Victorian Government Heating & Cooling Rebate 2026: Eligibility, Discounts & How to Apply

Table of Contents

1. What is the Victorian Government heating and cooling rebate?
2. How much will I actually pay?
3. How much can I save?
4. Who is eligible?
5. Which systems qualify?
6. Can I get a discount for replacing my gas heater?
7. Can renters get this discount?
8. How to apply
9. How to check if a product is VEU-approved
10. Common mistakes to avoid
11. Why work with EcoOrigin
12. FAQs

The Victorian Energy Upgrades (VEU) program is a government rebate on heating and cooling run by the Victorian Government to help households and businesses save on energy costs by discounting the price of energy-efficient upgrades, including reverse-cycle heating and cooling systems.

Rather than a cash-back rebate you claim after the fact, the discount is applied upfront by an accredited provider. It's built into your quote before you pay anything. Accredited providers generate tradable certificates for each eligible upgrade, and that certificate value is what funds your heating and cooling rebate.

People commonly search for this as the air conditioning rebate or the Vic heating and cooling rebate. You'll see us use those terms throughout this guide too, since that's how most people look for it, but technically it's a VEU discount administered through accredited providers rather than a direct government payment.

This is usually the more useful question than "what's the rebate", so we're putting it early.

Every VEU heating and cooling upgrade carries a mandatory minimum customer contribution. The program is designed so installs are heavily discounted, not free.

Note for later in 2026: the minimum contribution for ducted systems and multi-split systems of 10kW or more is scheduled to rise to $3,000 from 30 September 2026. If you're planning a ducted upgrade, it's worth getting a quote and locking in before that date. We'll keep this figure current as the change takes effect.

Your final price also depends on installation complexity, the system you choose and your provider's fees, so treat the discount and minimum contribution as the starting point for your quote, not the final number.

Here's a simplified view of what a heating cooling rebate could look like depending on what you're replacing:

The exact figure depends on your specific system size, capacity and the VEU requirements in place at the time of your quote. Discount amounts can move with the certificate market, so always confirm the current number with your provider rather than relying on a figure from an old article, including this one (check the "last reviewed" date above).

Victorian households and businesses can access this government rebate on heating and cooling, provided the specific upgrade, product and installation requirements are met. In practice, that means:

1. You're replacing an existing heating or cooling system that's more than two years old (new installations with no existing system attract a smaller discount)
2. You install a VEU-approved, high-efficiency reverse-cycle system with a minimum 5-year warranty
3. The install is carried out by a VEU-accredited provider
4. Your property is in Victoria

Private rental properties are also eligible. See the renters section below.

This page focuses on residential and small-scale upgrades. If you're a business exploring larger commercial systems including VRF, our commercial VEU rebate guide covers eligibility and incentives for that separately. The requirements and figures are different from the residential program above.

Yes, and this is where the biggest heating and cooling rebate in the program sits. Replacing a ducted gas heater with an efficient ducted reverse-cycle system currently attracts a discount of up to $5,530, plus the program estimates energy bill savings of up to roughly $1,140 a year from making the switch.

This is deliberately the largest incentive in the program because switching a whole-home gas heater to reverse-cycle delivers the biggest efficiency and emissions gain.

Yes. Private rental properties are eligible for this government rebate on heating and cooling. Since the system belongs to the property, the Victorian Government recommends landlords and tenants work together when planning an upgrade. The landlord typically needs to be involved in approving the installation, even though tenants can raise the option.

1. Check your existing heating system: Confirm what you currently have and its approximate age.
2. Confirm your property is eligible: Victorian address, existing system more than two years old for the higher discount tier.
3. Choose an approved system: Your provider can guide you to products on the VEU-approved product list.
4. Get a quote showing the discount applied: A genuine VEU-accredited provider builds the discount into your quote before you pay, not as a rebate afterward.
5. Confirm your provider is VEU-accredited: Ask directly, or check the Essential Services Commission's list of accredited providers.
6. Installation: Your chosen system is installed by the accredited provider or their approved installer.
7. Paperwork: The accredited provider handles the VEU certificate paperwork. You shouldn't need to submit anything to the government yourself.

Not every air conditioner qualifies for the air conditioning rebate. Before you commit to a system:

1. Ask your provider to confirm the exact model is on the VEU approved product list
2. Check that it carries a minimum 5-year warranty
3. Get the discount amount in writing on your quote before installation, not as a verbal estimate

If a system isn't on the approved list, it simply won't attract the discount. This is one of the most common and most expensive mistakes homeowners make.

1. Not checking your provider is VEU-accredited: You can only claim the discount through an accredited provider. Going through an unaccredited installer means no discount, even if the system itself is efficient.
2. Assuming any efficient-looking system qualifies: It needs to be on the approved product list specifically, not just efficient in general terms.
3. Missing paperwork or proof: ID, proof of property ownership or tenancy and energy bills are sometimes required. Incomplete documentation can delay or void your discount.
4. Forgetting the property age rule: For the replacement discount tier, the property generally needs to be more than two years old.
5. Treating an old article's dollar figures as current: Discount amounts and minimum contributions have changed more than once in the past year. Always confirm the live figure with your provider or the government site.

1. 30,000+ household upgrades completed
2. 17,500+ business installations completed
3. VEU-accredited provider
4. Free site assessment before you commit to anything
5. We handle the VEU certificate paperwork for you

Want to know exactly what you'd pay? Check your eligibility and get a no-obligation quote showing your current air conditioning rebate. Get in Touch with us.

1) Is there a Victorian Government air conditioner rebate in 2026? 

Yes. Through the Victorian Energy Upgrades program, eligible households can get an upfront air conditioning rebate of up to $1,610 for a non-ducted replacement or up to $5,530 for a ducted gas heater replacement, plus a mandatory minimum contribution.

2) How much is the vic heating and cooling rebate? 

Up to $1,610 for eligible non-ducted upgrades and up to $5,530 for eligible ducted gas heater replacements, depending on your system and current program settings.

3) Who is eligible for this government rebate on heating and cooling? 

Victorian households and businesses replacing an eligible existing system, generally more than two years old, with a VEU-approved reverse-cycle system installed by an accredited provider.

4) Can renters get the heating cooling rebate? 

Yes, private rental properties are eligible, though landlords and tenants typically need to coordinate on the installation.

5) What air conditioners qualify for the rebate? 

Reverse-cycle split systems, multi-split systems and ducted reverse-cycle systems that appear on the VEU approved product list with a minimum 5-year warranty.

6) How much do I have to pay after the discount? 

A mandatory minimum contribution applies. Currently $200 for small non-ducted systems and $1,000 for ducted or multi-split systems, rising to $3,000 for ducted or 10kW+ multi-split systems from 30 September 2026, plus any additional installation costs.

7) Can I get a discount for replacing ducted gas heating? 

Yes. This attracts the largest discount in the program, up to $5,530, because it delivers the biggest efficiency gain.

8) Are government rebates for heating and cooling systems available to businesses?

Yes, though commercial eligibility, system types including VRF and discount structures differ from the residential program covered on this page.

9) What happens if my air conditioner isn't on the approved product list? 

It won't attract the discount, regardless of how efficient it is. Always confirm the specific model with your provider before installing.

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