NSW hot water rebate
NSW hot water rebate 2026: compare heat pump systems and installed prices
Upgrade to an energy-efficient heat pump hot water system with the NSW Energy Savings Scheme and federal STC incentives already taken off the price. Compare the systems, see what you would actually pay installed, and get a quote for your address. The NSW Government's guide figures are up to $640 off an electric replacement and up to $330 off gas; a minimum payment applies on every job.
Free, no obligation · Installed by licensed trades through accredited providers · Not a government website
No hot water?
Hot water system broken down or leaking? We call you back the same day and arrange a rebated heat pump replacement through an accredited provider, with the NSW incentive still taken off.Standard replacements are usually completed within 2 business days, often next day in Sydney, the Central Coast and Newcastle, subject to installer availability and site requirements. Other NSW areas are arranged through the nearest accredited installer.
Which system, and what will it cost me?
Three questions, answer on the page, no details needed.
Systems and prices
What a heat pump costs installed, incentives already off
Every price is fully installed with the NSW Energy Savings Scheme and federal STC incentives already taken off. Haier is the one we recommend for most homes; the premium brands are there if you want a bigger name, a split system or a longer tank warranty. Prices are for Sydney, the Central Coast and Newcastle; other NSW addresses are quoted after photos.
Haier 250L Monoblock
The unit fitted most across NSW and the one we recommend for most homes. It is a straight swap for an outdoor electric tank in the same position, plugs into a standard 15A outlet so most installs need no switchboard work, and runs at 43 dB. Haier backs the cylinder for 7 years and the heat pump and parts for 5.
- Runs at 43 dB, quiet enough for most side passages
- Plugs into a standard 15A outlet, no hardwiring on most swaps
- COP 4.48 with R290 natural refrigerant
- 7 year cylinder, 5 year heat pump and parts warranty (domestic)
- Wi-Fi app with solar, off-peak, vacation and boost modes
This model has a solar mode in the Haier app that runs the heat pump while your panels are producing, so most of your hot water is heated on free daytime power. Estimate for your home
Haier 330L Monoblock
The same Haier platform with a bigger tank and a stronger heat pump for households of five or more, bath nights and back-to-back morning showers. It recovers 57 litres an hour and carries a 2.2 kW boost element for the heaviest days. Hardwired, so it suits homes with a dedicated hot water circuit already in place.
- 57 litres an hour recovery for back-to-back showers
- Hardwired with a 2.2 kW boost element for heavy use
- COP 4.00 with R290 natural refrigerant
- 7 year cylinder, 5 year heat pump and parts warranty (domestic)
- Wi-Fi app with solar, off-peak, vacation and boost modes
This model has a solar mode in the Haier app that runs the heat pump while your panels are producing, so most of your hot water is heated on free daytime power. Estimate for your home
Rinnai Enviroflo GR 215L
A compact integrated heat pump from one of Australia's best known hot water brands, sized for smaller households and tight side passages where a larger tank will not fit. The built-in Wi-Fi timer makes it easy to run on solar hours, and defrost control keeps it working through Sydney winter mornings.
- Compact integrated unit for tight side passages
- Built-in Wi-Fi timer for solar hours
- Defrost control and auto disinfection
- 7 year cylinder warranty subject to scheduled servicing, see Rinnai terms
- Popular like-for-like electric replacement
Rheem AmbiPower 280e
Rheem's 280 litre heat pump for families up to six, engineered for Australian conditions and backed by the country's largest hot water service and parts network. Economy, boost and timer modes let it run on rooftop solar during the day, which makes it a strong choice for homes that already have panels.
- Australia's largest hot water service and parts network
- Engineered for Australian conditions
- Economy, boost and timer modes
- Integrates well with rooftop solar
- 10 year cylinder warranty, see Rheem terms for the whole-product cover
Reclaim Energy CO₂ 250L Split System
The premium option. Reclaim's split system puts the compressor in a separate outdoor unit, so the tank can sit where the old one was and the fan can go somewhere quiet. Its CO₂ refrigerant delivers the highest efficiency on this page and keeps working well below freezing, with an Australian made stainless steel tank and controller. Heat pump and controller models are confirmed on the quote.
- Australian made tank and controller
- CO₂ (R744) refrigerant, highest efficiency in the range
- Compressor unit sits separately from the tank
- Long tank and controller warranties, confirm terms on quote
- Operates efficiently well below freezing
Full specification comparison, sizing guide and the running cost calculator are on the Sydney heat pump hot water page.
Recent installs
Installed in NSW homes under the rebate
Both units below are Haier monoblock heat pumps fitted in the same position as the old outdoor electric tank, with the NSW incentive and STCs taken off the installed price.
What will I actually pay?
One number, incentives already off. This is the figure the NSW Government says to compare quotes on, not the certificate maths.
| Your current system | Recommended | Estimated installed price after incentives |
|---|---|---|
| Electric storage tank, outdoors | Haier 250L (1 to 4 people) or 330L (5 or more) | $2,310 or $2,695 |
| Electric storage tank, indoors or in a garage | Same units, relocated outside | From $2,310 plus relocation plumbing, confirmed after photos |
| Gas storage or instantaneous | Haier 250L (1 to 4 people) or 330L (5 or more) | From $2,800 ex GST ($3,080 inc GST) or from $3,050 ex GST ($3,355 inc GST), gas capping and new circuit included, confirmed after photos |
| Solar hot water | Haier 250L or 330L | From $2,310 plus panel removal, confirmed after photos. The NSW incentive is designed around electric and gas replacements; eligibility for a solar replacement depends on the existing system and is confirmed by the provider |
| Prefer Rinnai, Rheem or Reclaim | Enviroflo GR 215L, AmbiPower 280e or Reclaim CO₂ 250L split, see the cards above | From $2,899, $2,999 and $4,400 on a standard electric swap, or $3,599, $3,699 and $5,100 inc GST replacing gas |
How the rebate is calculated
Two separate incentives are deducted from the installed price. The NSW Energy Savings Scheme creates certificates when an accredited provider replaces an inefficient water heater with an eligible heat pump; the government's guide figures are up to $640 for an electric replacement and up to $330 for gas, with the real value depending on the model, your postcode and certificate prices on the day. Federal STCs come from the Small-scale Renewable Energy Scheme and are usually assigned to the provider for a further discount. Combined, a typical Sydney electric swap attracts around $1,000 to $1,300 off. A minimum customer payment applies on every job. Both incentives appear as separate lines on your quote.
Why buy through us
A quality installation, not just a rebate
Delivered through accredited providers
Installations are arranged under the NSW Energy Savings Scheme through accredited providers, so the incentive is applied on the quote and the certificate paperwork is handled for you.
Licensed plumbers and electricians
Every install is done by licensed trades, with the old unit removed and the new one commissioned in one visit for standard swaps.
Real warranties
Haier: 7 years on the cylinder, 5 years on the heat pump and parts for domestic use. Every unit meets the NSW scheme's 5 year minimum.
One price, incentives already off
Your quote shows the ESS and STC discounts as separate lines and the amount you pay. No headline rebate with the real cost hidden.
No door-knocking, no pressure
Every enquiry starts with you. We review your details, tell you honestly whether a heat pump suits, and you decide.
Sydney to Newcastle
Metro Sydney at standard pricing, plus the Central Coast and Newcastle and the Hunter. Elsewhere in NSW, ask and we will tell you honestly whether we can help.
Hot water stopped working? We arrange urgent replacements across NSW, with the rebate still applied
Most tanks fail without warning and the temptation is to take whatever is on the first van that turns up. A failed electric or gas system can still be replaced with an eligible heat pump under the same incentives, so the discount applies to the urgent job too. Here is what to expect when you send an urgent enquiry:
Recent replacement: an electric tank leaking from the base
The photo is the customer's own. Water was streaming from under the electric storage tank, which means the cylinder itself has gone and there is nothing to repair. They sent the enquiry with this photo, we called back the same day and confirmed a straight outdoor swap. The accredited provider installed a Haier heat pump the next morning with the NSW incentive and STCs already taken off the price, took the old tank away, and hot water was back on before lunch.
Photo shared with the customer's permission. Every job is quoted in writing before any work is booked.
If your tank is leaking, turn off the cold water isolation valve at the tank and the power at the switchboard while you wait. To move quickly, have these ready for the photo link we text you:
The rating plate
A clear photo of the sticker on the old unit showing brand, model and litres.
The whole unit and the space
A step-back photo showing the tank, the pipework and what is around it.
What it runs on and what it is doing
Electric or gas, and whether it is leaking, tripping the switchboard or simply cold.
Your switchboard
A photo of the open switchboard tells us whether an RCD or new circuit is needed before anyone drives out.
We do not diagnose or repair faults; if you want the old unit assessed first, a hot water plumber is the right call.
Get your installed price in writing
Your postcode and current system are already filled in if you used the matcher above. Add your name and mobile and we text and email your price, then send a link to upload a photo of your unit so the formal quote can follow. About a minute, no cost, no obligation.
Energy Rebate Check is an independent enquiry service, not a government website. Your details are handled under our privacy policy.
What a standard installation includes
The unit, delivered
The exact model on your quote, delivered to site.
Removal and disposal
Your old tank drained, disconnected and taken away.
Licensed install
Plumber and, where needed, electrician. Valves and connections for a same-position swap.
Commissioning and setup
Timer set for solar or off-peak, app connected, controls walkthrough.
All rebate paperwork
Nomination form, certificates, post-install declaration. You sign, we do the rest.
Quoted separately if needed
Switchboard RCD or new circuit, relocation, gas capping, tempering valve upgrades.
The NSW Government's Hot Water Upgrade Incentive is available now with no closing date, delivered under the Energy Savings Scheme through Accredited Certificate Providers. It applies when an existing electric or gas water heater is replaced with an eligible heat pump or solar water heater. Rule changes on 12 September 2025 introduced a minimum customer payment, banned unsolicited door-knocking and set a 5 year minimum warranty for heat pumps. Last reviewed 11 October 2026.
How much is the NSW hot water rebate worth?
There is no single fixed amount. The incentive is the value of the Energy Savings Certificates your new system creates, passed on by the provider as a discount, so it moves with the model, the certificate price and the job. The NSW Government publishes these guide figures:
| What you replace | NSW ESS discount (government guide) | Federal STCs | Typical combined value |
|---|---|---|---|
| Electric storage tank, replaced with a heat pump | Up to $640 | Yes, varies with model and zone | Commonly around $1,000 to $1,300 on a Sydney electric swap, applied as a discount |
| Gas storage or instantaneous, replaced with a heat pump | Up to $330 | Yes, varies with model and zone | Lower than electric, and the conversion itself costs more |
| Electric or gas, replaced with a solar electric-boosted water heater | Eligible activity, value varies | Yes | Less commonly offered; most installers quote heat pumps |
| Existing heat pump or solar system | Usually not eligible | STCs may still apply to a new eligible unit | Ask the installer; the ESS incentive is based on energy saved versus the old system |
Government guide figures are indicative. The actual discount depends on the installer, the model, your location and travel, the complexity of the installation, compliance costs and the installer's margin, which is why the government itself recommends comparing quotes from more than one installer offering the incentive.
Who is eligible
- NSW households and small businesses, owner-occupiers, landlords and renters with the owner's consent, anywhere in the state that installers offering the incentive service.
- An existing electric or gas water heater being replaced. The incentive rewards the energy saved versus the old system, so it does not apply to a new build with nothing to replace, and usually not to a home that already has an efficient heat pump or solar system.
- An eligible replacement model. Heat pumps must be accepted by IPART and, from 12 September 2025, carry a minimum 5 year warranty against defects covering the unit, the tank and the manufacturer's components. For STCs the exact model must be on the Clean Energy Regulator register.
- Installation through an Accredited Certificate Provider, either directly or via a plumber who works with one, by licensed tradespeople.
- Paperwork before work starts. A signed nomination form is required before installation; work completed first cannot be incentivised afterwards.
- Not income tested. There is no concession card requirement. NSW bill rebates such as the Low Income Household Rebate are separate and are covered on our NSW energy rebates page.
How the NSW hot water rebate is claimed, step by step
You never lodge a claim. The provider does the certificate work and you see the result on the quote. In order:
Get a quote showing the discount
Ask whether the installer offers the incentive and make sure the ESS discount and the STC discount are separate lines with the total you pay.
Sign the nomination form first
This lets the Accredited Certificate Provider create the certificates. It must be signed before installation begins.
Installation by licensed trades
A licensed plumber and, where needed, an electrician install the new system, show you how it works and remove the old unit.
Sign the post-installation declaration
You confirm the work was done as described and the installer takes photos as evidence. That closes the claim; nothing is refunded later because the discount was already on the price.
Electric versus gas replacements under the rebate
Most NSW claims are electric tanks going to heat pumps: the discount is largest, the installation is a like-for-like swap in the same spot, and the running cost drop is biggest. Gas-to-heat-pump is supported too, with three differences worth knowing before you compare quotes:
- Smaller NSW discount, up to $330 against up to $640, because the scheme counts the energy saved and a gas system uses less electricity to begin with.
- Higher installation cost, a licensed gasfitter caps or disconnects the gas, and the heat pump usually needs a new electrical circuit. Between Sydney and Newcastle a gas to heat pump conversion starts from $2,800 ex GST ($3,080 inc GST) for a Haier 250L and $3,050 ex GST ($3,355 inc GST) for a 330L, with that work and both incentives included.
- Bigger ongoing saving if it is your last gas appliance, because full disconnection also removes the daily gas supply charge from your bills.
The incentive is not available for installing a new gas system, and it is not available for a like-for-like electric tank.
How to tell a genuine rebate offer from a bad one
The 2023 and 2024 rush of $33 and free hot water offers is why the rules changed. Under the current scheme a legitimate NSW offer looks like this:
| Genuine | Walk away |
|---|---|
| You contacted them, or they answered your enquiry | They knocked on your door uninvited (banned since 12 September 2025) |
| Quote shows the ESS and STC discounts as separate lines and the amount you pay | "Free", "$33" or a fixed rebate promise with no installed price |
| Names the Accredited Certificate Provider and the exact model with a 5 year warranty | No provider named, unknown brand, warranty not stated |
| Nomination form signed before work, declaration and photos after | Wants to install first and "do the paperwork later" |
| Licensed plumber and electrician, licence checkable on the NSW register | Cannot show a licence number |
You can verify a tradesperson's licence on the NSW Government's Contractor and Tradespeople Register, and the list of Accredited Certificate Providers is published by IPART.
How it works
How Energy Rebate Check works
Check your postcode
Enter your postcode and what you have now to see the NSW pathways that may apply where you live.
Send a photo
After your price text, a link lets you upload a photo of the old unit and the space around it, so we can confirm the quote without a site visit.
We review the pathway
Your enquiry is checked against current NSW Energy Savings Scheme rules before it is placed with an accredited provider.
Compare the complete quote
You get an installed price with the incentives shown as separate lines, then decide.
We don't approve rebates; eligibility is always confirmed under current scheme rules.
FAQ
NSW hot water rebate questions
Yes. The NSW Government's Hot Water Upgrade Incentive is open with no closing date. It is delivered under the Energy Savings Scheme as an upfront discount on the installer's quote when an eligible heat pump or solar water heater replaces an existing electric or gas system, and federal Small-scale Technology Certificates usually apply to the same installation.
The NSW Government publishes indicative figures of up to $640 when an electric water heater is replaced with a heat pump and up to $330 when a gas water heater is replaced. The actual discount varies with the model, your location, the installer and certificate prices on the day. Federal STCs add a further discount on top, so combined, a typical electric-to-heat-pump swap in Sydney commonly attracts around $1,000 to $1,300 off the installed price. Neither is a fixed cash payment.
All NSW households and small businesses may be eligible if an existing electric or gas water heater is being replaced with an eligible heat pump, the installation is done through an Accredited Certificate Provider, and the paperwork is completed before work starts. Homes that already have an efficient heat pump or solar system may not be eligible, because the incentive is based on the energy the new system saves. Renters can generally take part with the owner's consent.
No. Rule changes that commenced on 12 September 2025 introduced a minimum customer payment on every incentivised installation, banned unsolicited door-knocking and required heat pumps to carry at least a 5 year warranty against defects. Any 2026 offer described as free or $33 is either out of date or not operating under the scheme rules.
No. The installer's Accredited Certificate Provider handles the certificate creation. You sign a nomination form before installation, agree to a quote that shows the discount, and sign a post-installation declaration afterwards. There is no application to lodge and no refund to wait for; the discount is on the price you pay.
Yes, when a gas storage or gas instantaneous system is replaced with an eligible heat pump. The indicative NSW discount is lower for gas replacements (up to $330) than electric (up to $640) because the energy savings calculation is smaller, and gas conversions cost more to install because of gasfitter and electrical work. As a guide, a gas to heat pump conversion between Sydney and Newcastle starts from $2,800 ex GST ($3,080 inc GST) for a Haier 250L, with that work and both incentives included. The rebate does not apply to installing a new gas system.
The Energy Savings Scheme incentive can apply when an electric or gas water heater is replaced with a solar electric-boosted water heater, and federal STCs apply to eligible solar water heaters. In practice most NSW installers offer the incentive on heat pumps, which are cheaper to install and suit more homes.
Yes. They are separate schemes and both can contribute to the same eligible installation. The NSW discount comes through the Energy Savings Scheme and STCs come from the federal Small-scale Renewable Energy Scheme; a legitimate quote shows each as its own line.
Yes. The incentive is available to households and small businesses regardless of tenure. A renter needs the property owner's consent for the installation, and landlords can claim it on rental properties they are upgrading.
Eligible models are those accepted by the scheme administrator, IPART, which since 12 September 2025 must carry a minimum 5 year warranty against defects covering the heat pump unit, tank and manufacturer components. For STCs the exact model must also be on the Clean Energy Regulator register. Your installer confirms both for the model they quote.
With the NSW rebate and federal STCs taken off, a Haier 250L heat pump replacing an outdoor electric tank is $2,310 installed and the 330L is $2,695, including GST, supply, a licensed plumber and removal of the old tank. Rinnai, Rheem and Reclaim heat pumps run from $2,899 to $4,400 installed, and a gas to heat pump conversion starts from $3,080 including GST with the gas capped and a new circuit included ($3,599, $3,699 and $5,100 for Rinnai, Rheem and Reclaim). A like-for-like electric tank gets no incentive, so it is often dearer than a rebated heat pump once the incentives are off.
Ask for the quote to show the ESS discount and STC discount as separate lines and the total you pay, ask which Accredited Certificate Provider will create the certificates, and expect to sign a nomination form before any work starts. An installer who arrives uninvited at your door, offers a free system, or wants to start work before paperwork is outside the current rules.
No. Energy Rebate Check is an independent information and enquiry service. We are not a government website, we do not administer the Energy Savings Scheme or STCs, and we do not approve rebates. Hot water enquiries are checked against the scheme rules and placed with accredited providers, and eligibility is always confirmed under current scheme rules.
Official sources
- Hot water upgrade incentive, NSW Climate and Energy Action, indicative amounts, eligibility and the step-by-step process
- Energy Security Safeguard schemes, IPART, scheme administrator, ESS Rule changes commencing 12 September 2025 and the list of Accredited Certificate Providers
- Small-scale Renewable Energy Scheme, Clean Energy Regulator, register of eligible heat pump water heaters
- Contractor and Tradespeople Register, NSW Government, verify a plumber's or electrician's licence
Rebate details and eligibility on this page are based on the NSW Energy Savings Scheme and the Small-scale Renewable Energy Scheme and are indicative only. Always confirm current details with the official sources above and your accredited provider before purchase or installation.
Related pages
See what the NSW hot water rebate is worth at your address
Your postcode, your current system and a photo are all we need to confirm the pathway and give you an installed price with the incentives already taken off. Free and no obligation.
Check my hot water rebate