Heat Pump Rebate In Victoria

What is the Victoria Heat Pump Rebate?

The Victorian Energy Upgrades (VEU) program offers rebates of up to $3,000 to switch from gas or electric resistance hot water systems to energy-efficient heat pump hot water units  Additionally, households opting for Australian-made units may receive an extra $400 on top of their rebate 

Customer Benefits

Significant Upfront Discount

  • Up to $3,000 from VEU, plus $400 bonus for Australian-made systems 
  • Combined with Victorian Solar Homes rebates, total savings can reach $2,600–$2,000+

Lower Energy Bills

  • Heat pumps are 2–3 times more efficient than conventional hot water systems, translating to ongoing bill savings 
  • Households can save approximately $330 annually by switching from gas

Improved Comfort & Technology

  • Heat pumps deliver reliable, quiet hot water with modern features, enhancing user experience 
  • Long operational life (~15–20 years) ensures durable performance .

Environmental BENEFITS OF HEAT PUMPS:

Significantly lower greenhouse emissions

➔ Heat pumps typically emit 45–80 % less CO₂ than gas-powered systems, especially in regions with clean electricity 

Supports Victoria’s climate targets

➔ Each installation contributes to reducing the state’s overall emissions under the VEU program

Financial & Energy Savings

Total Savings

Combining VEU rebates, Solar Homes incentives, and the local bonus can reduce system costs by over $2,600

Lower running costs

With 2–3× efficiency gains, day-to-day water heating expenses drop dramatically .

Longer lifespan & value

A heat pump lasts ~15–20 years, making it a wise long-term investment

How to qualify

Eligibility

Must install an approved heat pump water system by a VEU-accredited provider

Property & system age

Must be owner-occupied, property under $3 M value, combined income under $210 K, and the replaced system must be older than 3 years 

Warranty

Heat pump units must include a minimum 5‑year warranty

How It Works

1. Contact us

Contact a VEU‑accredited installer.

2. Confirm eligibity

Confirm system eligibility via the VEU product list.

3. Submit for Rebates

Installer submits for rebates (VEU + Solar Homes + bonus).

4. System Installed

System installed and decommission old unit.

5. Project ends

Enjoy reduced costs and better performance.

Installing a VEU‑rebated heat pump hot water system offers triple benefits: upfront cost reductions, ongoing energy savings, and a positive environmental impact. With rebates reaching up to $3,400 and estimated annual savings, it’s a smart, sustainable upgrade for Victorian homeowners.

electrician from GES Electrical