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Energy efficient heating and cooling

Turning on a split system heater and cooler
Turning on a split system heater and cooler

The Victorian Government is investing $335.5 million over four years to provide efficient, lower cost heating and cooling for 250,000 low income and vulnerable households.

About the program

The Victorian Government's plan to invest $335.5 million over four years to provide efficient, lower cost heating and cooling for 250,000 low income and vulnerable households will improve the comfort of homes and deliver ongoing health and wellbeing benefits. In addition to saving on their heating costs, households will benefit from efficient cooling to deal with summer heat stress.  

Rebates and grants will be provided through Solar Victoria to help households install high-efficiency reverse cycle air conditioners, replacing inefficient heaters. This is expected to deliver annual energy bill savings to households of around:  

  • $300 a year for those upgrading from a gas heater  
  • $680 a year for those replacing inefficient electric heating  
  • $900 a year for those replacing LPG heating.  

The program will provide a base rebate of $1000 towards the cost of installing high efficiency heating and cooling (average cost $1700). Some upgrades may also be eligible for a Victorian Energy Upgrade incentive.  

These upgrades will also provide broader environmental benefits, reducing greenhouse gas emissions and improving local air quality.  

The program will be available to low income and vulnerable households, such as concession card holders, and targeted to ensure the program helps those who need it most.  

Eligible households and social housing providers across the state will be able to apply for this program in 2021.  

Register your interest

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FAQs

Reviewed 04 December 2020