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From smart speakers and security systems to app-controlled appliances and virtual assistants, Australian homes are more connected than ever.

The growing web of smart devices, alongside AI-enabled tool usage, is quietly driving up electricity use—adding pressure to household bills and the power grid alike.

As digital convenience becomes the new norm, experts warn: the true cost of modern living might be hiding in your energy meter.

According to the team at iSelect, which has crunched the data to establish the countries that are most engaged with AI and smart devices, Australia lands in the top three countries with the highest energy burden and highest number of searches for smart devices.

Australia had the third highest annual electricity use per capita with only 35 per cent of energy production from renewable sources.

Topping the list was Portugal, which scored 68.19 out of 100 on the iSelect index.

Luxembourg came in second with annual AI searches per 1,000 people on the list (4,637), and an average electricity usage of 11,168 kWh/year per capita.

Luxembourg also has the highest share of renewable energy out of any country researched – 90 per cent of its electricity production is from renewable sources.

Despite landing at number three on the list overall, Australia tops the rankings in search volume for smart home devices.

Last year, there was 752 smart device searches per 10,000 people, compared to 3,848 searches for AI tools per 1,000 residents. It scores 62.31 overall with an annual electricity use per capita of 9,832 kWh.

Spain ranks number four in the rankings followed by the Netherlands.

https://www.iselect.com.au/energy/insights/smart-home-energy-burden-index/