Heating + cooling
Reverse-cycle options
Assess a correctly sized system that may provide efficient heating and cooling from one appliance.
Victorian rental providers
Plan ahead for Victoria’s rental energy standards
New minimum energy efficiency standards begin in phases from 1 March 2027. All Electric Homes helps rental providers assess heating, cooling, hot water and electrical readiness, then plan practical upgrades around the property and tenancy.
Property-specific assessment
Integrated electrical, plumbing and HVAC trades
Rebate-aware upgrade planning
Clear, scoped quote pathway
1 Mar 2027
New standards begin in phases
6 areas
Covered by the energy reforms
1 Jul 2030
Cooling required across all rentals
VEU
Discounts may reduce upgrade costs
What rental providers need to know
The right upgrade depends on the system, the trigger and the property
Victoria’s existing rental minimum standards already apply. Rental providers and agents must make sure a property meets those standards when it is advertised or offered for rent. The new energy efficiency requirements add phased rules for heating, cooling, hot water, shower heads, ceiling insulation and draughtproofing.
Not every requirement starts on the same day or applies in the same way. Some are triggered when equipment fails beyond repair; others apply at the start of a new rental agreement or when an agreement becomes month-to-month. Exemptions may also apply to some properties.
An early site assessment can identify electrical capacity, equipment condition and installation constraints before a breakdown or tenancy change creates urgency.
Standards at a glance
Key dates and common triggers
This summary is a planning guide. Check the current Consumer Affairs Victoria requirements, technical specifications and exemptions for your property before arranging work.
| Area | From | Common trigger and requirement |
|---|---|---|
| Heating | 1 March 2027 | When an existing fixed heater fails and cannot be repaired, it must be replaced with an energy-efficient fixed electric heating system with an outlet in the main living area. Existing heating minimum standards continue to apply now. |
| Cooling | 1 March 2027 1 July 2030 |
From March 2027, efficient fixed cooling in the main living area is required at the start of a new rental agreement, when an agreement becomes month-to-month, or when an existing fixed cooling system fails and cannot be repaired. From July 2030, all rental properties must meet the cooling standard. |
| Hot water | 1 March 2027 | When an existing hot water system permanently fails and cannot be repaired, it must generally be replaced with an eligible heat pump water heater or electric-boosted solar water heater. |
| Shower heads | 1 March 2027 | At the start of a new rental agreement, or when an agreement becomes month-to-month, shower heads must generally have a minimum 4-star WELS rating. |
| Ceiling insulation | 1 March 2027 | At the start of a new rental agreement, or when an agreement becomes month-to-month, ceiling spaces with no insulation must generally receive R5.0 insulation installed by a qualified installer. An electrical safety checklist must be completed, with identified electrical issues addressed by a licensed electrician, within 30 days before installation. |
| Draughtproofing | 1 July 2027 | At the start of a new rental agreement, or when an agreement becomes month-to-month, external doors, windows and unsealed wall vents must generally be draughtproofed. If the property has gas appliances, a licensed plumber must complete a gas safety check less than six months before the work; identified unflued or open-flued appliances can prevent draughtproofing from proceeding. |
A reverse-cycle air conditioner may satisfy both the heating and cooling standards when the system, energy rating, climate-area rating and installation location meet the relevant requirements.
Upgrade planning
Focus first on the systems that need to work together
A coordinated assessment helps avoid selecting equipment before checking the electrical supply, switchboard, space, access and installation constraints.
Hot water
Heat pump planning
Review system location, household demand, noise, drainage, electrical supply and current product eligibility.
Electrical
Switchboard readiness
Check circuit protection, available capacity and any electrical work needed to support new equipment.
Whole property
Stage the work sensibly
Prioritise existing obligations, likely failure points, tenancy triggers and upgrades that can be combined.
Our process
From property details to a clear upgrade pathway
Start with the existing equipment and the next likely trigger. We will help turn that information into a practical, property-specific scope.
Tell us about the property
Share the address, tenancy status, existing systems and any known issues or planned replacement dates.
Assess the site
We review equipment, access, electrical capacity, installation constraints and suitable upgrade options.
Receive a scoped quote
Your proposal sets out the recommended work, inclusions, exclusions and any available discount pathway.
Install and hand over
Licensed trades complete the agreed work and explain system operation, servicing and warranty details.
Common questions
Victorian rental energy standards FAQ
The new minimum energy efficiency standards begin in phases from 1 March 2027. Draughtproofing begins from 1 July 2027 for relevant tenancy triggers, and the cooling standard applies to all Victorian rental properties from 1 July 2030. Each area has its own trigger and possible exemptions.
Not solely because the new 2027 efficiency requirements are approaching. Under those new rules, heating and hot water replacement is generally triggered when an existing system fails and cannot be repaired. However, the property must still meet the rental minimum standards that apply now, including the current fixed-heating requirements.
From 1 March 2027, the cooling requirement generally applies at the start of a new rental agreement, when an agreement converts to month-to-month, or when an existing fixed cooling system fails and cannot be repaired. From 1 July 2030, all rental properties must meet the cooling standard regardless of lease status, unless an exemption applies.
It may. A correctly selected and installed reverse-cycle system can provide both heating and cooling. Whether it satisfies both standards depends on the appliance type, energy ratings for the property’s climate area, location and other technical requirements.
Yes, exemptions can apply where compliance is not possible or practical—for example, because of a centralised building system, insufficient installation space, heritage controls or owners corporation rules. The exemptions differ by standard, and rental providers should keep evidence supporting any exemption they rely on.
No. VEU discounts depend on the activity, property, product, installer and program rules in place at the time of installation. We can check relevant options while preparing your quote, but eligibility and the final discount must be confirmed before work proceeds.
We can assess the systems within our trade scope and quote suitable upgrade work. Legal compliance depends on the full property, the tenancy and any applicable exemptions. Use Consumer Affairs Victoria as the authoritative source and seek property or legal advice if you are unsure how the regulations apply.
Start with the property address, tenancy status, photos or model details for the existing heater, cooling and hot water systems, switchboard photos, known access constraints and your preferred timing. We can then advise what else is needed for an accurate site assessment.
Official resources
Check the requirements for your property
Government guidance can change. Use these official Victorian sources for the latest dates, technical specifications, triggers, exemptions and available support.
- Consumer Affairs Victoria — new minimum energy efficiency standards
- Consumer Affairs Victoria — current rental minimum standards
- Energy Victoria — energy efficiency for rental properties
- Victorian Energy Upgrades — current discounts and eligibility
This page provides general information for planning purposes and is not legal advice. Requirements and exemptions are property-specific. Confirm the current rules with Consumer Affairs Victoria before relying on this information or committing to work.
Plan the property upgrade before it becomes urgent
Tell us what is installed now and what is changing next. We will help map a practical pathway for heating, cooling, hot water and electrical readiness.
