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VEU activity 6 - heating and cooling upgrades 

The new rebates on heating and cooling upgrades are available from 31 May 2023. These rebates are consistent with Victorian Government's policy of supporting electrification, that is, consumers using electric heat pumps (RCAC - Reverse Cycle Air Conditioners) rather than installing or upgrading gas heaters.    

Highly efficient RCACs offer the greatest emissions reduction potential when replacing any other space heating appliances, including gas appliances. These products become even more effective over time as the efficiency of air conditioning equipment improves. 

Consumers will also benefit through energy bill savings from installing a RCAC to service both their heating and cooling needs rather than upgrading to gas appliances. Approximately 74 per cent of residential gas use is for space heating, so upgrading gas heating appliances to efficient RCACs can be an effective way of reducing both emissions and gas demand. The cost-effectiveness of electrification activities can also be increased where households have rooftop solar photovoltaic (PV) panels installed.

Implementation notes

No rebates can't be claimed as yet because the approved product list is empty. This is the early stage and some manufacturers have applied for a range of products. To see the list of available products visit VEU public register 

and select "6 - space heater and cooler" and click "Search". Change the "Status" radio button from Approved to All to see all products pending approval. 


How much rebate can I get?

The rebate depends on the brand and model of the product installed, type of the old product decommissioned, the postcode (the climate) and fluctuating certificate price. Please advise the brand/model or send us a quote from the installer and we will quote the exact amount rebate for your claim. For an estimate, register and we will send you the estimated rebates on various upgrade sizes and scenarios

What should I do

Please monitor the product list before committing to upgrade to any RCAC. If you registered you will be receiving periodic updates on progress of this activity and product approvals. To register, click here   

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