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The Victorian Energy Upgrade Program is the state’s largest energy efficiency program and a key measure in Victoria’s Climate Change Strategy.

Encouraging investment and employment in the energy efficiency sector is an objective of the program – certainty in the program is a key to achieving this.

Market statement

DELWP is committed to updating this page with the following information:

  • a monthly publication of information about the Victorian Energy Efficiency Certificate (VEEC) market
  • a quarterly publication of information on the pipeline of new and revised activities for the VEU program.

This market information will be updated every month. Last update 31 August 2022.

Market update – August 2022

63 accredited providers, 105 sellers and 89 buyers

Participation numbers

  • 63 active accredited providers – a decrease of 0% from 12 months ago
  • 105 sellers – an increase of 15% from 12 months ago
  • 89 buyers – an increase of 33% from 12 months ago.

VEEC supply and spot price

Graph showing historic VEEC price between 2009 and 2022, mapped against the excess supply of VEECs against VEU targets for each year.

2 lines. One representing millions of certificate registration above or below the monthly pro-rata certificate registration to meet annual targets. Currently at 65 million.  A blue line showing VEEC spot prices which is trending upwards and currently at $80

* If this teal line were at zero, the program would be perfectly on schedule to meet the targets.

** A small percentage of these certificates over the years do not go towards targets due to voluntary surrenders or withdrawals. This has been adjusted for 2018, 2019 and 2020 surrender dates.

  • Historical VEEC price spikes in 2012 and 2016 were correlated with periods of low certificate supply.
  • The 2020 to 2021 price increase differs from this pattern, with high levels of excess certificate supply.
  • Accredited providers may wish to research options/strategies to protect their businesses against the risk of rapid falls or rises in certificate prices.

VEEC creation by activity type

left axis shows number of VEEC registered in 2021 to 2022 for continuining activities and calling out residential lighting activities which are phasing out by 31 January 2023. Continuing activities are trending upwards.

Graph showing number of registered VEECs between January 2021 and August 2022.

  • The market has experienced growth in uptake in non-lighting activities.
  • This growth is a good sign that the market will adapt to several lighting activities being phased out.

New and revised activities – as of September 2022

This information will be updated on a quarterly basis. Last update 29/09/2022

The Department of Environment, Land, Water and Planning is working on a range of new and revised activities for the VEU program, which will increase the supply of certificates. You can find more information on these new and revised activity consultations on the Engage Victoria website.

Please note that these timeframes are indicative only and are subject to change. Stakeholders are advised not to make any commercial decisions based on future timeframes.

Please note that no new or revised activity updates can be made during the caretaker period in the lead-up to the Victorian State election on 26 November 2022.

DELWP will provide a further update in Q1 2023 on its proposed workplan for 2023 onwards with indicative timeframes.

Where we are going

Where we're going. Quarter 2 2022: Heat pump water heaters industry engagement; Gas boiler and water heater specifications commenced; PBA workshop held. Q4 2022 and onward: Response to consultation for Water Heating, Space Heating & Cooling and HERA; PBA review response to consultation; Refrigerated Cabinets review; Water Heating, Space Heating & Cooling and HERA activities to commence; Potential activities: Insultation, Smart Thermostats, Pool Pumps, Hot Pipe Lagging.

Page last updated: 29/09/22