The Victorian Government is investing $797 million to help Victorians reduce cost of their power bills and make homes more energy efficient.

This includes the biggest household energy efficiency package in any state’s history in Australia, creating thousands of jobs, while also reducing greenhouse gas emissions.

Announced in the Victorian Budget 2020/21

  • $335 million to deliver new high efficiency heating and cooling systems for low income households
  • $112 million for energy upgrades of social housing properties
  • $128 million for one-off  $250 Power Saving Bonus payments to help concession card holders with their bills

The Victorian Energy Upgrades program is also being expanded so that all Victorian households can continue to access discounted energy efficient products and services that will help save money on bills, including for emerging energy saving technologies.

The government is also introducing minimum efficiency standards for rental properties, benefitting renters living in around 350,000 homes, and working to establish 7-star efficiency standards for new homes.

This package will create jobs, lower energy bills, increase Victoria’s renewable energy supply and improve the living standards of vulnerable households – ensuring that no Victorians are left behind in the state’s energy transition.

Victoria's Household Energy Savings Package

The Victorian Government is investing $335.5 million over 4 years to provide efficient, lower cost heating and cooling for 250,000 low income and vulnerable households.

The program will be available to low income and vulnerable households, such as concession card holders, and targeted to ensure the program helps those who need it most. By upgrading heating and cooling, households will save between $300 to $900 on energy bills each year.

Further information will be available early in 2021.

To learn more, and to register your interest in receiving future information about the program, please visit

The Victorian Government is investing $112 million to improve the energy efficiency of 35,000 social housing properties. This includes grants for community housing providers.

The upgrades will include insulation and draught sealing and installing energy efficient appliances, such as heating and hot water systems, to save on bills and make homes more comfortable.

The government will work closely with community housing providers to identify eligible properties and deliver the upgrades.

The program will be led by the Department of Health and Human Services and will commence in early 2021.

The Victorian Government has announced a one-off $250 Power Saving Bonus to help eligible households with their energy bills.

From 1 February 2021, payments will be available to households with at least one resident receiving payments under an eligible concession program, including Centrelink or The Department of Veterans’ Affairs (DVA) Pensioner Concession, JobSeeker, Youth Allowance, Abstudy, or Austudy, or holds a DVA Gold Card.

Payments are limited to one per eligible household.

For more information, including how to apply once available, visit the Victorian Energy Compare website.

The Victorian Government is investing $14 million to expand the existing Victorian Energy Upgrades program. This will support more households, and businesses, to access discounted energy-efficient products and services to save on bills and reduce emissions.

New and expanded activities will make it easier for households to access incentives for major appliance upgrades such as space heating and water heating, and to install smart appliances and replace gas appliances with efficient electric alternatives.

Households that participate in the Victorian Energy Upgrades program save an average of $110 on their annual energy bills.

To find out more about the program and find an accredited provider in your area, go to the Victorian Energy Upgrades page.

The Victorian Government is investing $5.9 million to introduce a new 7-star energy efficiency standard for new homes, delivering more comfortable homes with lower running costs while reducing energy demand and emissions.

This builds on the government’s current 6-star standard for homes by extending energy efficiency standards to major fixed appliances, such as heater cooling, hot water systems and lighting.

Victoria will work with other jurisdictions to make changes to the National Construction Code to introduce the new standards in late 2022. The government will also work with builders and developers to help them upskill in preparation for these new national standards.

Further information on the timing of the new standards will be available in 2021.

New minimum energy efficiency standards will also be introduced for rental properties that will reduce costs and improve comfort for residents. This includes improving standards for heating, ceiling insulation and hot water systems.

The new standards are expected to benefit Victorian renters living in around 350,000 older properties who currently struggle with high energy costs and homes that are hard to keep warm or cool.

Further information on the timing of the new standards will be available in 2021.

The Victorian Government is investing $191 million to expand the Solar Homes program, helping more Victorians to get the benefits of solar.

This includes more rebates for household rooftop panels and solar batteries, and new rebates for small businesses to install rooftop panels.

For more information on the Solar Homes Program, visit the Solar Victoria website.

Page last updated: 01/02/22