Split System Air-Conditioner Rebate For Victorians

Reduce your annual air-conditioning bill by $400 to $800

Heating, ventilation and air conditioning (HVAC) is responsible for 59 percent of the total energy usage in Victorian homes. On average, homeowners in Victoria spend $800 annually on space heating, which represents over 33 percent of their total energy bills.

Replacing old and efficient air conditioning units with reverse cycle based split system air conditioners can slash the energy bills on heating and cooling by over 80 percent.

This substantial reduction in energy consumption has become increasingly achievable due to huge rebates offered on split system air conditioners under the Victorian Energy Upgrades (VEU) program.

Victorian Energy Upgrades (VEU) program

The rapid uptake of energy-efficient appliances, such as split system aircons, has led to a 2.8% reduction in total residential energy consumption in Victoria between 2006 and 2020.

This reduction occurred despite a 2.8 percent increase in the Victorian population and a 26.8 percent increase in occupied residential buildings during the same period.

The reduction was made possible due to uptake of energy-efficiency upgrades under the VEU, the flagship scheme of the Victorian government.

VEU scheme is governed by Victorian Energy Efficiency Target Act (VEET), 2007. The act came into effect on 1 January 2009. The VEU program aims to:

Reduce greenhouse gas emissions from Victorian households and businesses by providing discounted energy-efficiency appliances and equipment upgrades.
Help Victorian in saving money on energy bills
Promote development of energy-efficient technologies, generate employment and investment in energy efficiency market.
Assist in meeting the state’s climate action targets of reducing greenhouse gas emissions (compared to 2005 levels) by 28-33 percent by 2025, 45-50 percent by 2030, 75-80 percent by 2035, and achieving net-zero emissions by 2045.

Split System Air Conditioners Under VEU Rebate Scheme

Reverse cycle split and multi-split air conditioners fall under Activity 6 (Installing a high efficiency air-conditioner). VEU is a voluntary scheme in which interested Victorian homeowners and businesses reach out to a VEU accredited business (installer) for Split system air-conditioner upgrades.

The accredited business will assess your eligibility criteria and offer a discounted split system air conditioner. The discounts are calculated and deducted from the retail prices of the split system air conditioners. Here are the factors that determine the applicable rebates and financial incentives:

The price of VEEC (Victorian Energy Efficiency Certificates) energy certificate price at the time of installation.
Location of the installation (how far your home/business location is from the office address of the accredited installer)?
Installation and labour costs.
Administrative costs incurred during rebate processing.
The specific split system air conditioner unit selected.
Number of indoor units installed

Which Split System Air Conditioner Are Eligible For VEU Rebates?

Currently, over 550 split system air conditioners from manufactures such as Carrier, Daikin, Emerald Energy, Fujitsu, Haier, Midea, Mitsubishi and Toshiba are listed under approved category of VEU program product registry maintained by ESC (Essential Services Commission).

A split system air conditioner is eligible for the Victoria government rebates under VEU program, if:

It is listed in the VEU program product registry.
It complies with the requirement of Greenhouse and Energy Minimum Standards (GEMS) Determination 2019.
It meets performance requirements of VEU program.
In case of multi-split systems installation, indoor units must be from the same original equipment manufacturer (OEM) as the outdoor unit.
Global warming potential (GWP) of its refrigerant is less than 700.

Who Are Eligible For Aircon Rebate in Victoria?

Homeowners and businesses in Victoria are entitled to a rebate of up to $9000 for a split-system air conditioning system upgrade carried out under the VEU program. To qualify for this rebate, the following eligibility conditions must be met:

The building construction must have been completed more than two years prior to the upgrade.
The property must be located within the Victoria state
The old HVAC unit must be connected to the building electrical circuit.

Rebates are also available to renters; however, they must negotiate terms with their property owners before proceeding with an air conditioning upgrade. Additionally, the applicants must meet the following conditions to qualify for the rebates:

The decommission of existing air conditioner must comply with the VEET act regulation and VEU program specifications.
The split system air conditioner should be installed in accordance with VEET (Victorian Energy Efficiency Target) act regulations and VEU program specifications.
The upgrade activity should meet provisions of the Australian Consumer Law (ACL), the Electricity Safety Act 1998, Gas Safety Act 1997, Occupational Health and Safety Act (OHSA), 2004 and the Building Act 1993.
Plumbing work must be undertaken by a Victorian Building Authority (VBA) licensed/registered plumber.
Electrical work must be conducted by an Energy Safe Victoria licensed electrician.
Any activity involving the handling of refrigerants must be carried out by a professional holding the refrigerant handling licence issued by the Australian Refrigeration Council (ARC).

In addition to the above conditions, the plumbers carrying out the split and multi split air conditioning unit upgrades must understand and comply with the relevant AS/NZS standards and best practices of decommissioning of old water heaters and replacing them with new split/multi split air conditioners.

They are also required to get familiar with Air Conditioning Residential Best Practice Guideline of the Australian Institute of Refrigeration, Air conditioning and Heating (AIRAH) and AS/NZS 5141:2018 standard. The standard specifies requirements for installation, commissioning, and maintenance of residential air conditioning units.

Advantages Of Split System Air Conditioner Upgrade

Reverse cycle split system air conditioning units are the go-to choice for homeowners and businesses who are looking to cut back on their energy usage on space heating and cooling. Here are the advantages they offer over the traditional air conditioning systems:

The energy efficiency ratio (EER) of reverse cycle air conditioners ranges from 3 to 6 — they are three to six times more energy efficient than conventional air conditioners. This higher energy-efficiency translates into huge savings. Average annual running cost of ducted ACs in a Victoria household is $600 to $1,200. The homeowner can achieve an annual savings of over $400 to $800 if the ducted ACs are replaced with split system air conditioners.
Lower running and maintenance costs
Lower carbon emissions
Better indoor air quality
Multi-split AC systems allow the user to set different temperatures in different rooms or zones, allowing flexibility in heating or cooling only where it is needed and reducing the energy waste.
Faster cooling or heating compared to traditional HVAC units.
Increase in property value

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BENEFITS FOR HOMEOWNERS

Energy Cost Reduction:

Our air conditioners are designed for maximum energy efficiency, meaning they require less power to cool your home. This translates into significantly lower utility bills, providing financial relief in the long term.

With advanced features like programmable thermostats and energy-saving modes, our air conditioners optimise cooling, ensuring you use energy smartly and economically.

Eco-Friendly Living:

By using air conditioners that harness renewable energy and boast high efficiency, you contribute to a reduction in carbon emissions, playing a vital role in combating climate change.

Our commitment to eco-friendly solutions extends to the materials and processes used in manufacturing our air conditioners, ensuring that you are investing in a product that aligns with a sustainable lifestyle.

Comfort and Quality:

Experience an evenly cooled home environment, no matter the outside temperatures. Our air conditioners are engineered to provide stable and consistent cooling, ensuring your comfort in all seasons.

Beyond just cooling, our units improve indoor air quality, filtering out pollutants and allergens, which is especially beneficial for households with children, elderly, or those with respiratory issues.

Designed for peaceful living, our air conditioners operate quietly, ensuring that your home remains a tranquil space without the disruption of noisy cooling equipment.