Media release – Daniel Andrews, Premier of Victoria, 28 July 2023
New Victorian Homes To Go All Electric From 2024
New Victorian households will save up to $1,000 off their annual energy bills while reducing household emissions, as part of the Andrews Labor Government’s landmark decision to phase out gas in new homes.
Across the world, the cost of gas is rising sharply, and so is uncertainty around supply. Victorians are at the mercy of private companies exporting gas overseas – which has a real impact on the cost to Victorians at home.
That’s why the Labor Government is doing the work to make energy more affordable for Victorians, getting them the best deal on their home energy bills.
From 1 January 2024, planning permits for new homes and residential subdivisions will only connect to all electric networks, with houses taking advantage of more efficient, cheaper and cleaner electric appliances.
These changes will apply to all new homes requiring a planning permit, including new public and social housing delivered by Homes Victoria.
Going all-electric can be delivered at no extra cost to the buyer – and will slash around $1,000 per year off household energy bills – or up to $2,200 for households that also have solar installed.
Commencing immediately, all new public buildings that haven’t reached design stage will also be all-electric. This includes new schools, hospitals, police stations and other government-owned buildings.
Victoria has the highest use of residential gas in Australia, with around 80 per cent of homes connected. The gas sector contributes about 17 per cent of the state’s emissions, and the move to electric systems is a key element of meeting Victoria’s nation leading emissions reduction targets of 75–80 per cent by 2035 and net zero by 2045.
These moves build on the 2022 reform that removed the requirements for gas connections for new homes. Since then, Victoria’s leading builders and developers have already begun delivering energy-bill saving and low emissions all electric homes.
To ensure homeowners can maximise the benefits of household renewable energy, the Government is investing $10 million in a new Residential Electrification Grants program. Grants will be available to volume home builders, developers and others to provide bulk rebates for solar panels, solar hot water and heat pumps to new home buyers up front.
This will mean new home buyers will save $4,600 before they even move in and will remove double handling of installations – saving buyers money and hassle.
To help prepare for the transition, the Government is also investing $1 million in targeted training to ensure the construction industry is supported in the transition to all electric and 7 star homes.
This builds on Solar Victoria’s $11 million training and workforce development package that will upskill plumbers and electricians to take advantage of the renewable energy revolution.
Victorian plumbers and electricians will be the key to delivering this critical transition – that’s why the Government is upskilling the plumbing and electrical workforce to ensure they have rights skills to take advantage of this growing industry.
The Government is delivering a $3 million package including free training for 1,000 plumbers and apprentices to design and install energy efficient heat pumps and solar hot water systems, and free training for 400 electricians and fourth-year apprentices to safely design and install rooftop solar and home battery systems.
To make it easier to go all-electric, eligible new home builders, as well as existing homeowners and renters, can access the nation leading Solar Homes program – offering $1,400 solar panel rebates and interest free loans of $8,800 for household batteries.
All Victorian households and businesses are also eligible for the VEU gas to electric rebates to upgrade heating and cooling and hot water heaters.
The Government will work closely with industry including gas appliance manufacturers, the building and construction sector, local government, trade unions and consumer organisations to manage business, workforce and consumer impacts and support the sector in the transition.
The Government is working to update the nation leading Gas Substitution Roadmap, which will be released later this year.
Quotes attributable to Minister for Energy and Resources Lily D’Ambrosio
“We know that with every bill that arrives, gas is only going to get more expensive. That’s why we’re stepping in to help even more Victorians get the best deal on their energy bills.”
“Reducing our reliance on gas is critical to meeting our ambitious emission reduction target of net zero by 2045 and getting more Victorians on more efficient electric appliances which will save them money on their bills.”
Quote attributable to Minister for Planning Sonya Kilkenny
“All-electric homes are healthier, cleaner and cheaper to run. Going all-electric ensures Victorians building a new home are part of this exciting energy transition.”
Media release – Global Cooksafe Coalition, 28 July 2023
Major VIC & ACT Government Announcements Show Big Policy Shift Towards Electric Cooking
Two important state announcements today signal a defining moment in the transition to electric cooking in both residential and commercial settings, according to the Global Cooksafe Coalition (GCC).
GCC chefs and ambassadors will stand beside Victorian and ACT Ministers as they make their announcements at two different events today.
The Victorian Government’s commitment will be to transition all new homes requiring a planning permit to be all electric from 1 January 2024. The policy is aimed at providing cost of living relief for residents buying in new residential developments and illustrates Victoria’s long-term commitment to electrification as part of their Gas Substitution Roadmap.
This is particularly significant because Victorians are the nation’s biggest users of gas with more than 80% of households connected to gas for their cooking, heating or hot water.
Director of the Global Cooksafe Coalition, Laura Kelly, said: “Australia’s leading chefs, from Neil Perry to Palisa Anderson, are cooking on induction because it’s hotter, faster and more precise. It’s also cheaper to run and doesn’t emit the harmful chemicals into your home that gas cooktops do. For home cooks, induction is a major upgrade and we’re proud to support the Victorian Government as they provide Victorians with the best power infrastructure and safest cooking technology on the market.”
Well-known chef and owner of Lee Ho Fook, Victor Liong, represented the GCC at the Victorian announcement and is also a strong advocate of electric cooking.
“A lot of the flavour of restaurant cooking, and the Chinese food at my own restaurant, is just about how hot the wok gets and how hot the ingredients get. The high temperatures on induction can give you this restaurant flavour at home,” said Victor Liong.
The ACT Government is also encouraging induction cooking but their policy announcement today was focused on rebates for commercial kitchens to make the change to electric.
The Commercial Kitchen Trial will provide eligible ACT businesses with a rebate of up to 50% of the total cost of transition. Businesses will also receive expert technical advice in addition to financial assistance.
“Induction cooktops are the best cooking technology on the market, and they also save money for homes and businesses. It’s brilliant news that the ACT Government is leading the world in providing financial support to food businesses, so that they can access all the benefits of the latest electric cooking technology,” said Laura Kelly.
These announcements follow a seismic shift in the property sector last week, with Frasers Property Australia and Cbus Property joining the GPT Group and Lendlease to take the combined total of buildings pledging to safer, electric cooking technology to $127 billion.
Media release – The Climate Council, 28 July 2023
Climate Council welcomes Victoria’s game-changing switch to all-electric homes
The Climate Council welcomes the Victorian government’s announcement today that all new homes in the state will go all-electric from next year.
Climate Councillor Dr Kate Charlesworth said: “This is great news for the environment and the health of Victorians. We have known for years the damaging impacts of burning gas at home, such as increasing the risk of childhood asthma.”
The Victorian Government has also announced that from today all new public buildings that haven’t reached the design stage will also be all-electric.
“Gas is an invisible harm in our homes, schools and workplaces. The dangers it poses, especially to our children and vulnerable households, cannot be completely eliminated, even with better ventilation,” Dr Charlesworth said.
“We have a responsibility to sound the alarm on gas, just as we did with asbestos and tobacco.
“Australia doesn’t need gas. We have the capability to power our grid with renewable energy. Making all-electric housing the default is a major stride towards clean, safe, and affordable homes for all Victorians.”
