The NSW Government is offering rebates to encourage homeowners and businesses to update their old hot water systems and other items to more energy-efficient options. The offer is being made through the Energy Savings Scheme (ESS).
In NSW, the state government’s ESS encourages the installation of energy-efficient appliances and equipment through financial incentives. The scheme applies to households and business owners, and some of the items covered under the ESS include LED lighting, air-conditioning upgrades, hot water heaters and pool pump upgrades.
About the Energy Saving Scheme
The scheme’s broader aim is to improve NSW’s energy system’s affordability, reliability and sustainability. More Australians using energy-efficient equipment helps to reduce emissions and will put downward pressure on electricity prices.
Since April 2023, further incentives for more energy-efficient upgrades, including solar-powered irrigation, have been added to the ESS. The NSW Government’s website has the full details of the current rules (Energy Savings Scheme), and we have also put together this handy summary.
Under the scheme, customers using an approved provider for Home Energy Efficiency Retrofit (HEER) activities can make significant savings.
What’s covered
The HEER incentive is to replace an existing electric or gas hot water system with an approved heat pump or solar water heater at NSW Residential and Small Business sites.
Curran Plumbing assists customers in accessing the scheme in partnership with Green Bank, one of Australia’s largest and first environmental traders.
The optimum incentives are where both ESCs and STCS (Small-scale Technology Certificates, a federal government incentive) apply, such as:
- decommissioning an existing electric storage, gas storage or gas instantaneous system and replacing it with a heat pump or electric-boosted solar
- decommissioning an existing gas storage or instantaneous gas system and replacing it with gas-boosted solar.
What does this mean to me?
If you are a homeowner with a faltering hot water system, the scheme’s upfront reduction in costs, plus long-term savings from your new energy-friendly installation, provide an obvious solution.
It is also well worth investing in the upgrade if your older system is due for replacement in the next few years. Act soon, and you will reap the long-term benefits plus the scheme’s upfront savings. The ESS is currently scheduled to end in 2025.
Note that small businesses applying for the rebate must meet the conditions for a ‘small business site’, including a site that is entirely occupied by one business – see the website for more details.
How we work with you
Get in touch with the Curran Plumbing and Electrical team.
We make the process easy through the following steps:
- Our service technician will visit your home and examine your old hot water system
- They will make a recommendation about the most suitable Heat Pump Hot water system for your individual needs
- You will be given a quote to review and accept
- The hot water system will be installed on the same day or the next day
- Before the installation, our technician will gather more customer details for the eligible rebates
- After the installation of the hot water system, our office processes the rebate claim
- Once approved, it takes approximately 3 days for the rebate payment to be processed
- As soon as we receive the payment, we transfer it to the customer’s nominated bank account.
The product we install
We choose to install Heat Pump hot water systems supplied by EvoHeat, industry specialists with over 15 years of experience in providing energy-efficient heating and cooling systems.
The product we install is the EVO270-1, which comes with the following warranty period – Tank 5 Years, Compressor 2 years, Parts 2 years and on-site labour 1 year. EvoHeat also has a comprehensive network of special agents, and spare parts are kept in stock in the extremely unlikely event they are required.
Energy rebate cost savings Calculator
Through our partner Green Bank you can access this handy calculator to estimate your cost savings through the scheme:
Other things to consider
In some cases, there may be extra costs related to the type and size of the upgrade. Power supply, for example, needs to be factored in, especially if you are changing energy sources. Your switchboard may need an upgrade because a large new appliance will require its own dedicated circuit for safety reasons.
If your upgrade is to cater for a growing household, be aware that a more significant new system will also cost more upfront. While heat pump hot water heaters require a more significant financial outlay up front, their cost savings are recognised over a number of years.
Here is a recent article we wrote about the benefits of Heat Pump Hot water systems.
Be alert to shonky deals
As a trusted provider of professional services, we encourage consumers to check their installer’s credentials. The installer should have clear photo identification and provide detailed information about the proposed upgrade and the ACP the installer works with. The installer may provide participating customers with the IPART fact sheet.
The installer should offer warrantees – for example, warranties for the tank and the compressor of a new heat pump system.
If the price of the installer’s advertised deal seems very low, be alert:
- Will they use a very low-grade, cheap-and-nasty model for your new system?
- Do you need a larger and more expensive model than their deal will include?
- Have they neglected to itemise add-ons that are essential for your site, such as a complete electrical switchboard upgrade that costs thousands of dollars?
- Is the installer a qualified local operator who can meet the terms of the warranty on the service?
- Is the product recognised by leading suppliers, including, for example, Reece? If the product is not recognised in Australia, it will be difficult to get spare parts and access services in the future.
Frequently asked questions
Is Curran Plumbing and Electrical accredited to undertake activities under the ESS scheme?
Curran Plumbing and Electrical is accredited to supply hot water heaters under the ESS scheme, and we can apply for the scheme on your behalf when we carry out the installation.
Who do Curran Plumbing and Electrical partner with to provide services under the ESS?
We choose to partner with reputable Australian companies, including Greenbank Environmental and Evoheat, because of their experience in the renewable energy marketplace.
Does the ESS give rebates?
Not directly. The ACP creates energy savings certificates that they can sell, and then they use that revenue to offer rebates or discounted products to their customers. The ESS is a certificate trading scheme, not a direct rebate.
Why can’t I keep my old equipment?
The scheme aims to put older energy-inefficient equipment out of action for good. The ACP must dispose of the old equipment appropriately to ensure it is not used elsewhere after removal.
Are there similar schemes in other Australian states?
Other states have different schemes. ESCs are only available in NSW. There is also a federal Small-scale Renewable Energy Scheme for individuals or businesses in Australia that install an eligible system based on Small-scale Technology Certificates (STCs).
Can I combine federal and state incentives for even more significant savings?
Yes! Currently, both STCs & ESCs can be created for eligible solar water or heat pump installations in New South Wales. You can significantly reduce the purchase price by combining the existing STC with the newer ESC. [There are also STC-only incentives if you have older heat pumps or solar (electric or gas boosted) – to decommission them and replace them with newer heat pumps or solar (electric or gas boosted).]
How Curran Plumbing and Electrical can provide the best services?
Curran Plumbing and Electrical have the expert team to carry out your energy-saving installation.
Talk to us today about the services Curran Plumbing and Electrical offers and the products we recommend for an energy-saving retrofit that will save money long term and – thanks to the ESS – cost much less upfront.