Up to 200,000 Victorian households who do not have ceiling insulation are set to be offered savings of up to $1,500 for installing insulation within the roof of their homes.

The Victorian Government has announced that from early 2026, Victorians will be able to access discounts in respect of ceiling insulation under the Victorian Energy Upgrades program (VEU).

Established in 2009, the VEU provides discounts for the purchase and installation of energy efficient products and services in homes and businesses.

Current products which are included under the scheme include heating and cooling, hot water systems, induction cooktops, clothes dryers, refrigerators, televisions, commercial and industrial lighting, shower heads and cold rooms.

Under the changes, the program will now be extended to cover ceiling insulation from 2026.

According to the government, benefits of the program will be significant.

All up, it says that 60 percent of homes across the state either have no ceiling insulation or are under insulated.

Of these, around 200,000 properties do not have any ceiling insulation at all.

Based on current prices, the Government estimates that the discount will half the average cost to install ceiling insulation from $3,000 to $1,500.

Further, installation will save households approximately $400 per year off their energy bills.

The first stage of the program will be available in respect of properties where no ceiling insulation is in place at all.

The remaining households who wish to top up their insulation will be eligible for the program at a later date.

In addition, the Government has also announced new quality and safety standards for installation along with an assurance regime that will ensure the quality and safety of the installation.

This will help avoid the debacle associated with the Australian Government’s Home Energy Efficiency Program that was initiated in order to support the construction sector following the Global Financial Crisis.

In that scheme, four installers were killed and 94 house fires were reported as a result of poor and unsafe installation practices.

Consultation has commenced on the program’s installation, which will be led by solar Victoria in consultation with industry, unions, training organisation and safety regulators.

Solar Victoria will also work with the Energy Efficiency Council to train, certify and expand the insulation workforce.

Victorian Premier Jacinta Allen welcomed the latest announcement.

“Victorians are doing it tough right now – this will help families by halving the cost of insulation, cutting their energy bills by $400 every year and making their homes more comfortable all year round,” Allen said.

The latest moves have been welcomed by the Green Building Council of Australia.

GBCA CEO Davina Rooney said improving insulation is one of the most effective ways to enhance home energy performance, reduce energy costs and improve resilience to extreme temperatures.

“Good insulation is invisible, but its impact is felt every day. It makes homes more comfortable to live in, healthier for families, and cheaper to run,” Rooney said.

“Every dollar spent on insulation is an investment in lower bills and healthier homes. It’s great to see incentives that directly lower bills while improving comfort.”

 

 

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