Minister for Energy and Resources Lily D’Ambrosio has announced Solar Victoria customers that choose an Australian-made hot water system will get an extra $400 on their rebate – making it cheaper to install quality local products while supporting local jobs.
From 1 July, households that choose an eligible hot water system made in Australia will receive a higher rebate of $1,400. The $1,000 rebate is still available for customers that choose to install other hot water systems.
This is backed by a $29.7 million investment in the Victorian Budget 2025/26 to help more Victorian households lower their energy bills by installing electric appliances in their homes.
Installing a heat pump hot water system alone can save a household up to $330 a year on electricity bills, accounting for as much as 30 per cent of total energy use – making them one of the largest contributors to energy consumption in the home.
Heat pumps are the most popular part of the Solar Home Program, which experienced a 151 percent increase in the number of installations on the previous year.
Customers still have a choice when deciding which product is right for their home, while ensuring Australian businesses and workers benefit from the Labor Government’s investment in hot water rebates.
Solar Victoria will consult with industry and unions ahead of its 1 July implementation, including developing the requirements to demonstrate local content.
This investment builds on over 400,000 rebates and loans approved as part of the Solar Victoria program since 2018. This led to the installation of more than 310,000 rooftop solar systems on Victorian homes – generating a total of 2.3 gigawatts of power capacity.
Victoria is home to a $39.2 billion manufacturing sector supporting more than 275,000 jobs – playing a vital role in driving the state’s economic growth and resilience.
“We’re on the side of Victorians – helping families cut energy costs and take back control of their bills.” D’Ambrosio said. “We know there is a strong history of locally manufactured hot water products. We want to make sure local jobs are supported and that money spent in Victoria stays in Victoria.”
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