Air Conditioner Rebate Victoria 2026: What You Can Claim

Major Benefits
If you're planning to replace your heating or cooling system, you may be eligible for an air conditioner rebate in Victoria in 2026. Under the Victorian Energy Upgrades (VEU) program, eligible households can receive a discount on an approved reverse-cycle air conditioner installed by an accredited provider. The amount depends on your existing heating system and the replacement you choose, so there isn't one fixed rebate for everyone.
The Victorian Government lists discounts of up to $1,610 for replacing a non-ducted gas heater and up to $5,530 for replacing a ducted gas heater. However, updated rules introduced on 30 September 2026 require a minimum co-payment of $3,000 for ducted systems and multi-split systems rated at 10 kW or more. This guide explains the available discounts, eligibility requirements and key rules in effect as of 15 October 2026.
Quick Summary
- The discount depends on what you replace and what you install. There is no single rebate amount for every home.
- The highest household discounts listed by the Victorian Government are up to $5,530 (ducted gas heater to a 22.4 kW ducted system) and up to $1,610 (non-ducted gas heater to a split system).
- Minimum co-payments are $200 for a single split under 10 kW, $1,000 for smaller multi-splits and larger single splits, and $3,000 for ducted systems and multi-splits of 10 kW or more.
- All Victorian households and businesses can apply, including private rentals. The product must be approved, carry a five-year warranty (homes) and replace a system that is more than 2 years old.
- An accredited provider must apply the discount before work starts. Retrospective discounts are typically not possible.
- The VEU program now runs to the end of 2045.
Table of Contents
- How the Air Conditioner Rebate in Victoria Works
- How Much Is the Rebate for Each Upgrade?
- What You Pay: Co-Payments and Capacity Rules
- Who Is Eligible for the Victorian Air Conditioning Rebate?
- Which Air Conditioners Qualify?
- How to Claim the Rebate Step by Step
- Checks Before You Accept a Quote
- About the Victorian Energy Upgrades Program
- Get a Free Assessment Before You Choose a System
- Frequently Asked Questions
The rebate comes from the Victorian Energy Upgrades (VEU) program [LINK: VEU pillar page URL to confirm]. An accredited provider installs an approved system and takes the discount off your quote.
The amount depends on the system you remove and the size and efficiency of the new one. That is why published amounts are indicative and your quote shows the figure for your home. All Victorian households are eligible, so there is no income test. If you have seen this called the victorian energy rebate 2026, it is the same program.
The victoria air conditioner rebate is applied at the point of sale, so you pay the discounted price rather than claiming money back later. Speak to an accredited provider before you buy, because retrospective discounts are typically not possible.
The table below shows the indicative maximum household discounts the Victorian Government publishes for common upgrades. Business discounts sit in a separate table on the same page.
Source: Victorian Government, Heating and cooling discounts
Read these as ceilings, not promises. The highest figures involve whole-of-home systems replacing ducted gas or central electric resistance heating. If you have seen household figures above $5,530 elsewhere, check where they come from, because the Victorian Government's household table does not list them.
Split System Rebate Victoria: Single Splits and Multi-Splits
The split system rebate Victoria households receive varies more than most people expect. A single split suits one room or an open-plan area. A multi-split connects several indoor units to one outdoor unit and is the usual way to replace ducted gas heating without ducts. The biggest single split discounts come from replacing a gas room heater, while a split added where nothing is decommissioned earns the smallest amount.
Multi-splits carry extra rules on capacity and co-payments, covered in the next section.
Every installation under this activity carries a mandatory minimum co-payment. These are the amounts set by the Essential Services Commission (ESC):
The minimum co-payment is the least you pay for the installed system after the discount. The ESC has clarified that pricing and co-payment figures cover both the product and the installation labour, so it is not an extra fee on top of your installation. Your final cost is the installed price minus the discount, and it cannot fall below the minimum for your system type. An offer of a free system does not match the mandatory minimum.
The $3,000 minimum applies to eligible installations from 30 September 2026. Any guide that still shows $1,000 for ducted systems is out of date.
Capacity rules for multi-splits: Multi-splits can still be installed up to 39 kW. From 30 September 2026 the ESC caps the capacity counted in the discount at 20 kW for residential multi-splits in certain decommissioning scenarios. A larger system still qualifies, but the extra capacity earns no extra discount.
All Victorian households and businesses can receive a heating and cooling discount. The main conditions are:
- Property: Owner-occupied homes and private rentals are both eligible. The Victorian Government recommends that landlords and tenants plan an upgrade together.
- Existing system: If you replace a heating or cooling system, it must be more than 2 years old. A hard-wired electric resistance room heater must be the main form of heating. A central electric resistance ducted heater must heat at least 100 m².
- Product: An approved, high-efficiency reverse-cycle air conditioner with a minimum five-year warranty for homes.
- Provider: An accredited provider must apply the discount, either directly or with a partner installer, and before any work starts.
Landlords should also note that from 1 March 2027, new minimum standards for rental homes apply. A space heater that breaks and cannot be repaired must be replaced with an efficient reverse-cycle air conditioner in the main living area, and efficient cooling must be in place at the start of a new lease. VEU discounts can help with that cost.
Only approved, high-efficiency reverse-cycle air conditioners qualify, meaning units that provide both heating and cooling. Ducted and non-ducted models are both eligible and there is no minimum system size. Check the model against the ESC's register of approved products, which the Victorian Government links from its program page.
Homes also need a defects warranty of at least five years. Under the ESC's warranty requirements, you should receive a copy of that warranty for the installed product.
Sizing matters as much as the brand. The Victorian Government's guide on choosing the right reverse-cycle air conditioner explains how to match capacity to your home.
You do not lodge the claim yourself. Your accredited provider does. The process looks like this:
- Contact an accredited provider before you buy: The Victorian Government strongly recommends this step.
- Get a quote with the discount shown: Comparing more than one quote helps you see the real difference between systems.
- Confirm the model and your existing system: The provider confirms which models are eligible and records the system you are replacing.
- Sign the paperwork: Your provider has you sign the required forms before installation.
- Installation: The provider or a partner installer fits the system and removes or decommissions the old one where your discount requires it. They also give you any electrical or plumbing certificates.
- Pay the discounted invoice: You pay the installed price minus the discount, never less than the minimum co-payment.
- Accreditation: Confirm the business is on the Victorian Government's list of accredited providers or partnered with one.
- The discount and co-payment in writing: The quote should show the discount applied and the minimum co-payment for your system type.
- The exact model: Confirm it is approved and ask for the five-year warranty in writing.
- System size: Ask how the provider sized the system for your home, and compare it with the Victorian Government's consumer factsheet.
- Your decommissioning scenario: Ask which existing system the discount assumes and confirm it matches what is in your home.
- Your rights: The Victorian Government explains your rights under the VEU program if you receive an unsolicited offer.
The Victorian Energy Upgrades (VEU) program gives households and businesses discounts on efficient appliances and upgrades. It is not a payment on your energy bill and it is separate from the Solar Homes Program. Parliament passed legislation on 13 May 2025 that extends the program from 2030 to 2045.
Program settings can change. The 30 September 2026 changes to co-payments and multi-split capacity are a recent example, so always check the date on any figure you read.
Rebate rules depend on your existing system and the system you choose, so the most reliable figure is one written for your home. EcoOrigin is listed as an accredited provider for aircon rebates in Victoria and has completed more than 17,500 installations.
You can get a free assessment to confirm which discount category applies, which system suits your home and the minimum co-payment you would pay. The team can also answer questions through the contact page.
1) How much is the Victorian air conditioner rebate?
It depends on what you replace and what you install. The Victorian Government lists up to $1,610 for replacing a non-ducted gas heater and up to $5,530 for replacing a ducted gas heater with a 22.4 kW ducted system. Smaller amounts apply to other upgrades, as shown in the rebate table above.
2) Who is eligible for an air conditioner rebate in Victoria?
All Victorian households and businesses can apply, including private rentals. The product must be approved, carry a five-year warranty for homes and replace a system more than 2 years old if you are replacing one. An accredited provider must apply the discount before work starts.
3) Are split systems eligible for a Victorian rebate?
Yes, when the model is approved. A single split replacing a non-ducted gas heater is listed at $630 to $1,610. Multi-splits replacing ducted gas are listed at up to $2,520 or $2,940. Multi-splits of 10 kW or more carry a $3,000 minimum co-payment and earn no discount for capacity above 20 kW.
4) Is a ducted reverse-cycle air conditioner eligible for a rebate?
Yes, when the system is approved and installed through an accredited provider. The Victorian Government lists ducted systems from 10 kW to 22.4 kW. The largest household discounts, up to $5,530 and $5,460, apply when replacing ducted gas or central electric resistance heating. A $3,000 minimum co-payment applies.
5) Is the Victorian energy rebate 2026 the same as the VEU program?
For air conditioners, yes. People searching for the Victorian energy rebate are usually looking for VEU discounts, which accredited providers apply to your quote. It is not a payment on your energy bill and it is separate from the Solar Homes Program.
6) Are there HVAC system rebates in Victoria in 2026?
Yes. The VEU program discounts approved ducted and non-ducted reverse-cycle systems for both households and businesses. Businesses have their own table of discounts on the Victorian Government's heating and cooling page. This guide covers home upgrades.
7) What should I check before accepting an air conditioner rebate quote?
Check that the provider is accredited, the quote shows the discount and minimum co-payment, the model is approved and you have the five-year warranty in writing. Also ask how the system was sized for your home. The checklist above has the full list.
