Hot Water Rebates

Rebates, grants and financial incentives are offered Australia-wide at a federal and state level for using hot water heaters which are powered by renewable energy. Calculate your eligible hot water rebate using the rebate calculator below.

Click here to view the range of rebate-eligible hot water heat pumps.


STC Rebates (Australia-wide hot water rebate)

Small-scale Technology Certificates (STCs) are an environmental type of currency which are issued after installation of water heating, solar power and any other renewable energy technology which helps to reduce greenhouse gas emissions.
Small-scale Technology Certificates prices are market-based and will fluctuate depending on supply and demand. There are a number of STC trading companies that you can compare pricing through.

Claiming STC Hot Water Rebates (STC Rebate Trading Companies):

There are several STC trading companies that you can compare pricing through. Hot water rebate pricing may vary between companies. Once you have selected a STC trading company to claim government rebates through, simply follow the process outlined on their website. This usually involves downloading the hot water rebate forms and completing them with a plumbing installation certificate. We have listed some STC rebate trader companies are below for your convenience.

System eligibility:

  • air source heat pumps
  • solar photovoltaic (PV) panels
  • wind turbines
  • hydro systems
  • solar water heaters

REC Rebate Scheme

As of January 1st 2011, there have been changes made to the existing rebate scheme (REC) that was previously in operation.
A REC from a heat pump installed before the 31st of December 2010 has been reclassified as an LREC, or Large-scale generation certificate (LGC).
A REC from heat pumps installed on or after the 1st of January 2011 has since been known as an SREC, or Small-Scale Technology Certificates (STC).

The Office of Renewable Energy Regulator has released the Update to the Register of Solar Water Heaters (Version 32). To see current STC numbers based on your postcode please visit http://ret.cleanenergyregulator.gov.au/.


VEECs Hot Water Rebates (Victoria Only)

The Victorian Government currently offers a number of hot water rebates which are dependent on the location of Victorian households and which type of hot water system is being replaced.
Hot water rebates are offered to provide domestic households additional incentives to replace their existing hot water systems with more energy efficient water heaters. The hot water rebates make purchasing and installing new hot water systems more affordable, and help households benefit from the long-term energy and cost savings these new models offer.

Claiming VEECs hot water rebates:

A VEEC is a Victorian Energy Efficiency Certificate and is awarded for installing a heat pump to replace a less-efficient electric water heater. 1 VEEC is equivalent to 1 tonne of CO2 abated by a prescribed activity. VEECs vary for metropolitan and regional installations.


Smart Energy Grants (Northern Territory Only)

The Smart Energy Grants program has now closed and no further applications can be submitted.

The Northern Territory Government previously offered grants of up to $1000 which can be used in the form of a hot water rebate. The Smart Energy Grants has a budget allocation of $4 million which equates to approximately 4,000 vouchers.

More information can be found at http://smartenergy.nt.gov.au/.


Solar Hot Water Rebates (Victoria Only)

The Solar Hot Water Rebate can provide up to $1000 to Victorians on hot water systems.

The solar hot water hot water rebate applies to installations which replace existing hot water systems that are at least three years old (from the date of purchase). Rebates for new buildings (new buildings of Class 1) are not available.

Households can only access one rebate type under the solar homes package (i.e. a household that accesses a Solar PV rebate cannot claim a solar hot water rebate and vice versa).

More information on Solar Hot Water Rebates can be found at https://www.solar.vic.gov.au/Solar-rebates/Solar-Hot-Water-Rebate.