vampire power

One of my roommates sent the rest of us an email today with a link to

This sounds like a lot of rubbish to me. I understand that some things will draw a bit of power when they are turned off, but 75%? And if vampire power makes up 75%, how can unplugging things only save 5%? I just know that he’s going to be following us around the apartment unplugging things.

So what’s the straight dope on vampire power?

Reading the article and the government FAQ it’s based on, it sounds like they read the bit about a 75% reduction in standby power usage being possible with better design (i.e. from 5% to 1.25%), and thought it meant 75% of all power usage.