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Woman and son dressed in blue, holding yellow cardboard sun and rubber duck
Woman and son dressed in blue, holding yellow cardboard sun and rubber duck

We are providing a 50% rebate of up to $1,000 on eligible solar hot water and heat pump hot water systems.

This is a great option for households where solar panels might not be suitable, or for households that already have solar panels installed. 

Introduction

Hot water systems are one of the biggest energy users in the home, accounting for around 21 per cent of total energy use (on average, according to YourHome) This can have a significant impact on household energy bills, but one way to keep these costs under control is to install an efficient hot water system such as a heat pump or solar hot water system.

Solar hot water and heat pump hot water systems use less energy to heat water at home, and can be run from renewable energy. Installing a more efficient solar hot water or heat pump hot water system can help reduce greenhouse emissions and energy bills. On average, households that install solar hot water systems can expect to save between $140-$400 per year on their electricity bills.

Lower energy costs with both solar PV and solar hot water rebates

The Solar Homes Program is supporting eligible Victorian households to save even more. New and existing solar hot water customers can now apply for a solar panel PV rebate to save even more with solar.

Start your research and learn more about what solar products best suit your home. Our solar panel PV Buyers Guide and our solar hot water Buyers Guide have information to help you learn more about solar products so you can start talking to retailers and start saving more with solar.

See if you fit the eligibility criteria below, then follow the three-step process to apply for a rebate.

Am I eligible?

Victorian households are eligible to receive a solar hot water rebate for an approved solar hot water or heat pump hot water system if:

  • they are the owner-occupier of the property
  • the owners have a combined household taxable income of less than $180,000 per year (based on their Australian Tax Office Notice of Assessment)
  • they have not already received a solar battery rebate or a solar hot water rebate under the Solar Homes Program
  • it is an existing property, valued at under $3 million
  • the hot water system to be replaced is at least three years old from the date of purchase
  • the property address has not already received a solar battery rebate or a solar hot water rebate under the Solar Homes Program
  • the solar (or heat pump) hot water system is on the Solar Homes program approved products listExternal Link

Householders cannot receive the same Solar Homes rebate more than once. For example, if a householder has previously received a solar hot water rebate, they cannot receive another solar hot water rebate.

Once you're confident that your property meets the eligibility criteria, you can start the process by applying for an eligibility number.

Process for solar hot water installations

There are three easy steps to apply for a Solar Hot Water rebate.

You should not install a solar hot water or heat pump hot water system until your eligibility has been approved by Solar Victoria – with the exception of emergency installations. If you install your solar hot water system before your eligibility is approved, you will not receive a rebate.

Step 1 - Obtain a quote

Seek out a quote for your solar hot water or heat pump installation. You should advise your retailer you intend to apply for the Solar Homes rebate.

Obtaining a quote is necessary to apply for an eligibility number, which your installer will use to confirm that they can go ahead with your installation.

Solar Victoria does not recommend signing a quote acceptance or paying a deposit prior to receiving your rebate eligibility confirmation. As a minimum you should confirm with your retailer that any deposit is fully refundable.

Step 2 - Apply for eligibility

Contact Solar Victoria or fill in the formExternal Link and we will provide you with an eligibility pack containing documents that will need to be completed. Once you have completed all the documents, you will need to return all the documents and attachments to Solar Victoria via the secure link provided.

Solar Victoria will then assess your application and inform you and your solar (or heat pump) hot water system provider on whether the application has been approved.

Step 3 - Get the system installed

Once you have received confirmation of approval by Solar Victoria, you will able to arrange the installation of the system with your solar hot water (or heat pump) hot water provider.

Please note that the program requires the installation of an approved product.

The rebate will be paid directly to your provider and deducted from your invoice – ensuring you only pay any outstanding balance once the system is installed.

Please note: The Solar Homes rebate for Solar Hot Water is calculated after any other discounts have been applied (including STC and VEEC) and is a 50% rebate on the purchase price of the system up to the value of $1000.

Apply now

To request a copy of the application form to apply for solar hot water rebate, please fill in and submit this form.

Apply now

Process for emergency installations

In the case of an emergency solar hot water or heat pump installation, customers do not have to wait to have their eligibility approved before having their replacement system installed. This ensures customers can maintain access to hot water.

There are specific criteria that determine whether a solar hot water or heat pump system has been installed in an emergency due to a broken down or unsafe existing hot water system. Customers must submit their eligibility application as soon as possible following the emergency installation and be prepared that they may not receive a rebate if they do not meet eligibility criteria.

Step 1 - Emergency installation

Contact your retailer to arrange an emergency solar hot water or heat pump installation due to a broken down or unsafe existing water heater.

You should advise your retailer you intend to apply for the Solar Homes rebate and let them know that the program requires the installation of an approved product. Make sure you meet all eligibility criteria, otherwise you will be ineligible for a rebate.

The solar hot water or heat pump system is installed.

Step 2 - Apply for eligibility

Solar Victoria will provide you with an eligibility pack containing documents that will need to be completed. Once you have completed all the documents, you will need to return all the documents and attachments to Solar Victoria via the secure link provided.

Solar Victoria will then assess your application and inform you and your solar hot water (or heat pump) system provider on whether the application has been approved. If you are eligible, the rebate will be paid directly to you.

Apply now

To request a copy of the application form to apply for solar hot water rebate, please fill in and submit this form.

Apply now

Approved products

The program requires the installation of an approved product that is listed on both the Clean Energy Regulator (CER) Register of approved products list and the Victorian Essential Services Commission (ESC) Registered Products list. Below is a downloadable version of the consolidated approved products for solar hot water.

See the Approved products page for more information.

FAQs

  • We no longer limit properties which are connected to reticulated natural gas, without a solar PV greater than 2.5kW, to only install gas-booster solar hot water systems.

  • By removing the 2.5kW system and gas-boosted criteria we will allow more households that don’t have PV or have a PV system smaller than 2.5kW to access the solar hot water rebate. It also allows freedom of choice if a household wishes to move away from gas appliances.

  • In line with the other Solar Homes Program products and their rebate types, solar hot water’s rebate will cover up to 50 per cent of the cost of a solar hot water system with properties eligible for a rebate of up to $1000.

  • No, you can install any system on the Solar Hot Water Approved ProductsExternal Link list.

    This means that households that have no available or suitable roof space to install PV or solar hot water, such as apartments and townhouses will still be able to access the program to install a heat pump hot water system.

  • Eligible owner-occupier households that have received a solar hot water rebate can also apply for a solar PV rebate. Learn more about applying for a solar panel PV rebate.

  • No, owner-occupier households that have received a solar hot water rebate cannot apply for a solar battery rebate.

Reviewed 15 December 2022

Solar Hot Water Buyers Guide

Before you seek quotes for your new solar system, make sure you read our Solar Panel (PV) Buyers Guide

Solar Hot Water Buyers Guide