VEU extension to 2045 Bill will ease cost of living pressures, 20 March 2025
The Victorian Energy Efficiency Target Amendment (Energy Upgrades for the Future) Bill 2025 read in Parliament today will extend the Victorian Energy Upgrades program to 2045. It will directly ease cost of living pressures for Victorians by reducing the cost of energy for homes and businesses and provide a long-term runway for investors to support electrification.
“The Energy Savings industry Association strongly supports the VEU extension to support energy efficiency upgrades like space heating and cooling, hot water and replacing other energy-hungry appliances in homes and businesses,” said ESIA President Ric Brazzale.
The ESIA is also advocating for the VEU to update its core objective to reduce greenhouse gas emissions to now also reduce electricity peak demand. This fundamental addition will unlock more significant energy and bill savings for Victorian households and businesses by supporting rooftop solar PV and battery storage as well as energy efficient appliances.
“It will be a win, win, win for everyone. More than 700,000 Victorian households with rooftop solar PV are now spilling free electricity in the middle of the day when they could be soaking it up into their own battery, hot water system or electric vehicle using integrated smart technology that could all be supported by the VEU,” said Mr Brazzale.
“Party politicking needs to be put aside and instead focus on getting Victorians off expensive gas and unreliable old coal-fired power stations. This finite challenge Victoria is facing right now is well documented by the Australian Energy Market Operator. AEMO’s gas statement of opportunities released today gives Victoria good reason to run with its proposed building electrification regulations with the VEU to financially support energy customers to get off gas.
“We commend the Victorian government on delivering the most ambitious off-budget state-based program of its type in Australia. The ESIA has engaged heavily with the VEU strategic review team in recent months, and our members are buoyed by the opportunities the VEU will continue to deliver to 2045 with adjustments to the program to deliver lowest cost abatement opportunities,” concluded Mr Brazzale.
The ESIA supports other common-sense reforms in the Bill which will provide enhanced consumer protections and more support for low-income households and renters. The VEU is a proven solution, delivering reduced energy bills and greenhouse gas emissions and better quality of life, as evidenced in multiple independent analyses in recent years.
… Ends Media contact: Jessica Lynch, M 0417 539 377, comns@esia.asn.au
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