Solar Homes: the rebate
Solar Victoria's hot water rebate applies to eligible heat pump and solar hot water products. It pays 50% of the purchase price, capped at $1,000. Products that qualify under its locally made incentive can get up to $1,400.
The rebate is calculated last, once other discounts such as STCs and VEU have come off the price.
Solar Victoria says an additional 27,000 hot water rebates will be available in 2026-27. Solar panel support moves into VEU from 1 July 2027, but Solar Victoria will keep running hot water rebates. It hasn't given an end date for them.
Who can get it
- Owner-occupier. You own the existing home where the system is going, and you live there.
- Property value under $3 million.
- Income. The household taxable income of all owners combined is less than $150,000 a year. The cap dropped from $210,000 on 1 July 2026.
- Old system age. The system being replaced is at least 3 years old from its date of purchase.
- Retailer and product. You buy an eligible product from an authorised hot water retailer.
If your hot water has already died
Had a breakdown? When the old system has failed or is unsafe, Solar Victoria doesn't make you wait for an eligibility confirmation before the replacement is installed. Follow the steps on its page and keep every receipt.
VEU: discounts, not rebates
Victorian Energy Upgrades is a discount program. Accredited businesses offer the discount on eligible upgrades, and how much it's worth depends on the product and the installation. We don't quote amounts.
You still pay. VEU rules require consumers to make minimum payments for certain upgrades, and the Essential Services Commission (ESC) banned one business partly for paying customers back for theirs.
PlumbMatch doesn't offer VEU upgrades. If a business offers you one, the protections below apply.
Your protections under VEU
- No doorknocking. It has been banned under VEU since 1 August 2024.
- No cold calls. Cold-call telemarketing was banned from 1 May 2024.
- The consumer factsheet. Anyone doing VEU lead generation or marketing must offer you the VEET scheme consumer factsheet.
- A statement of your rights. Before a contract, you must be offered a statement of your rights and obligations under it.
- Code of conduct and dispute details. In 2025 the ESC fined a contractor $23,077 over marketing emails for LED light upgrades that left out the VEU code of conduct, dispute resolution information and the factsheet.
A business is still a business
The businesses that sell discounted systems are private businesses, however official their marketing looks. The ESC has acted against one that used a logo resembling the Victorian Government logo in its marketing.
Rentals and the 2027 gas rule
From 1 March 2027, an existing Victorian home's gas hot water system has to be replaced with an efficient electric one once it reaches end of life (check current rules). Rentals have their own standard from the same date, and Consumer Affairs Victoria says every upgrade under the new rental standards is eligible for a VEU discount. Read more in our guide to the 2027 rule.
Before you sign
Check your eligibility
Go through Solar Victoria's criteria yourself: owner-occupier, property value, income and the old system's age.
Get one quote with every line shown
The full price, the STC discount, any VEU discount and what you pay. Ask how the Solar Homes rebate will be applied.
Confirm the retailer and the product
The rebate needs an authorised hot water retailer and an eligible product.
Keep the paperwork
The quote, the invoice, the VEU documents and the compliance certificate, together in one place.
Questions to ask before you sign
- Is your business an authorised hot water retailer for Solar Homes?
- Which discounts are in this price, and how much is each one?
- What is my minimum payment?
- Can I have the VEET consumer factsheet and the statement of my rights?
What we would do
Check your eligibility on Solar Victoria's page before anyone quotes, so you know what you're entitled to. Then ask for a written quote with the full price, each discount and your minimum payment on separate lines. If anyone knocks or cold calls about a VEU heat pump, say no: that's banned. For the install itself, choose a plumber who specialises in hot water and can tell you which system suits your home.