How much is the air conditioner rebate in Victoria?
The Victorian Energy Upgrades program takes $630 to $1,610 off a reverse-cycle split system that replaces a gas room heater, and up to $5,530 off ducted reverse-cycle that replaces a ducted gas heater (22.4 kW). The old heater has to be more than 2 years old and decommissioned as part of the job (Energy Victoria, page updated 28 September 2026).
It's a discount an accredited provider takes off the invoice, not a cash rebate you claim, and you pay a minimum co-payment: $200 a split system under 10 kW, $1,000 for ducted or multi-split (Essential Services Commission). Checked 1 October 2026.
Every VEU heating and cooling discount, by what you're replacing.
| Upgrade | Discount | Condition | Source |
|---|---|---|---|
| Gas room heater → split system, 3 to 9 kW | $630 to $1,610 | Existing heater more than 2 years old, still connected, removed or decommissioned in the job | energy.vic.gov.au |
| Electric room heater (hard-wired) → split system, 3 to 9 kW | up to $840 | Same replacement conditions | energy.vic.gov.au |
| Ducted gas heater → 4 split systems (1 × 8 kW, 3 × 3 kW) | up to $2,520 | Ducted gas heater decommissioned | energy.vic.gov.au |
| Ducted gas heater → multi-split, 10 kW outdoor unit | up to $2,940 | Ducted gas heater decommissioned | energy.vic.gov.au |
| Ducted gas heater → ducted reverse-cycle, 10 kW | up to $2,520 | Ducted gas heater decommissioned | energy.vic.gov.au |
| Ducted gas heater → ducted reverse-cycle, 16 kW | up to $4,200 | Ducted gas heater decommissioned | energy.vic.gov.au |
| Ducted gas heater → ducted reverse-cycle, 22.4 kW | up to $5,530 | Ducted gas heater decommissioned | energy.vic.gov.au |
| Old ducted reverse-cycle → new ducted reverse-cycle, 10 to 22.4 kW | up to $490 to $910 | Replacing an existing reverse-cycle system | energy.vic.gov.au |
| New ducted reverse-cycle, nothing decommissioned | up to $410 | No minimum system size | energy.vic.gov.au |
These are the published maximums. The actual discount depends on the product, the size, your region and the certificate price on the day, so get it in writing as its own line on the quote.
A higher minimum co-payment for ducted systems has been proposed. As at 1 October 2026 it isn't confirmed on an official page; the amounts above are what's in force.
Who is eligible for the Victorian air conditioner discount?
- A home in Victoria with an existing gas heater (room or ducted) or electric resistance heater that's more than 2 years old and still connected.
- The old heater is removed or decommissioned as part of the job, and the provider signs that off.
- A product on the VEU approved list, installed by an accredited provider. Only they can apply the discount.
- No income test. Renters need the landlord's consent.
Split system or ducted: which gets the bigger rebate?
Ducted gets the bigger dollar figure (up to $5,530) because it replaces a whole-of-house gas heater. But a split system replacing a room heater can come in at a few hundred dollars after the $1,610 discount, which is why splits are the most common VEU job. If you have ducted gas now, compare a ducted reverse-cycle quote with a 4-split quote ($2,520); they cover the same house differently.
What is the $5,000 rule for air conditioners?
People often mean the top VEU figure for ducted, which is up to $5,530 at 22.4 kW. There's no flat $5,000 rebate in Victoria. Smaller ducted systems get less: up to $2,520 at 10 kW and $4,200 at 16 kW.
Want the figures for your address?
Five taps, no email or phone number. The next page shows the published figures for your postcode and the checks to run on any quote. If you'd like a quote, Tidy Energy, our partner installer, answers the phone.
Your postcode
The zone, the state programs and the install counts all hang off it. Nothing else about your address is asked or kept.
No email, no phone number. The figures appear on the next page, and the only thing we ask after that is whether you'd like to call.
Questions people ask.
What is the air conditioner rebate in Victoria?
A Victorian Energy Upgrades discount of $630 to $1,610 for a split system replacing a gas room heater, and up to $5,530 for ducted reverse-cycle replacing a ducted gas heater. The provider takes it off the invoice. Checked 1 October 2026.
Does my old heater have to be a certain age?
Yes, more than 2 years old and still connected, and it has to be removed or decommissioned as part of the install.
Is there a co-payment?
Yes: at least $200 a split system under 10 kW and $1,000 for ducted or multi-split systems, paid by you. A higher ducted co-payment has been proposed but isn't confirmed as at 1 October 2026.
Can pensioners get the air conditioner rebate in Victoria?
Yes. The VEU discount has no income test, so pensioners qualify on the same terms. Concession card holders may also get the Victorian energy concessions on their bills, which are separate.
Is it called a rebate or a discount?
Officially a discount: the accredited provider claims certificates and takes the value off your price. You don't apply for money afterwards.
Can renters get the air conditioner discount?
Yes, with the landlord's consent, since the heater is removed and a new system installed in the property.
Sources.
- Energy Victoria: VEU heating and cooling discounts page updated 28 September 2026
- Essential Services Commission: VEU co-payment and warranty requirements in force from 1 February 2025
Related: the upgrade order · heat pump hot water rebate · every Victorian rebate