What is the program? What is it designed to do? The Victorian Energy Upgrades program (VEU) is a state government-run energy efficiency scheme designed to help Victorian households and businesses reduce their energy bills and greenhouse gas emissions.
According to the government website, households can expect to save between $100 - $1,100 per year on energy costs depending on the upgrade.
The program has been running successfully for over 10 years now. Historically, upgrading existing inefficient lighting to LED lighting has dominated the scheme. However, this is now changing with a wider variety of rebates on offer for Victorian households.
There are currently some excellent opportunities available for both tenants and owner occupiers to get involved, which I cover in more detail here.
Less involved upgrades tend to be low-cost or even free. A good example of this is weather sealing installation for your doors, windows and bathroom exhaust fans. More complex installations like replacing a gas hot water system with an energy efficient heat pump will still often have a cost associated, but the discount on purchase and energy savings can be significant. The program is regulated by the Essential Services Commission (ESC) and Administered by the Department of Water, Environment, Land and Planning. Installers accredited by the ESC (called Accredited Providers) offer these upgrades to you for free or at a discount.
How can I get involved?
If you have already been living in Victoria for a number of years, chances are you have already encountered the VEU program in one way or another. Many people have had a door-to-door salesperson come to their home offering a free upgrade to energy efficient LED lighting. Others of you may have received the same offer via a leaflet in the letterbox or a phone call (or multiple calls) from a persistent telemarketer.
Unfortunately, high pressure sales tactics such as door-knocking and telemarketing have been the most common means of generating work for many accredited providers. Thankfully, this is now changing with the new Code of Conduct for Accredited Providers which you can read about in the consumer fact sheet if your interested in your rights and obligations as a consumer.
I personally recommend conducting your own research before selecting an accredited provider and sourcing quotes. Unfortunately, any government scheme with rebates will attract a certain number of cowboys. The solar industry is a good example of this and the VEU program is no different. But the good news is there are many reputable accredited providers in the program as well. Selecting a good provider just involves getting your hands dirty by doing a bit of research.
To find a provider, start by viewing the list of accredited providers on the Essential Services Commission's website. Search by the type of upgrade you are interested in to view the full list of providers. After that, a quick Google search is warranted to check the company's customer reviews. No reviews or a low star rating can be a red flag. However, there are many factors that dictate how good a provider is, and a high rating on Google doesn't necessarily mean that provider is the best option.
Things to be aware of
As with any free or discounted product or service, there are some things you should be aware of. I'll cover these in more detail below.
Accredited providers often use different products of varying quality. Any product offered under the VEU program is tested by the government to ensure it meets minimum quality standards. However, not all products are created equal and some are simply better than others. I suggest searching the brand and model number of the upgrade product from the quote you receive to ensure it is listed as an approved product on the VEU product list. It is also a good idea to look at the product reviews on third party review website Product Review.
Warranty terms and periods may differ for each provider. The product warranty duration and coverage terms are set by each provider. For example, the number of years coverage for a product warranty may differ greatly between providers. Be sure to ask to view the warranty terms and conditions to see how long the warranty period is and whether repair (labour) cost is included in the coverage. I've put together an installer quotes comparison checklist to help you evaluate and compare installers. You can download it for free here.
The exact discount offered for each type of upgrade changes over time. The way the VEU program works is actually quite complex. Accredited providers generate what are called "Victorian Energy Efficiency Certificates" (or VEECs) by completing an eligible installation. The number of VEECs generated is determined by the amount of greenhouse gas emissions expected to be saved by completing the installation. Accredited providers sell these certificates on the market to energy retailers. Because the price offered for certificates fluctuates, so do the rebates offered to you by the providers. However, once you receive a quote from a provider there is no need to worry, as you are guaranteed to receive the discount listed within the quote provided.
Photographic evidence is required for most upgrades. The majority of VEU upgrades require photographic evidence from each installation. Installers are required to take photos of part of your home and / or appliances in order to prove an installation has taken place. These photos must be shared with relevant government departments for providers to generate the relevant rebate. However, most installers will make an effort not to include any valuables or personal belonging in the photos taken.
Unsure where to get started? You can arrange for a Scorecard home assessment. The Residential Efficiency Scorecard assessment was developed in Victoria and has recently been included in the VEU program. The assessment rates your homes energy use and comfort, and provides tailored recommendations for improvements. This can be a great option for those of you wanting to better understand your energy consumption behaviour and see which upgrades are best suited for your situation. We can provide you with a Scorecard assessment from on of our reputable assessors. Or alternatively, you can view a list of all accredited assessors here and select your own. I recommend contacting at least 2-3 assessors as the cost charged per assessment can vary greatly.