Victorian Energy Upgrades rebates for heating and cooling
Upgrade an old gas heater or inefficient air conditioner and have the Victorian Government discount taken off your invoice. We check eligibility and do the paperwork.
What VEU is, in three sentences
Victorian Energy Upgrades is a Victorian Government program that pays for energy-saving upgrades through certificates created when an accredited provider installs eligible equipment. The household doesn't apply for anything: the discount appears as a line on the quote. Rules and amounts change through the year, so we confirm your figure at quote time rather than publish a number that may be out of date.
Information current as of October 2026. To write: name the accredited provider and confirm current discount ranges
How it works with us
- Free assessmentWe look at what you have and how you use the house.
- Eligibility confirmedThrough our accredited provider, with the discount shown on your quote.
- InstallUsually one to two days, old system removed and disposed of.
- Discount appliedOff your invoice. Nothing to claim afterwards.
Eligible upgrades we install
| What you have now | What it can become | Discount | Service page |
|---|---|---|---|
| Ducted gas heating | Ducted reverse cycle | Largest discounts in the program; confirmed at quote | Ducted heating replacement |
| Gas wall or space heater | Split system reverse cycle | Confirmed at quote | Split system installation |
| Old electric heater or no heating | Split system reverse cycle | Confirmed at quote | Split system installation |
| Old reverse cycle, low efficiency | New high-efficiency reverse cycle | Depends on the efficiency gain | Ducted installation |
What it costs you
A household co-payment applies to most heating and cooling upgrades, and the discount can't cover extras like electrical upgrades or extended ducting. Everything is itemised on the quote so you can see the discount, the co-payment and the total before you decide.
Why replace gas now
Victorian gas prices have risen faster than electricity, new homes can no longer connect to gas, and a modern reverse cycle system puts out three to four units of heat for every unit of electricity it uses. For most Melbourne homes with a heater over 15 years old, the reverse cycle system costs less to run from the first winter, cools in summer too, and removes the carbon monoxide risk entirely.
Check your eligibility
VEU questions
I'm renting. Can I get the rebate?
The upgrade needs the property owner's consent, but the rebate applies to the property, not the person. Many landlords agree once they see the running-cost difference.
I live in an apartment.
Split system replacements in apartments are eligible; the body corporate needs to approve the outdoor unit location, as with any install.
Can I keep my gas heater as a backup?
Usually not. Most gas-to-electric upgrades require the old gas heater to be decommissioned; that's part of what makes the discount available.
Does it stack with other rebates?
VEU is separate from Solar Victoria programs; some households are eligible for both. We'll tell you what applies.
What if I have solar?
Even better. A reverse cycle system running on your own solar during the day is about as cheap as heating gets in Melbourne.
How much is it, exactly?
It depends on what you're replacing, what with, and the current certificate price. We confirm the figure with our accredited provider at quote time and it's shown as a line on your quote.
Find out what your upgrade would cost
Free on-site assessment, both quotes side by side, rebate shown as a line item.