Home Cost Australia

Reverse-Cycle Air Conditioner Running Cost

By Home Cost Australia Editorial TeamUpdated 20 September 2026

A reverse-cycle air conditioner's running cost is its electrical input power (kW) multiplied by the hours you run it and your electricity tariff — the same whether it's heating or cooling. Because reverse-cycle systems are efficient heaters, running cost depends far more on your unit and tariff than on a single national figure. Estimate yours with the calculator below.

How reverse-cycle running cost works

Reverse-cycle (heat pump) units move heat rather than generate it, so they use less electricity than a resistive heater for the same warmth. The running-cost formula is simple:

  • Energy (kWh) = input power (kW) × hours run
  • Cost = energy (kWh) × tariff (c/kWh ÷ 100)

If you only know the heating/cooling capacity and an efficiency ratio (COP/EER), the estimated input power is capacity ÷ efficiency ratio. The calculator handles both.

Worked examples

Illustrative examples using labelled assumptions (a ~13-week season), computed with the same formula as the calculator — not market claims:

  • Reverse-cycle heating, medium room: 1.5 kW input, 6 hours/day, 30 c/kWh → about 9 kWh/day and approximately A$2.70/day while operating (around A$245.70 across the season).
  • Reverse-cycle cooling, medium room: 1.2 kW input, 6 hours/day, 30 c/kWh → about 7.2 kWh/day and approximately A$2.16/day while operating (around A$196.56 across the season).

What changes the cost

  • Your unit's input power and efficiency (COP for heating, EER for cooling).
  • Hours of use and thermostat setting.
  • Outdoor temperature — heat pumps work harder in extreme cold.
  • Insulation, room size and draughts.
  • Your electricity tariff (always user-supplied here — no national rate assumed).

Heating vs cooling

A reverse-cycle unit is usually cheaper to run for heating than a plug-in electric heater of the same warmth, because it moves heat instead of creating it. Compare your own scenarios in the calculator rather than relying on one average.