The Phase-Out of Gas Hot Water Systems

School & Education / Sustainability by Tom Edwards

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The Victorian Government has announced major gas reforms to help cut carbon emissions and lower household energy bills. Additionally, under the new rules, gas hot water systems and gas connections in new buildings across Victoria will be phased out over the next few years.

Gas Hot Water Systems to Be Replaced

Starting in March 2027, homeowners will no longer have permission to install gas-powered hot water systems in residential properties. When a gas hot water system reaches the end of its life, residents must replace it with an energy-efficient electric system.

Key Changes to Victoria’s Gas Policy – All-Electric New Homes

From January 1, 2027, builders must construct all new homes and most new commercial buildings as fully electric. However, industrial, manufacturing, and agricultural buildings do not have to follow this rule because of their specific operational needs.

New Rules for Rental Properties

Landlords will be required to:

  • Replace old gas heaters with reverse-cycle air conditioners that provide efficient heating and cooling.
  • Upgrade their rental properties with better insulation, draught sealing, efficient lighting, and water-saving fixtures to meet higher energy efficiency standards.

These improvements aim to reduce renters’ energy costs and create healthier living conditions.

Existing Gas Appliances

Homeowners can continue using and repairing existing gas cooktops and heaters. The government does not require residents to remove or replace them right away.

Why This Matters

The Victorian gas reforms will:

  • Reduce household energy bills by promoting electric appliances.
  • Lower carbon emissions and help Victoria reach net zero emissions by 2045.
  • Preserve gas supplies for industries that can’t easily switch to electricity.

In conclusion, if you are a homeowner, builder, or landlord in Victoria, it’s important to start planning for these changes now. Finally, check for government rebates and incentives that can help you transition to electric hot water systems, reverse-cycle air conditioning (or HVAC), and other energy-efficient solutions!

Why UNIfied?

At UNIfied, we’re committed to making your electrification journey seamless. We help Australian households and businesses reduce energy bills, lower carbon emissions, and confidently invest in clean energy living.

Contact UNIfied today or call 1300 817 847 to achieve greater savings in these precarious times and start your journey of clean energy living.

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