A new report released from the Australian Bureau of Statistics (ABS) has found that Australians are using less water but more energy.

Australia's Environment: Issues and Trends highlights that water use by agriculture has fallen by almost half in two years, with the biggest reductions occurring in NSW and Victoria, while the proportion of households using water saving devices has doubled between 1994 and 2007.

While water consumption fell, energy use rose. Australia's reliance on fossil fuels has seen greenhouse gas emissions in the energy sector rise by almost one half since 1990, however emissions per head of population fell by 12 per cent over the same period.

In 2008, only 53 per cent of homes in NSW had insulation, compared to the national average of just over 60 per cent, however most people were insulating for comfort rather than to save energy.

Australians are also living in larger homes with fewer people, increasing greenhouse gas emissions from the electricity and gas used to build and run them.

The biggest increase in public transport use was recorded in Victoria and South Australia, while NSW has fallen slightly.

Australian transport and construction industries experienced the largest drop in energy intensity down 49 per cent and 74 per cent respectively over the 30 years to 2006-07, leading a decrease of over a third for all Australian industries combined.