Heating and cooling for households

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.

New upgrades to be introduced

The VEU program regularly reviews the range of energy efficiency upgrades available to receive incentives to make sure they continue to reduce emissions and save consumers money. As part of these reviews, DEECA recently consulted on changes to the VEU program’s space heating and cooling and water heating activities.

Following this consultation, DEECA has announced the introduction of incentives to replace gas appliances with efficient electric alternatives. New incentives to upgrade from gas to electric appliances will be introduced later in the year, so we recommend regularly visiting the VEU industry latest news page for updates on these new products/activities.

Victorian Energy Upgrades Space Heating and Cooling factsheet

We have created a handy fact sheet to assist you in selecting the right size reverse cycle air conditioner to heat and cool your home. This factsheet will also be provided to you if you undertake a heating and cooling upgrade under the VEU program.

How to organise your upgrade

You must engage an accredited provider to get a discount or rebate on a heating/cooling system upgrade.

Accredited providers can:

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

*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.

Page last updated: 31/05/23