Energy-Efficient Electrification Victoria Will Change Your Next Home Renovation—Here’s How

When you think of a home renovation, chances are you picture a kitchen revamp, maybe some polished timber flooring, or even a splash of fresh colour on the walls. But if you live in Victoria, the smartest reno move you could make in 2025 has nothing to do with paint or splashbacks.

Welcome to the era of energy-efficient electrification. Backed by the Energy Efficiency Scheme VIC, the Victorian Government is giving homeowners and businesses a major incentive to switch from outdated gas systems to cleaner, electric alternatives like energy-efficient heat pumps, LED lighting, efficient heating and cooling, and more.

Let’s unpack how this scheme could completely transform not just your home, but also your energy bills, your comfort, and your carbon footprint.

What is the Energy Efficiency Scheme VIC?

The Energy Efficiency Scheme VIC, more formally known under the Victorian Energy Upgrades (VEU) program, is part of the Australian Government’s broader climate and energy strategy. It provides benefits to both households and businesses to reduce energy consumption through rebates, subsidies, and incentives for energy-efficient equipment.

As a first-home buyer in Geelong or a renovator in Ballarat, this program can help reduce your upfront installation costs for a range of energy upgrades, including heat pump hot water systems, reverse-cycle split systems, LED lights, solar panels, and more.

For Renovators in Victoria

Renovations are the perfect time to evaluate and understand your home’s performance. Instead of simply updating aesthetics, you now have the opportunity to improve energy efficiency and, at the same time, protect your home against rising energy costs.

The products you receive, backed by the Energy Efficiency Scheme VIC, are your chance to rewire the very heart of your home. Switching from gas to electric via efficient systems lets you use a single source of energy that’s easier to track, greener, and often cheaper when paired with solar.

For example:

• Swap your old gas heater for a reverse-cycle heating and cooling split system.
• Remove the gas hot water heater for a heat pump or solar water heater.
• Replace old-fashioned halogen lighting with energy-saving LEDs.

Not only do these moves help cut your electricity bills, but they also help in reducing greenhouse gas emissions, thus making your home or business more comfortable.

What You Could Be Eligible For?

The Energy Efficiency Scheme VIC offers rebates and discounts on a massive range of energy-efficient appliances and retrofits. These include:

• Efficient hot water systems (including heat pumps and solar units)
• Heating and cooling systems
• LED upgrades
• Weather sealing and insulation
• Energy monitors

Depending on the product and your situation, you could get hundreds (sometimes thousands) of dollars knocked off your upgrade cost. And if you’re part of a low-income household, you might qualify for the energy efficiency grants.

Please note: Eligibility varies depending on household income, property type, and existing infrastructure. You can contact us to get advice if you are planning upgrades.

Indigenous Communities and Traditional Owners

The government has also flagged the importance of helping traditional owners and remote communities access energy-efficient alternatives. With grant funding opportunities available, more homes in regional and Indigenous areas can now upgrade old systems and manage energy more effectively.

Electrification in these areas not only cuts emissions but also reduces reliance on costly gas delivery, creating a more sustainable energy future.

Commercial Buildings

Businesses are big players in energy use, and the Energy Efficiency Scheme VIC knows it. Through the VEU program, businesses’ energy savings are now within easier reach.

From upgrading lighting to installing energy-efficient aircon systems and industrial heat pump hot water units, there are countless ways for businesses to trim their energy costs. And let’s not forget the improved working environments and long-term ROI.

If you run a warehouse, gym, office, or food production facility, now’s the time to explore energy efficiency grants and speak to providers like us who can help you apply for a grant under the scheme.

VEEC Price Surge, and More Products

If you’ve been keeping an eye on Victoria’s energy upgrade space, you’ll know things are heating up in a good way. The Energy Efficiency Scheme VIC is rolling out broader upgrades than ever, and 2025’s shaping up to be a sweet spot for everyday Victorians chasing savings and sustainability.

First off, let’s talk about the VEEC price. These Victorian Energy Efficiency Certificates are kind of like energy gold right now. Prices have jumped over 57%, which basically means better rebates across the board. If you’ve been thinking about switching to free energy-saving products Victoria offers, like LEDs, in-home energy monitors, door seals, or efficient shower heads, this price surge makes that choice even easier.

The Victorian Energy Upgrades Program, which previously focused on swapping lights or water heaters, has now expanded into insulation top-ups and other smart home energy technologies. Yep, things like thermal upgrades and IHD energy monitors are not just for green geeks anymore; they’re becoming mainstream. Most of these are backed by energy efficiency scheme VIC grants, so it’s worth checking your energy efficiency scheme VIC eligibility (there’s even an energy efficiency scheme VIC calculator to keep it simple).

What about renters or families feeling the pinch? Let the government play its part. You don’t have to shoulder rising energy costs alone.

And while the government insulation scheme in Victoria is still in early rollout stages, getting in now could mean you’re first in line when the next round of rebates drops. Word is, insulation’s going big in 2026.

So if you’ve already ticked off your LED lighting, don’t stop there. Take a beat, explore your upgrade options, and let the current Victorian government rebates help you with it.

Not Sure Where to Start?

Before you grab a toolbelt or ring your tradie, use this starter checklist:

• Are you still using gas for hot water or heating and cooling?
• Do you know your average energy bills?
• Do you qualify for grant funding or rebates?
• Are you part of a low-income household?
• Do you already have solar?
• Have you spoken to an accredited provider?

Whether it’s your forever home or an investment property, these steps help you plan smarter and get the most from the Energy Efficiency Scheme VIC.

What You Can Electrify

Here’s a practical look at what switching to energy-efficient electrification might include:

Each of these changes boosts comfort, reduces waste, and aligns with state rebates.

What the Future Holds

As Victoria aims for net zero by 2045 (a state initiative), more funding is being funnelled into energy-efficient practices. Expect the Energy Efficiency Scheme VIC to expand in 2026 and beyond to include new technologies, more generous rebates, and streamlined access for all.

The Victorian Energy Upgrades program is already showing results, and it’s only just getting started.

Ready to Electrify?

Renovating is already overwhelming, and let’s be honest, it’s not something you do often. Either you’ve been living there for ages, or there’s a big event around the corner.

Either way, doing it right will make all your effort worthwhile. Chances are, your heat pump or aircon needs an upgrade anyway, so why not do it with the help of government rebates? You will save money and cut carbon too. Plan and get your reno checklist ready because this could be the best decision you make.

By tapping into the Energy Efficiency Scheme VIC, you’re not just getting rebates. You’re getting:

• Low energy bills
• Better comfort no matter what season
• A home that’s easier to sell or lease
• The feel-good factor of helping reduce greenhouse gas emissions

Contact Eco Foot today to find out what your home qualifies for. The electrification era is here.