3-Star vs 5-Star Refrigerators in India (2025): Energy Savings, Annual Cost & ROI Comparison

While 3-star refrigerators are more economical to purchase, they are usually less energy efficient in the long run than a 5-star refrigerator. This is because the stars on refrigerators denote their capacity for effective energy consumption, with five being the most energy-efficient. Let’s take a closer look at the differences between the two in terms of energy savings, costs and ROI.

Energy Savings in 3- and 5-Star Refrigerators

5-star refrigerators are designed to be the most energy efficient, using significantly less energy than 3-star models. As a result, you’ll benefit from considerable savings over the model’s lifespan. There’s also an environmental benefit; since the fridge uses up less energy, you reduce your carbon emissions, contributing to a more sustainable way of life.

The flip side is the high acquisition cost since 5-star refrigerators are notably more expensive than 3-star fridges. While the savings add up in the long run, it just may not be an affordable option in the short term. This is where considering financing options like EMIs with consumer durable loans could help; it breaks the entire initial cost down into monthly payments over a long tenure.

Also Read: Top Benefits of Buying a Refrigerator on EMI with a Consumer Durable Loan

3-Star vs 5-Star Refrigerators: Annual Energy Consumption and Cost

The annual energy consumption for each star band is determined by the S&L (Standards & Labelling) programme, an initiative by the Bureau of Energy Efficiency, in accordance with the Energy Conservation Act, 2001.

The calculations use a formula comprising Vtot (total adjusted volume in litres), i.e., the refrigerator’s storage capacity, to determine AEC (Annual Energy Consumption in kWh/year). Let’s take a look at the AEC for a double-door refrigerator below.

Energy Consumption (till 31st December 2025):

Energy Consumption (valid from 1st January 2026 to 31st December 2028):

3-Star vs 5-Star Refrigerators: Annual Cost Breakdown

Using the 2026 standards, we can see the difference in cost:

With these costs and usage, the 5-star fridge gives you annual savings of ₹1,597 - ₹1,168 = ₹429/year.

Also Read: Upgrade Your Kitchen This Festive Season with Whirlpool 235 L Frost Free Triple-Door Refrigerator on EMI

ROI Calculator for 3-Star vs 5-Star Refrigerators

Calculating your ROI (return on investment) for these types of fridges involves understanding three main factors: the difference in price, in annual electricity costs, and the duration of intended usage. Then, simply use the following formula:

ROI% = (Total Savings - Initial Cost Difference)/Initial Cost Difference x 100

Consider the following scenario between a 3-star and 5-star double-door refrigerator, for a duration of 10 years:

• Difference in Cost: ₹30000 - ₹27000 = ₹4000
• Annual Savings: ₹1,708 - ₹1,120 = ₹588/year
• Total Savings: 588 x 10 = ₹5880

ROI% = (Total Savings - Initial Cost Difference)/Initial Cost Difference x 100

So, ROI = (5880 - 4000)/4000 x 100 = 47%

As you can see, your initial additional investment of ₹4,000 gives you a healthy 47% return over 10 years.

Also Read: How to Use a Consumer Goods Loan to Build Your Credit Score

To Conclude

The choice between a 3-star and 5-star refrigerator ultimately depends on your electricity rates, usage duration, and budget flexibility. That being said, 5-star refrigerators are certainly set to offer much more across savings, energy usage, and environmental friendliness. Use the ROI calculator formula provided to make an informed decision based on your specific circumstances.

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Frequently Asked Questions

Which refrigerator is best, 3-star or 5-star?

This would depend on your current priorities, overall usage, and electricity rate. If you pay a relatively lower electricity cost per unit, have a small family with fewer things, and are very tight on budget, you can purchase a 3-star fridge. However, 5-star fridges often offer more long-term savings, so use an ROI calculator to choose the best option.

Is it okay to buy a 3-star refrigerator?

Yes, it is completely fine to purchase a 3-star refrigerator, especially if budgeting in the current moment is important. Though it may not offer as much energy efficiency as 5-star models, it certainly is more advantageous than the 1- and 2-star models.

Which consumes more electricity, 3-star or 5-star?

3-star appliances will consume more electricity than 5-star appliances; consumption standards change every few years, but the overall rating system remains the same, with 5 being the most energy efficient.