Canberra conditions that change the choice
A gas city, winding down
The ACT Government says most Canberrans use fossil fuel gas for heating, hot water and cooking. Homes with a gas meter can keep it; homes without one generally can't get one.
Hard frosts
Canberra Airport averages 15.8 days at or below 0°C in July alone. The ACT Government says hot water heat pumps now work well even in the ACT's cold climate, and advises choosing one suited to it.
Soft water
Icon Water puts average hardness at about 43 mg/L and describes Canberra's water as soft. By its own account, it's hard water that tends to cause scaling.
Three in ten homes rented
At the 2021 Census, 30.7% of the ACT's occupied homes were rented. In a rental the landlord picks the replacement, and the ACT's hot water rebate needs the owner to live there.
What the gas rules mean for your system
The ACT stopped new gas network connections on 8 December 2023. If your home already has a gas meter, it keeps working, and the regulation says nothing about the appliances behind it.
No ACT rule forces gas hot water out. A 2026 discussion paper did look at rental standards and possible limits on installing gas appliances, with a draft regulation to follow. Ask the plumber whether anything has changed before you buy another gas unit.
The longer view: the ACT intends to be off fossil fuel gas by 2045, and the Government expects some of the network to shut from the mid-2030s, with notice. Its advice is to go electric gradually, as each appliance needs replacing. Our national hot water guide compares the system types.
ACT help with the cost
The Sustainable Household Scheme lends you $2,000 to $20,000 at 3% interest, and you repay it. Eligible products include hot water heat pumps and evacuated tube solar systems. Previous participants, and anyone who applied or was approved before 1 July 2026, are capped at $15,000.
Home Energy Support is the rebate: 50% of supply and installation, up to $2,500. It's for owner-occupiers who hold an eligible concession card, with unimproved value limits of $750,000 for houses and $300,000 for units. Get the ACT Government's pre-approval before you accept any quote.
STCs are federal certificates. Assigned to an agent, they can lower the price of an eligible heat pump or solar system that's on the register. Every condition is on our ACT rebates page.
Before you choose a system in Canberra
- Staying on gas? Confirm your meter is still connected and ask whether gas appliance rules have changed.
- Going electric? Ask how the heat pump performs on a frosty July morning.
- Plan where an outdoor unit would sit. The ACT Government flags space, ventilation, noise rules and limits near windows or driveways.
- Hold a concession card? Apply for Home Energy Support and wait for pre-approval before you sign.
- Check the model is on the STC register and on the Sustainable Household Scheme's list of eligible products.
Questions for a Canberra hot water plumber
- Can the system I have be repaired, and is it worth repairing?
- If I give up gas, should the line be capped or the connection abolished?
- Is this heat pump suited to Canberra's frosts, and where would the outdoor unit go?
- Does this job need a tempering valve under the edition of the NCC you're working to?
- Which ACT licence class covers this work, and is it on your licence?
What we would do
If your gas unit still works, leave it and plan the next one now, while there's no rush. When it fails, ask a hot water specialist whether a repair makes sense, then compare a like-for-like gas unit with a heat pump knowing the network may start closing from the mid-2030s. If you hold a concession card, apply for Home Energy Support first and sign nothing until it's pre-approved.