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Solar Victoria Rebates

Hot Water Rebate

Hot Water Rebate

Eligible Victorian households can receive up to $1,400 towards an efficient heat pump or solar hot water system under the Solar Homes Program, or $1,000 for other eligible hot water products. Heating water is one of the biggest slices of a home’s energy use, so upgrading is one of the fastest ways to cut your power bill. As an authorised retailer, SolarAide manages the hot water rebate for you from quote to installation.

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Rebate amounts and eligibility are set by Solar Victoria under the Solar Homes Program. Figures on this page are current as of August 2026 — for full, up-to-date terms see the official Solar Victoria hot water rebate page.

Hot water rebate: the locally made incentive

From 1 July 2025, households that choose an eligible locally made hot water product receive a higher rebate of up to $1,400. A $1,000 rebate still applies to other eligible hot water products.

Heating hot water accounts for around 15% to 30% of household energy use, making it one of the biggest costs in the home. Installing an efficient heat pump or solar hot water system is one of the fastest ways to bring that down. The Solar Homes hot water rebate helps cover the cost, and you may save even more through Victorian Energy Upgrades (VEU) discounts if your retailer is also an approved VEU provider.

The hot water rebate is 50% of the purchase price, calculated after any other discounts have been applied including Small-scale Technology Certificates (STCs) and Victorian Energy Efficiency Certificates (VEECs).

Source: Solar Victoria — Hot water rebate.

New electrification and efficiency standards

The Victorian Government is acting to make buildings safer, more comfortable and healthier while driving down energy bills and cutting emissions.

  • From 1 March 2027, existing homes must replace gas hot water systems with an efficient electric alternative such as a heat pump as they reach end-of-life.

Upgrading now means you get ahead of these changes and make the most of the rebate while it’s available. For the full detail on how the standards apply to you, see the Victorian Government’s electrification and efficiency standards for buildings.

Check if you are eligible

As a Victorian householder, you may qualify for the hot water rebate if you meet the conditions below.

Eligibility criteria

  • You are the owner-occupier of an existing property where the system will be installed.
  • The combined household taxable income of all owners is less than $150,000 per year.
  • The property value is under $3 million.
  • The property address has not previously received a hot water or solar battery rebate under the Solar Homes Program.
  • The hot water system being replaced is at least 3 years old from the date of purchase.
  • If you previously received a Solar Homes rebate or loan and have since moved house, you can apply again at your new address as an owner-occupier provided that property hasn’t received these rebates before.

Authorised retailers and eligible products

To qualify, you must work with an authorised hot water retailer and install only eligible products from Solar Victoria’s approved product lists. SolarAide is an authorised retailer and installs only program-approved heat pump and solar hot water systems, so your eligibility is protected from day one.

Special exemptions for Solstice Energy customers

Solar Victoria has made it easier for households affected by Solstice Energy’s closure of its compressed natural gas network to apply. If you are impacted, you do not need to meet the $150,000 household income cap, and systems of any age can be replaced. A top-up of $600 is also available if you don’t meet the eligibility criteria for a hot water discount under the Victorian Energy Upgrades program.

If this applies to you, we can help you understand the exemptions, get in touch with SolarAide, or read Solar Victoria’s guidance on supporting Solstice Energy customers to go electric.

The hot water rebate process, step by step

If you think you are eligible, the path from enquiry to install follows a clear sequence.

  1. Research your options and the type of system that fits your home.
  2. Talk with an authorised retailer like SolarAide.
  3. Select a system from the approved product list to meet your energy needs.
  4. Request a written quote your retailer uploads it to the Solar Victoria portal.
  5. Wait for confirmation that the quote has been received.
  6. Get pre-approval from Solar Victoria.
  7. Upload your paperwork to prove eligibility.
  8. Wait for Solar Victoria to confirm your eligibility and issue your QR code.
  9. Install the hot water system this must be completed within 120 days.
  10. Pay the retailer the difference between the total cost and the rebate.

Important: for standard applications, do not install before your eligibility is approved. Emergency installations follow a different process (see below).

Products eligible for the locally made incentive

The following hot water products qualify for the higher rebate of up to $1,400 under the locally made incentive. By choosing one of these, you support local manufacturing and workers:

  • Dux
  • Earthworker Energy
  • Everhot
  • Neopower
  • Panasonic Australia
  • Reclaim Energy
  • Rheem
  • Rinnai
  • Sanden
  • Solahart
  • Thermann
  • Wilson Hot Water

Solar Victoria updates these lists regularly, so ask your retailer and check the current product lists before you buy.

What “locally made” means

Products don’t need to be 100% made in Australia to qualify for the higher $1,400 rebate. “Locally made” means the product supports local manufacturing jobs with at least 50% of parts locally made or assembled.

Supporting Local Jobs First

Choosing a locally made hot water product supports Victorian manufacturing and workers. The locally made incentive aligns with the Victorian Government’s Local Jobs First policy part of an ongoing commitment to develop local industries, create jobs and boost economic activity across the state.

Emergency hot water installations

If your hot water system breaks down or becomes unsafe, you don’t need to wait for eligibility approval before installing a replacement. Everyone needs hot water.

However, you must prove your eligibility as soon as possible after installation. If you don’t meet the criteria, you may not receive a rebate.

Emergency installation steps

  1. Contact an authorised retailer to arrange a solar hot water or heat pump installation.
  2. Tell them you intend to apply for the hot water rebate and require an eligible product.
  3. Check you meet all eligibility criteria.
  4. Go ahead with the replacement installation.
  5. Prepare ID and proof of income for the rebate application.
  6. Apply for the rebate online and make sure you check the box for emergency installations when entering your quote details.

Understanding the rebate requirements

Before you apply, it helps to know what Solar Victoria will ask for and how the process runs:

  • Proving your eligibility
  • Providing accepted identification and proof of income
  • Obtaining written quotes
  • Receiving your QR code
  • Meeting installation timelines
  • Understanding how rebate payments are processed

SolarAide walks you through each of these so nothing is missed. Full official requirements are on the Solar Victoria hot water rebate page.

Frequently asked questions

How much is the Victorian hot water rebate?

Up to $1,400 for eligible locally made heat pump or solar hot water products, or $1,000 for other eligible products either way, a 50% rebate on the purchase price after other discounts.

Who is eligible for the hot water rebate?

Owner-occupiers of an existing Victorian home with combined household income under $150,000, a property value under $3 million, and an existing hot water system at least 3 years old, where the address hasn’t received this rebate before.

What if my hot water system breaks down urgently?

You can install a replacement before eligibility approval under the emergency installation process. Apply for the rebate afterwards and tick the “emergency” box on your quote details. If you meet the eligibility criteria, the rebate still applies.

Do I get more money for a locally made product?

Yes. Choosing an eligible locally made heat pump or solar hot water product qualifies you for the higher rebate of up to $1,400, versus $1,000 for other eligible products.

Can I claim other discounts on top of the rebate?

Yes. STCs and VEU (Victorian Energy Upgrades) discounts can apply. The hot water rebate is calculated after these other discounts, so the total saving can be significant.

Get started with your hot water rebate

SolarAide is an authorised hot water retailer serving Melbourne and Victoria. We install heat pump and solar hot water systems from the approved product lists including locally made options that qualify for the higher rebate — and we handle the paperwork end to end. Get a free quote and we’ll confirm exactly what you qualify for. Call 1300 158 441 or request a free assessment online.

Official source and disclaimer

This page explains the Solar Homes Program hot water rebate administered by Solar Victoria. Rebate amounts, eligibility criteria and product lists are set by Solar Victoria and may change. The information here is current as of August 2026 and provided as a guide only. For the full and current terms, visit the official Solar Victoria hot water rebate page: https://www.solar.vic.gov.au/hot-water-rebate. SolarAide is an authorised retailer under the program.

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