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Published: October 2026

Discounted energy upgrades available

Landlords can make rental homes more energy efficient

The Victorian Government is offering discounts through the Victorian Energy Upgrades program to improve the energy efficiency of homes. Heating, cooling, hot water, ceiling insulation, shower head and draughtproofing discounts are available now.

These discounts make upgrades more affordable and can support landlords (rental providers) in meeting new rental minimum standards that come into effect from 1 March 2027. You can read more about these standards on our page on new minimum energy efficiency standards.

Energy efficient upgrades

Energy efficient upgrades are changes that reduce the amount of energy needed to cool or heat a home. These upgrades can make your home more comfortable all year round and lower electricity bills. Examples include replacing older heating and cooling systems with more efficient systems, installing insulation in the ceiling and sealing gaps on windows and doors.

Victorian Government discounts available

The Victorian Government is offering discounts through the Victorian Energy Upgrades program. These discounts can reduce the cost of eligible upgrades.

More information, including how to apply for the discount and eligibility criteria, can be found on the Victorian Government’s webpages Victorian Energy Upgrades products and renters, landlords and body corporate.

 

New minimum standard (from 1 March 2027)Discounts available
Energy efficient heating and coolingUp to $1610 to install or replace a non ducted gas space heater (such as a single-room heater) with an efficient reverse cycle air conditioner.

Up to $5530 to remove or replace a ducted (whole-of-home) gas heater with an efficient reverse cycle air conditioner.

Eligibility
To access the discount, landlords must have it completed by an accredited provider or a qualified tradesperson who works with a program accredited provider.
Energy efficient hot water systemUp to $630 to install heat pump hot water heaters. Additional discounts apply for solar-boosted systems.

Eligibility
To access the discount, landlords must choose an eligible hot water system upgrade, and have it completed by an accredited provider or a qualified tradesperson who works with a program accredited provider.
Ceiling insulation Up to $1482 in discounts is available to install or upgrade insulation. An additional discount applies for regional Victorian properties in cold climate zones.

Eligibility
To be eligible for the discount:
• The ceiling space must have no insulation or be under insulated (this is measured by being below R2.0)
• Landlords must contribute at least $200 (including GST)
• Landlords must use approved insulation and an accredited provider or eligible tradesperson who works with a program accredited provider

Homes that have unsafe lighting or wiring are not eligible for a discount until any hazards are fixed.
Water efficient shower headsUp to $70 per shower head when replacing an inefficient shower head with a water-saving type.

Eligibility
To be eligible for the discount, landlords must:
• Be replacing an existing shower head that has a flow rate greater than 9 litres per minute, or be rated below 3 stars
• Use an accredited provider or qualified tradesperson who works with a program accredited provider, including for the removal and disposal of the old shower head
Draughtproofing (weather sealing)The discount can be used for installing seals on windows, doors, chimneys or vents and replacing or modifying a ceiling or wall exhaust fan. The discount depends on the type of house and level of upgrades.

Eligibility
To be eligible for the discount, landlords must use an accredited installer or a qualified tradesperson who works with a program accredited provider. Some gas-heated appliances are excluded from the discount, such as flueless gas heaters installed in chimneys.

Encourage your landlord to make energy upgrades

Tenants Victoria has created a letter template to help you ask your landlord to make energy upgrades to your home while these discounts are available. Download our letter to help you ask the landlord to make energy efficiency upgrades.

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