Air conditioning mandatory in new rental standards

The Victorian government is calling for feedback on proposed new minimum standards for rental homes and rooming houses related to energy efficiency and safety. This includes, for the first time, a requirement for cooling.

From October 2025, homes coming under a new lease will require energy-efficient cooling and heating systems, as well as insulation and draught proofing. Outgoing gas hot water systems will also need to be replaced with an electric heat pump or solar water heater.

The minimum standard reforms have been developed to help renters reduce their energy costs and give them access to healthier, more comfortable, and safer housing. Research from Renew and Environment Victoria found that insulation and efficient reverse-cycle air conditioners can cut the cost of heating for renters in a Victorian winter by more than 75 per cent.

The energy-efficiency measures, along with the replacement of gas appliances, align with the Victorian government’s Gas Substitution Roadmap Update and the target for net-zero emissions by 2045.

For those in HVAC&R, the reforms will clearly lead to increased demand for the supply, installation and servicing of air conditioning systems.

The Regulatory Impact Statement and proposed regulations are available on the Engage Victoria website. Submissions in response to the Regulatory Impact Statement and proposed regulations can be made until 5pm AEST on Monday, July 1, 2024.

The Department of Energy, Environment and Climate Action and the Department of Government Services will also hold an information session from 3–3.45pm on June 6, 2024.