The Victorian Energy Efficiency Target (Project-Based Activities) Regulations 2017 provide for project-based activities in the scheme.

Until now, the methods used for calculating Victorian Energy Efficiency Certificates (VEECs) for a given upgrade have been deemed, based on average values for all activities across Victoria. However, some situations need a more customised approach. Project-based activities are those where the number of VEECs that can be claimed is specific to a given project.

Project-based activities will often involve the direct measurement of energy consumption, and are designed to be suitable for a wide range of technologies. The Measurement and Verification (M&V) method is a project-based activity.

For accredited providers, this means an alternative to traditional activities where energy saving calculations are based on predetermined values.

Custom Upgrades Grants

Custom upgrades are new in the Victorian Energy Upgrades program. They help businesses invest in large, complex energy saving projects where "off the shelf" activities are not appropriate. To support their uptake, the Victorian Government is providing $250,000 in funding in 2018 to support eligible businesses to participate.

The grants of up to $25,000 will assist businesses to collect baseline (i.e. “business-as-usual”) data and prepare a business case for a significant energy efficiency upgrade. The funding can be used to engage an experienced consultant, install monitoring equipment and software and collect data. Successful applicants will be required to share the completed analysis in a case study.

The business case and baseline data will be in a form which enables the business to participate in the Victorian Government’s Victorian Energy Upgrades Measurement and Verification method. This method provides a technology-neutral means to generate incentives for a broad range of gas and electricity efficiency savings in non-residential premises.

How to Apply

  1. Download and read the Application Guidelines.
  2. Download and read the Case study example
  3. Complete the application form online
  4. Read the whole form before you begin: click View as PDF from the application page to see the application in full
  5. Click Save as Draft from any application page to save. You can come back to it later.
  6. Return to your saved application

Key grants information

    The following organisations in Victoria can apply for funding, if they are the energy consumer at a site:

    • Businesses
    • Educational institutions
    • Not for profit organisations
    • Local government authorities

    We highly encourage applications from:

    • Gas efficiency projects
    • Multiple energy source projects (incl. fuel switching)
    • Projects in regional areas
    • Projects in manufacturing

    Service providers can apply on behalf of a consumer of electricity or gas. However, the funding agreement will be between the energy consumer and the department.

    Refer to the Application Guidelines for a full breakdown of eligibility

  • 8.00am 23 April 2018: applications open
  • 3.00pm 26 July 2018: applications close
  • August 2018: successful applicants notified

Measurement and Verification method

The M&V method is a flexible way to access incentives and offset the cost of energy upgrades. It allows businesses and other non-residential premises to claim incentives by calculating the energy saved from a specific upgrade using industry-standard measurement and verification techniques.

The M&V method is contained in the Regulations and in the publication, Measurement and Verification in the Victorian Energy Efficiency Target Scheme – Methods and Variables (DOCX, 148.9 KB).

The Department of Environment, Land, Water and Planning undertook stakeholder consultation on draft regulations for project-based activities in June 2016. The department’s response to consultation has now been published on our consultation page.

How to participate

The Essential Services Commission (ESC) is the scheme administrator and is responsible for accrediting providers and assessors.

Organisations wishing to become accredited persons for the M&V method should refer to the ESC’s website at https://www.veet.vic.gov.au from 19 June 2017.

For businesses and other organisations wishing to undertake an upgrade, accredited providers will be listed on the Victorian Energy Saver website once they are available. In the interim, we suggest you discuss your project with an M&V specialist at the earliest opportunity. You may also choose to become accredited to deliver projects at your own sites.

Persons interested in becoming Approved M&V Professionals to provide third-party reviews of M&V projects should refer to the ESC’s website at https://www.veet.vic.gov.au from 19 June 2017.

Supporting uptake of the M&V method

M&V is a relatively new area of expertise in energy efficiency, and is a major change for the Victorian Energy Upgrades program. The department is supporting uptake and participation by:

  • Convening a stakeholder engagement panel for industry to provide the department with advice and feedback on the M&V method;
  • Developing training materials tailored to the Victorian Energy Upgrades program; and
  • Supporting industry to undertake M&V activities through Custom Upgrades Grants.

To receive future updates on these matters, subscribe to our mailing list.

There are already a few options for training and recognition – through the Energy Efficiency Council (EEC), people can take the Certified Measurement and Verification Professional training course and experienced practitioners can be recognised through the EEC’s accreditation for energy efficiency specialists and leaders.

M&V training manual and workbook

The department has developed guidance material for stakeholders interested in understanding the practical implementation of the M&V method.

* Calculating Savings using Measurement and Verification – PDF. This non-mandatory manual introduces key concepts to apply the M&V method in the Victorian Energy Upgrades program.

* Measurement and Verification Workbook (Beta) – XLSX. This workbook calculates greenhouse gas savings for Victorian Energy Upgrades projects using the M&V method.

Note: These resources are intended as guidance material only, and are not a substitute for the regulatory and compliance systems of the Victorian Energy Upgrades program managed by the Essential Services Commission (ESC). For more information on the administrative details of the program, visit the ESC website.

The workbook has been published as a beta, making it suitable for user testing and to support reading the manual. It is provided for information purposes only. No warranty is made in respect of the material, including (but not limited to) in relation to the accuracy or currency of the material at any time, or its suitability for other purposes.

Other project-based activities

The Benchmark Rating and Treatment and Control method are currently under development.

Benchmark Rating uses energy rating schemes to create certificates, and is based on the NABERS Metered Baseline method from the New South Wales (NSW) Energy Savings Scheme (ESS). It is designed to facilitate whole-building or whole-tenancy retrofits to commercial buildings.

Treatment and Control uses statistical analysis to calculate the impact of an energy efficiency intervention by comparing change in a treatment group to that of a control group. It is designed to incentivise energy efficiency programs delivered to large groups of similar energy consumers, such as households. It is based on the Aggregated Metered Baseline method from the NSW ESS.