Energy efficiency has become a genuine selling point for new homes, and rebates can make it an easier one to sell. The Victorian Energy Upgrades (VEU) program is a government initiative that provides rebates and discounts on eligible energy-efficient products, including heating, cooling and hot water systems. For builders quoting spring projects, understanding how it works can add real value to a client conversation, provided the details are handled correctly.
What the VEU program covers
The VEU program is designed to encourage households and businesses to install more energy-efficient products, in turn reducing energy bills and emissions. Participants can receive rebates or discounts on a range of eligible products, and heating, cooling and hot water systems are among the categories commonly covered. Efficient Pure Plumbing is a registered participant in the VEU program, which means eligible installations through us can access these rebates.
Eligible product categories can include heat pump hot water systems, and certain efficient heating and cooling upgrades, though specific eligibility depends on the product, its efficiency rating and the circumstances of the installation. Because eligibility criteria, rebate amounts and the list of covered products change over time, always confirm current details before including a rebate figure in a client quote.
How rebates typically work
In most cases, the rebate is applied as a point-of-sale discount rather than something the client claims separately after the event, which is part of why it’s attractive to include in quotes. The installer manages the paperwork and compliance requirements on the client’s behalf as part of delivering the rebate. As a builder, that means the administrative burden generally sits with your HVAC partner rather than with you or your client, but it’s still worth understanding the basics so you can set expectations correctly.
Why this matters for spring quoting
Spring is when many clients are finalising selections for their new build, and a rebate on hot water or heating and cooling can be the difference between a client choosing a base-spec system and a more efficient upgrade. Including accurate rebate information in your quoting process, rather than a vague mention of “rebates may apply,” gives clients confidence and reduces questions later in the build.
A few practical points to keep in mind:
Confirm eligibility per product, not per project. Not every heating, cooling or hot water product qualifies, and eligibility can depend on the specific model and its energy rating.
Rebates can change. Programs like this are periodically reviewed and adjusted by government, so a rebate amount quoted six months ago may not be current. Reconfirm before finalising a client’s quote.
Don’t promise a dollar figure until it’s locked in. It’s safer to describe a rebate as “subject to eligibility and current program terms” than to commit to an exact saving that might shift before installation.
Timing matters. Some rebate programs require the rebate to be applied at the point of installation rather than retrospectively, so confirm the process with your installer before the client makes a final decision.
Where VEU fits into an all-electric build
With new homes needing planning permits now built all-electric, heat pump hot water and reverse-cycle heating and cooling have become the default specification across Victoria. That overlap between the all-electric requirement and VEU eligibility is worth explaining to clients: not only is gas no longer an option for a permitted new home, but the electric alternative may come with a rebate that makes the switch more affordable than a straight cost comparison would suggest.
A conversation worth having early
Because rebate eligibility can influence which brand or model a client chooses, it’s worth having the VEU conversation at the same time as the initial heating, cooling and hot water selection, rather than as an afterthought once a system has already been specified. Bringing your HVAC partner into early client meetings, or at least sharing the fixture and system schedule with them before quoting, means rebate-eligible options can be presented alongside standard ones from the start.
Rebates for commercial and multi-unit projects
Energy efficiency incentives aren’t limited to single dwellings. Larger developments and commercial fit-outs can sometimes access incentives for efficient HVAC upgrades as well, though the specific programs and eligibility criteria differ from residential rebates. If you’re working on a multi-unit or commercial project, ask your HVAC partner what’s currently available for that project type.
Common questions builders ask about VEU
Does the rebate reduce my cost, or the client’s? In a typical new-build scenario, the rebate is generally reflected in the price the client (or you, if the appliance is being purchased as part of the build contract) pays for the eligible product and its installation. How it’s structured contractually is worth clarifying with your installer and, where relevant, your quantity surveyor.
Can I advertise “eligible for VEU rebate” in my marketing? It’s reasonable to mention that a system may be eligible, provided you avoid stating a specific dollar figure that could be out of date by the time a client acts on it. Point them to your HVAC partner for a current, confirmed figure.
Does every heat pump or ducted system qualify? No. Eligibility depends on the specific product and its efficiency rating, not the category of product in general. Always confirm the exact model against current program requirements.
Get current rebate information for your project
Rebate programs and eligibility change, so the most reliable way to quote accurately is to ask directly. Efficient Pure Plumbing is a registered VEU participant and can confirm current eligibility for heating, cooling and hot water systems on your Ringwood, Dandenong or wider Melbourne project.
