Quick Answer
In Melbourne in 2026, an induction cooktop costs about $0.25–$0.55 per hour to run versus gas at $0.10–$0.30 per hour — but electricity prices vary significantly by tariff, and induction is 2–3x more energy-efficient than gas (less heat wasted). For most Melbourne households who cook 1–2 hours daily, the annual running cost difference is $50–$150 — small compared to the $800–$2,500 price difference between appliances. The bigger consideration is whether your home has a gas connection.
With Victoria phasing out gas connections in new homes, many SE Melbourne homeowners are asking whether to switch from gas to induction or stick with the familiar gas cooktop. This guide breaks down the real running costs using current Melbourne electricity and gas rates, not national averages.
Melbourne Running Costs: Gas vs Electric vs Induction
Running costs depend on your energy tariff and how much you cook. These figures use current Melbourne rates (2026):
| Cooktop Type | Energy Rate | Efficiency | Cost per Hour (High Heat) | Annual Cost (1hr/day) |
|---|---|---|---|---|
| Gas (reticulated mains) | ~3.5–5c/MJ | 40–55% | $0.10–$0.30 | $36–$110 |
| Electric radiant/ceramic | ~30–35c/kWh | 70–75% | $0.20–$0.40 | $73–$146 |
| Induction | ~30–35c/kWh | 85–90% | $0.25–$0.55 | $91–$200 |
| Induction (off-peak tariff) | ~15–22c/kWh | 85–90% | $0.13–$0.28 | $47–$102 |
| Induction (with solar) | ~5–10c/kWh | 85–90% | $0.04–$0.09 | $15–$33 |
Gas vs Induction: Full Cost Comparison
| Factor | Gas Cooktop | Induction Cooktop |
|---|---|---|
| Appliance cost | $300–$2,000 | $300–$3,000+ |
| Installation | $150–$300 (licensed gasfitter) | $100–$200 (licensed electrician) |
| Running cost/year | $36–$110 | $47–$200 (standard tariff) |
| Compatibility with existing cookware | All cookware | Requires magnetic base (cast iron, stainless) |
| Cooking speed (boiling water) | Medium — 6–8 min for 2L | Fast — 3–4 min for 2L |
| Kitchen heat | High — warms kitchen significantly | Low — surface stays cool |
| Safety | Open flame, gas leak risk | No open flame, surface cools quickly |
| Future-proofing | Gas connections declining in Victoria | Electricity grid, compatible with solar/battery |
| Cookware replacement cost (if switching) | $0 | $100–$500 if existing pots not compatible |
The Gas Phase-Out: What Melbourne Homeowners Should Know
Victoria has committed to phasing out gas connections in new homes from 2024 onwards. Existing connections are not immediately affected, but several implications exist for SE Melbourne homeowners:
- New homes in Victoria cannot connect to the gas network (from January 2024)
- Existing gas appliances can remain until end-of-life
- When selling or renovating, buyers increasingly expect or prefer all-electric homes
- Victorian Energy Upgrades (VEU) rebates are available for switching from gas appliances to electric equivalents — including induction cooktops
- Disconnecting from gas removes the $150–$300/year supply charge, which is separate from gas usage charges
DIY vs Professional Installation
| Task | DIY? | Cost If Professional |
|---|---|---|
| Install induction cooktop (existing 20A circuit) | Yes — plug in or hardwire by electrician | $100–$200 |
| Upgrade electrical circuit for induction | No — licensed electrician required | $200–$500 |
| Remove existing gas cooktop | No — licensed gasfitter required | $100–$200 |
| Cap off gas line | No — licensed gasfitter required | $150–$300 |
| Full kitchen gas-to-electric conversion | Partly — tiling patching yourself | $500–$1,200 total |
Tips and Gotchas
- Check your existing circuit before buying induction. Most Australian induction cooktops (60cm, 4 zone) draw 7–10 amps on a standard setting but can surge to 15–20A at full power. Your kitchen may need a circuit upgrade.
- Not all induction cooktops are equal. Budget induction ($200–$400) often has sluggish response and poor simmer control. Mid-range ($500–$1,200) models like Bosch and Electrolux have significantly better performance.
- Gas WOK cooking. High-heat wok cooking works better on a high-BTU gas burner than induction — induction heats the base, not the sides. If you regularly cook stir-fry at very high heat, this is a genuine consideration.
- Cookware audit before switching. Test all your pots and pans with a magnet before committing to induction. Cast iron and most stainless steel are compatible. Copper, aluminium, and ceramic are not (without an adapter disc).
- VEU rebates available. The Victorian Energy Upgrades program offers rebates for switching from gas to electric appliances. Check the Sustainability Victoria website for current eligibility and amounts.
- Power outage impacts induction only. If the electricity goes out, induction stops working. Gas continues to work (with a manual ignition lighter) — relevant if your area experiences frequent outages.
- Rangehood sizing matters more with gas. Gas combustion produces moisture, CO2, and nitrogen dioxide. A properly sized rangehood (600m³/hr minimum for gas, ducted to outside) is more important for air quality with gas than with induction.
- Electromagnetic sensitivity. Induction cooktops are generally safe for people with pacemakers at normal distances, but those with medical devices should check with their cardiologist before using induction in close contact.
Local Melbourne Resources
- Betta Home Living — stocks Westinghouse, Electrolux, and LG cooktops with in-store comparison at Dandenong and Fountain Gate
- Harvey Norman — wide induction and gas cooktop range with package deals on kitchen appliances
- Sustainability Victoria — VEU Rebates — check current rebates for switching from gas cooking to electric
- Energy Made Easy — compare Melbourne electricity tariffs to calculate your actual induction running cost
Frequently Asked Questions
Is induction cheaper to run than gas in Melbourne?
It depends on your electricity tariff and whether you have solar. On a standard tariff (~32c/kWh), induction costs slightly more per hour than gas. But if you cook during solar hours, shift to an off-peak tariff, or factor in eliminating the gas supply charge ($150–$300/year), induction often works out similar or cheaper over a full year.
How much does it cost to switch from gas to induction in Melbourne?
Expect $500–$1,200 total for a full switch: $300–$800 for the induction cooktop, $100–$200 for a licensed electrician to check or upgrade your circuit, and $100–$300 for a gasfitter to disconnect and cap the gas line. You may also need new cookware ($100–$500) if your existing pots aren’t induction-compatible.
Will Victoria ban existing gas cooktops?
No — the Victorian gas phase-out applies to new connections in new buildings (from 2024), not existing gas appliances. Your current gas cooktop can remain in use until it reaches end-of-life. You are not required to switch, but when the appliance fails, replacing it with another gas cooktop may be more costly as gas appliance availability decreases over time.
What cookware do I need for induction?
Induction requires cookware with a ferromagnetic base — the magnet test is reliable (hold a fridge magnet to the base; if it sticks firmly, the pot will work). Cast iron and most stainless steel cookware is compatible. Pure aluminium, copper, glass, and most non-stick pans without a steel disc layer are not compatible. Budget $150–$400 for a basic induction-compatible pot and pan set from Aldi, Kmart, or Kitchen Warehouse.