The Victorian Minister for Energy and Resources Lily D’Ambrosio has released the updated Gas Substitution Roadmap – which is set to help Victorians reduce their reliance on expensive fossil gas and ease cost-of-living pressures. 

The roadmap outlines the next steps for Victoria’s transition from fossil gas to cheaper, more modern electrical appliances.  

Fossil gas is no longer the cheap and abundant energy source it once was – the typical Victorian residential customer is now paying upwards of $500 more for gas than they did less than two years ago, an increase of 35 per cent.

As part of the roadmap, families will benefit from an expanded Victorian Energy Upgrades program. From 2024, discounts will be available to support Victorians to upgrade to electric induction cooktops, helping people fully electrify their homes at a discounted rate.

The Victorian Government has said that existing households that go all electric can save $1,700 a year, or up to $2,700 a year with solar installed – a 60 per cent reduction in energy bills.

Helping Victorians move away from expensive fossil gas won’t only save Victorians on their energy bills – it’ll also mean they no longer need to pay for their gas connection, saving them a further $400 a year.

The State Government said that it will also do more work to understand how it can support Victorians to transition to electric appliances as older gas appliances reach the end of their lives – including in existing homes and some commercial buildings.

This work will be completed through a Regulatory Impact Statement (RIS) that will require detailed industry engagement and public consultation on approach and timing, which will be conducted over 2024. The RIS will exclude some industries, including Victoria’s hospitality, large commercial, industrial and manufacturing sectors. 

The Victorian Government has said that it will also help deliver bill savings for renters with a review of the minimum energy efficiency standards for rental homes, with public consultation to kick off in 2024. This will include ceiling insulation, draught-sealing, hot water, heating and cooling, providing renters with more comfortable homes that are cheaper to run.

In 2022, the State Government stopped gas companies from charging exorbitant disconnection fees – and now it is cracking down on companies offering dodgy inducements to install gas appliances, needlessly locking Victorians into decades of higher energy bills. Consultation with industry is underway, with a decision to be made in 2024. 

From January 1, 2024, all new homes that require a planning permit will not be connected to the gas network. The Government will begin consultation on the potential future expansion of this phase out to encompass all new residential dwellings and some commercial buildings. 

Victorian Minister for Energy and Resources, Lily D’Ambrosio, said that the State Government is ensuring Victorians aren’t locked into expensive fossil gas prices and sky-high energy bills for decades – helping them switch to efficient electric appliances that will deliver significant bill savings.

“We’re also helping renters save money on their energy bills through new minimum energy efficiency standards that include better insulation and efficient heating and cooling, meaning comfortable homes that are cheaper to run,” Ms D’Ambrosio said. 

Member for Preston, Nathan Lambert, said, “Electric appliances are a great way to bring down your energy usage and costs and it’s exciting to see more options become available through the popular Victorian Energy Upgrades program.”

©2024 Utility Magazine. All rights reserved


We're not around right now. But you can send us an email and we'll get back to you, asap.


Log in with your credentials

Forgot your details?