From 1 March 2027, new Minimum Energy Efficiency Standards will apply to rental properties and public housing – saving renters potentially thousands of dollars a year according to the state government.
Hot water systems must be replaced with efficient heat pumps at end of life – saving up to $220 every year.
Gas heaters at end of life must be replaced with reverse-cycle air conditioners – saving up to $215 every year.
A minimum 4-star Water Efficiency Labelling and Standards (WELS) rated shower head must be installed at the start of a new lease – saving renters up to $38 every year.
Minimum R5.0 rating ceiling insulation must be installed at the start of a new lease where there is no ceiling insulation already in place – saving around $450 every year.
Draught sealing, including weather seals on all external doors, windows and wall vents must be installed at the start of a new lease – saving over $110 every year.
Main living areas are already required to have heating. Additionally, from March 1, 2027 at the start of a new lease, main living areas must also have an efficient electric cooling system. Installing a reverse-cycle air conditioner will acquit both the heating and cooling requirements.
Every single upgrade a property may need under the new minimum efficiency standards is eligible for a discount under the Victorian Energy Upgrades program. Exemptions also apply, including if installation costs are too high or if there is not enough space.
