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The cost of heating and cooling your home or business can be a significant part of your energy bills. On average, Victorian households can spend up to $800 a year, or a third of their energy bill, on heating. This can be significantly more for businesses.

By replacing old heating and cooling systems with more energy-efficient ones or simply purchasing new energy-efficient ones, you can significantly reduce the costs and energy use associated with heating and cooling.

Eligibility

All Victorian households and businesses are eligible to apply for rebates/discounts.

Your participation is voluntary.

How to organise your upgrade

You must engage an accredited provider to get a discount or rebate on a hot water system upgrade.

Accredited providers can:

  • use their tradesperson (if they have any available) to install the heating/cooling system
  • work with a tradesperson to install the heating/cooling system.

Note: the accredited provider is responsible for helping you obtain a discount or rebate for the upgrade.

They will be able to explain:

  • the steps to participate
  • what sort of products can you install to get a discount or rebate
  • the necessary qualifications of the tradesperson who installs the hot water system.

To check if a person or business is an accredited provider, go to the Essential Services Commission’s VEU Registry of Accredited Persons and:

  • select the 'Business Name' drop-down menu
  • scroll until you see the accredited provider you are searching for.

Tips when organising an upgrade

  1. Shop around. As with any market, it's worth shopping around and finding the right fit for your needs.
  2. Ensure the product's suitability. To get a rebate, you must install an approved product. If the product is subject to minimum energy efficiency standards, it has to be on the Greenhouse and Energy Minimum Standards register and meet certain minimum energy efficiency requirements.
  3. Search the Essential Services Commission register of products for approved products.
  4. Accredited providers operate freely like any other businesses and can choose what upgrades they deliver, with some keeping waiting lists for activities and may contact you if circumstances change.

Remember to do your research on products. Not all products are of the same quality or suitability for all working environments.

How much rebate can you expect?

Installing an efficient ducted gas heater

Current system Upgrade system size Indicative rebate*
Inefficient ducted gas heater Small
Medium
Large
$540
$640
$780
Central electric heater Small
Medium
Large
$4,140
$5,220
$6,600
None Small
Medium
Large
$240
$240
$300

Installing an efficient ducted reverse cycle air-conditioner

Current system Upgrade system size Indicative rebate*
Inefficient ducted air-conditioner (air-to-air heat pump) Small
Medium
Large
$120
$180
$300
Central electric heater Small
Medium
Large
$3,060
$3,780
$5,040
None Small
Medium
Large
$60
$60
$120

Installing an efficient gas room heater

Current system Upgrade system size Indicative rebate*
Hard-wired electric room heater Small
Medium
Large
$720
$1,320
$1,680
Inefficient gas room heater Small
Medium
Large
$60
$60
$120
Plug-in electric heater or wood-fired room heater Large
All sizes
$120
$540

Installing an efficient reverse cycle air-conditioner

Current system Upgrade system size Indicative rebate*
Hard-wired electric room heater Small
Medium
Large
$540
$1,020
$1,380
Room air-conditioner (air to air heat pump) or another room heater Small
Medium
Large
N/A
N/A
$60
Plug-in electric heater or wood-fired room heater All sizes $420
Refrigerative air conditioner (non-ducted) and a hard-wired electric room heater Small
Medium
Large
All sizes
$660
$1,260
$1,620
$540
Refrigerative air conditioner (non-ducted) and a gas room heater Small
Medium
Large
$120
$180
$240

Installing an efficient ducted evaporative cooler or efficient ductwork

Current system To be installed System size Indicative rebate*

Refrigerative air conditioner (ducted or non-ducted)

Efficient ducted evaporative cooler

N/A - no products currently approved

N/A - no products currently approved

Ductwork that is connected to a ducted gas heater

Efficient flexible or rigid ductwork

Small $480
Ductwork that is connected to a ducted gas heater

Efficient flexible or rigid ductwork

Medium $660
Ductwork that is connected to a ducted gas heater

Efficient flexible or rigid ductwork

Large $780

*Discount or rebate will vary. This figure is based on a certificate price of $60.

The final price will depend on several factors, including:

  • certificate price
  • type of equipment and efficiency
  • location
  • installation costs
  • administrative costs of accredited providers.

Find an accredited provider in your area

Page last updated: 07/09/22