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16 November 2023: Victorian Energy Upgrades Specifications V16.0 – space heating and cooling, changes for multi-split air conditioners

Updates to the Victorian Energy Upgrades Specifications V16.0

The Department of Energy, Environment and Climate Action (DEECA) has published the Victorian Energy Upgrades (VEU) Specifications Version 16.0. These specifications include amendments to the space heating and cooling activity (Part 6) and the removal of expired activities from the VEU program. The VEU Specifications V16.0 will commence on 1 January 2024.

Version 16.0 of the Specifications has been updated to remove the following activities that ended on 30 June 2023:

  • water heating activities (1A, 1B, 1F and 3B)
  • space heating and cooling activities (Part 5, Part 7, Part 9, Part 10 and Part 23).

The VEU Specifications 2018 Version 16.0 can be found on the following page: Industry specifications (energy.vic.gov.au)

Space heating and cooling changes take effect from 1 January 2024

Following concerns raised by stakeholders on incentive calculations for multi-split air conditioners, from 1 January 2024, the following changes will come into effect for space heating and cooling activities (Part 6):

  • Updates to the greenhouse gas abatement calculations for multi-split reverse cycle air conditioners. Incentives for multi-split reverse cycle air conditioners will be calculated on the total installed capacity (in kilowatts) of the indoor units. Current calculations are based on the capacity of the outdoor unit. Stakeholders have provided feedback this could lead to an issue where whole of home upgrades see smaller indoor units installed, while claiming incentives based on the outdoor unit.
  • Updates to product requirements for multi-split reverse cycle air conditioners.The indoor and outdoor unit installed as part of a multi-split reverse cycle air conditioner will be required to be made by the same original equipment manufacturer.
  • Updates to eligible multi-split reverse cycle air conditioners.Based on manufacturer feedback that some Variable Refrigerant Flow (VRF) reverse cycle air conditioner products were not eligible under the current activity, updates have been made to eligible products.

Version 16.0 of the VEU Specifications will come into effect from 1 January 2024. This includes a transition period to minimise the impact of these changes on accredited providers and consumers.

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Page last updated: 16/11/23