The agreement made between the Government, Foxtel and Austar, will also aim to accelerate the retirement of older, less energy efficient set-top boxes.

Environment Minister Peter Garrett, who announced the initiative in Sydney, said the pay television industry was a key area of concern in terms of energy efficiency, as the number of users is steadily increasing, threatening to double energy usage over the next ten years.

Mr Garret said that the agreement would deliver energy savings of 1,124 GW hours, preventing 948 kilo-tonnes of carbon emissions, and saving pay TV subscribers $168 million in lower energy bills between 2009 and 2020.

Energy efficiency has proven a priority for the Australian Government of late, with the recent announcement of new energy efficient building regulations for commercial buildings.