money on your bills.
Alternatively, we have prepared some videos about this topic that can also be of your interest.
Additionally, if you are looking for energy saving opportunities but you don’t know where to start, use our electricity usage calculators to become aware of your electricity consumption, the electricity costs and the potential savings.
Electricity conservation - Save and conserve energy
Energy conservation can be defined as the decision and the act of using less energy
Energy conservation both benefit you and the environment
The act of saving and conserving electricity does benefit you because you will be paying less on your energy bills.
And it also does benefit the environment because conserving electricity prevents any unnecessary waste of natural resources.
Now, at individual level it may not look worth to try to save a few watts here or there.
Still, every little counts and if hundreds or thousands of us do save a little every time, it will make an important contribution towards conserving our natural resources.
For example, if 9000 households would manage to save as little as 10 Watts per hour (0,01 kWh) worth of electricity per day, that would add to 32850 Kilowatt hour (kWh) per year.
That is a considerable amount of electricity, but let’s add additional perspectives for clarity:
- Assuming an average cost of 0,18 euro (or dollars, or pounds, or any other currency) we would collectively be saving nearly 6000 euro per year.
- To produce 32850 kWh of electricity it is necessary to use around 17 metric tons of coal or 56 barrels of residual fuel oil.
In any case it is clear that small energy savings do really count when looking into the bigger picture.
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