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Heating and cooling discounts

Father and child looking at air conditioning unit

Key takeaways

If you live in Victoria, and you’d like to switch to reverse cycle heating and cooling (ducted or wall-mounted), you may be eligible for up to $1,610 off upfront costs under the Victorian Energy Upgrades (VEU) program. And if you’re removing or replacing an existing ducted gas heater, a further discount of up to $5,530 is also available.

Here’s what you need to know:

  • Eligibility criteria apply to heating and cooling discounts (covered in this article).
  • The discount is offered on VEU-approved, high-efficiency products with a minimum warranty of five years, ordered through VEU-accredited installers. They’ll include the discount in your quote and manage all the paperwork for you.
  • SEC-endorsed installers are either VEU-accredited or they partner with accredited providers.

About the discount

The Victorian Energy Upgrades program offers discounts on specified energy-efficient appliances for heating and cooling your home, to help Victorians lower their bills.

Discount amount

The discount for efficient, reverse cycle (split) heating and cooling systems varies, but can be up to $1,610 off upfront costs with a further discount of up to $5,530 available when you remove or replace an existing ducted gas system.

To get a discount, you’ll need to meet eligibility criteria. You’ll also need to order an approved appliance from a VEU-accredited installer (or qualified installer who works with an accredited provider). Your SEC-endorsed installer will confirm your discount amount if you’re eligible, and will include the discount in your quote and bill.

It’s worth noting note that government discounts can change. Visit Victorian Energy Upgrades program for homes for the latest information.

Eligibility criteria

General info

To be eligible for the VEU discount, you need to:

  • be a Victorian household or business
  • install a high-efficiency, ducted or non-ducted reverse cycle air conditioner that’s capable of heating and cooling
  • install a VEU-approved product that has a minimum 5-year warranty (see Approved product list, below).

If replacing an existing heating or cooling system

If you’re replacing an existing heating or cooling system with an efficient, reverse cycle heating and cooling system, the property must be more than 2 years old.

If you live in a private rental property

If you live in a private rental property, you may be eligible to receive a discount on a heating and cooling system. We recommend that landlords and tenants work together when carrying out any upgrades.

Approved product list

The Essential Services Commission website publishes a list of approved products. Select ‘6(23) - Space heater and cooler – High efficiency air conditioner’ from the menu and click 'Search'.

VEU-accredited installer list

Only VEU-accredited providers or qualified tradespeople who partner with accredited providers can manage the discount for you. All SEC-endorsed installers are either VEU-accredited or they partner with an accredited provider.

The Essential Services Commission website publishes a list of VEU-accredited installers.