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With rising energy costs and a growing focus on sustainability, many Australian households are switching to more energy-efficient solutions, such as heat pump hot water systems. If you’re considering making the switch, there’s good news—generous rebates are available across the country to help make your upgrade more affordable.
In this guide, we break down everything you need to know about the heat pump rebate in Australia, how to qualify, and the benefits for homeowners in different states, including NSW and Victoria.
Heat pump hot water units are one of the most energy-efficient ways to heat water in your home. Instead of using electricity to directly heat water, these systems extract heat from the surrounding air and use it to warm your water, using up to 70% less electricity than traditional electric systems.
That means lower power bills, fewer carbon emissions, and a more environmentally friendly way to keep your showers hot.
The heat pump rebate in Australia is a government-backed incentive aimed at encouraging homeowners to install energy-efficient hot water systems. The rebates are available under various state and federal schemes, and can significantly reduce the upfront cost of purchasing and installing a new system.
These rebates can come in the form of:
The heat pump hot water government rebate is largely supported by the Small-scale Renewable Energy Scheme (SRES) at the federal level, which provides Small-scale Technology Certificates (STCs) to eligible systems.
STCs can then be sold to help offset the installation cost. On top of this, several states offer their rebates to further sweeten the deal.
If you’re based in New South Wales, you may be eligible for the heat pump hot water rebate under the Energy Savings Scheme (ESS). This program is designed to help NSW households reduce energy usage and greenhouse gas emissions.
Eligibility may include:
Rebate amounts vary but can often cover a large portion of the unit and installation cost.
Victorian households are also in luck. The heat pump rebate in Victoria is part of the Victorian Energy Upgrades (VEU) program and is supported by Solar Victoria’s hot water rebate.
Under this scheme, homeowners ensure that your installer is offering you a powerbay system and that you are receiving the maximum rebate available
To qualify, you typically need to:
Combined with federal STCs, these rebates can make a new heat pump incredibly affordable.
Whether you’re applying for the heat pump hot water rebate NSW or the heat pump rebate in Victoria, we’ll ensure your installation is compliant and that you get the rebate you’re entitled to.
In Queensland, the heat pump hot water government rebate is currently available through the federal SRES scheme, which provides STCs to reduce installation costs. While Queensland does not offer a specific state-level rebate at this time, homeowners can still benefit from national incentives under the heat pump rebate in Australia program.
Powerbay supplies best heat pumps in Australia, carefully selected for performance, reliability, and energy efficiency. Our systems are fully approved for government rebates and suited to Australian conditions, so you get the best value and long-term savings.
Eligibility for the heat pump rebate in Australia generally includes:
To qualify for rebates like the heat pump hot water rebate NSW or the heat pump hot water rebate VIC, check with a certified provider such as PowerBay.