Split system
One indoor unit for one room or open-plan area. The lowest upfront cost, and the usual choice for replacing a gas room heater in the living area. Published discount $630 to $1,610 when it replaces a gas room heater.
Heating and cooling Melbourne
Air conditioning installation in Melbourne, with the government-backed discount on your quote.
Split, multi-split and ducted reverse-cycle for Melbourne homes. Replace an existing gas heater more than 2 years old and the government-backed Victorian Energy Upgrades discount can come off your quote: up to $5,530 on ducted or up to $2,940 on a multi-split replacing ducted gas heating, and up to $1,610 on a split system replacing a gas room heater. No income test.
- Government-published discounts, confirmed on your itemised quote
- Installed through an Accredited Provider in our partner network
- Owner-occupiers and private rentals both eligible
Air conditioning discounts Melbourne
How much is the air conditioning discount in Melbourne?
It depends on what you install and what it replaces. The government publishes an indicative discount for each upgrade, and the Accredited Provider confirms the exact amount on your quote. These are the household figures: the statewide numbers the government publishes, with no separate Melbourne schedule.
| What it replaces | What you install | Published discount |
|---|---|---|
| Ducted gas heater | Multi-split system with a 10 kW outdoor unit | up to $2,940 |
| Ducted gas heater | Four split systems: one 8 kW and three 3 kW | up to $2,520 |
| Gas room heater (non-ducted) | Split system, 3 to 9 kW | $630 to $1,610 |
| Hard-wired electric room heater (the home's main heating) | Split system, 3 to 9 kW | up to $840 |
| Older reverse-cycle split | Split system, 3 to 9 kW | $210 |
| Nothing removed | Split system, 3 to 9 kW | $70 to $140 |
| What it replaces | What you install | Published discount |
|---|---|---|
| Ducted gas heater | Ducted reverse-cycle, 22.4 kW | up to $5,530 |
| Ducted gas heater | Ducted reverse-cycle, 16 kW | up to $4,200 |
| Ducted gas heater | Ducted reverse-cycle, 10 kW | up to $2,520 |
| Central electric ducted heater (100 m² or more) | Ducted reverse-cycle, 10 to 22.4 kW | up to $5,460 |
| Older ducted reverse-cycle | Ducted reverse-cycle, 10 / 16 / 22.4 kW | up to $490 / $770 / $910 |
| Nothing removed | Ducted reverse-cycle, 10 to 22.4 kW | up to $410 |
Indicative household discounts from the Victorian Government's heating and cooling discounts page (updated 25 August 2026), checked 17 September 2026. Conditions: an approved high-efficiency reverse-cycle air conditioner that heats and cools, a minimum 5-year warranty, any system being replaced must be more than 2 years old, and an Accredited Provider applies the discount. No income test.
You always pay something. Under the program's co-payment rules, the minimum you pay is $200 including GST per product for a split system under 10 kW, and $1,000 including GST per product for a multi-split, a ducted system or a split of 10 kW or more. In April 2026 the Victorian Government consulted on capping multi-split discounts and raising the minimum co-payment for multi-split and ducted systems. If changes are confirmed, your quote follows the rules in force on your install date.
Melbourne prices
How much does air conditioning installation cost in Melbourne?
A 5 to 6 kW living-room split typically costs $2,000 to $3,600 installed in Melbourne, and a whole-home ducted system for a four-bedroom house $11,000 to $18,000, before any discount. Here's the full picture, with the discount that usually matters for each.
| System | Typical installed price | Published discount if it replaces an existing heater |
|---|---|---|
| Small split, 2.5 to 3.5 kW (bedroom or study) | $1,500 to $2,600 | replacing a gas room heater: $630 to $1,610 published for 3 to 9 kW; the provider confirms smaller units |
| Medium split, 5 to 6 kW (living room) | $2,000 to $3,600 | replacing a gas room heater: $630 to $1,610 |
| Large split, 7 to 9 kW (open-plan living) | $2,900 to $4,400 | replacing a gas room heater: $630 to $1,610 |
| Multi-split, one outdoor unit and three or four indoor heads | $5,000 to $8,500 | only with a 10 kW outdoor unit replacing ducted gas: up to $2,940 |
| Ducted reverse-cycle, about 10 kW (2 to 3 bedrooms) | $8,000 to $12,000 | replacing ducted gas: up to $2,520 |
| Ducted reverse-cycle, 14 to 16 kW (4 bedrooms) | $11,000 to $18,000 | 16 kW replacing ducted gas: up to $4,200 |
| Ducted reverse-cycle, 22.4 kW (larger homes) | priced per home | replacing ducted gas: up to $5,530 |
A worked example.A 16 kW ducted reverse-cycle system replacing ducted gas heating in a four-bedroom Melbourne home typically lands between $11,000 and $18,000 installed. If the full published discount of $4,200 applies, that's roughly $6,800 to $13,800, before any extras such as removing the old heater, an electrical upgrade or a tricky roof space, which your quote lists separately.
Price ranges are market ranges from 2026 Melbourne installer price lists and cost guides, checked September 2026, for quality brands and standard installs. They aren't quotes: two-storey homes, long pipe runs, premium brands and switchboard work move the number, and your itemised quote prices your home.
Split, multi-split or ducted
Which type of air conditioning suits your home?
Multi-split system
One outdoor unit running several indoor heads. Suits homes that want a few rooms covered without ductwork, or with limited outdoor space. Up to $2,940 off when it replaces ducted gas heating.
Ducted reverse-cycle
Whole-home heating and cooling through ceiling or floor vents, with zones. The natural swap for an existing ducted gas system, and the largest published discounts: up to $5,530.
Replacing gas heating
Swapping gas ducted heating for reverse-cycle in Melbourne.
Replacing a ducted gas heater with efficient reverse-cycle air conditioning attracts the largest published household heating and cooling discounts, and energy.vic.gov.au quotes energy bill savings of up to $1,140 a year for that swap. You also get cooling for summer from the same system. Replacing a gas room heater with an efficient split is quoted at up to $460 a year in savings.
What changes in 2027. Under the Victorian Government's new efficiency standards, from 1 March 2027 a rental provider whose heating or hot water appliance breaks beyond repair must replace it with an efficient electric reverse-cycle air conditioner in the main living area or a heat pump water heater. Existing owner-occupiers don't have to replace gas heating; their 2027 rule covers gas hot water that breaks beyond repair. Exemptions apply where compliance is impractical or too costly.
Air conditioning plus solar
Pair your new air conditioning with rooftop solar.
Swapping gas heating for reverse-cycle moves that heating onto your electricity bill. Rooftop solar generates electricity during the day, so it can supply cooling and heating that runs while the sun is up, which is why it's worth pricing the two together.
- Federal STC discount: about $1,450 off a 6.6 kW system installed in 2026 in most of Melbourne (STC Zone 4), and about $1,650 in Zone 3 postcodes such as Craigieburn, Epping, Melton and Sunbury. No income test.
- Solar Homes rebate: up to $1,400 for eligible households (combined income under $150,000, plus other conditions), plus an optional interest-free loan of up to $1,400 that you repay.
- One walkthrough: tick air conditioning and solar in the quiz and both are covered on the same walkthrough call.
Solar figures and eligibility on the Victorian solar rebate page.
Find your suburb
Air conditioning discounts by Melbourne suburb.
The published discounts are the same statewide household figures in every suburb. Find your suburb for local answers, then enter your address in the quiz and we'll confirm on the call whether an Accredited Provider in our partner network installs in your area.
Melbourne North
Melbourne West
Melbourne South East
Melbourne East
Melbourne Bayside
How it works
From old heater to reverse-cycle, tidily.
1
Book the walkthrough
Fill in the 60-second quiz and a Tidy specialist calls once to book a free 30-minute phone walkthrough of your home and current heating.
2
Get the itemised quote
The system, the install, any extras and the government-backed discount, itemised so you can see what you pay.
3
Install day
An Accredited Provider in our partner network, or their partner installer, installs an approved model and handles the program paperwork.
Common questions
Air conditioning in Melbourne, answered.
Is there an air conditioning rebate in Melbourne?
Not as a cash rebate. What Melbourne homes get is a government-backed discount through the Victorian Energy Upgrades program, taken off the quote by an Accredited Provider. The published household figures are up to $5,530 off a ducted reverse-cycle system that replaces ducted gas heating, up to $2,940 off a multi-split system that replaces ducted gas heating, and $630 to $1,610 off a split system that replaces a gas room heater. There's no income test.
Is there a free air conditioner in Victoria?
No. The Victorian Energy Upgrades program is a discount, and under the program's rules the product can't be free: you pay a minimum co-payment of $200 including GST per product for a split system under 10 kW, and $1,000 including GST per product for a multi-split, a ducted system or a split of 10 kW or more. Ads promising a free government air conditioner are describing this discount.
How much is the discount on a multi-split air conditioner?
Up to $2,940 when a multi-split system with a 10 kW outdoor unit replaces ducted gas heating, per the government's published household figures. If you install four separate split systems instead (one 8 kW and three 3 kW) to replace ducted gas heating, the published figure is up to $2,520. Both are indicative: the exact amount depends on the approved model and the Accredited Provider, and it's shown on your quote.
How much does split system installation cost in Melbourne?
Typically $2,000 to $3,600 installed for a 5 to 6 kW living-room split in Melbourne, $1,500 to $2,600 for a 2.5 to 3.5 kW bedroom unit, and $2,900 to $4,400 for a 7 to 9 kW open-plan unit, before any discount. The published discount for a 3 to 9 kW split system that replaces a gas room heater is $630 to $1,610. Two-storey installs, long pipe runs and electrical upgrades push prices up, which is why your quote is itemised.
Can I replace gas ducted heating with reverse-cycle air conditioning?
Yes, and it's the upgrade with the largest published household heating and cooling discounts: up to $2,520 for a 10 kW ducted reverse-cycle system, up to $4,200 for 16 kW and up to $5,530 for 22.4 kW. energy.vic.gov.au quotes energy bill savings of up to $1,140 a year for replacing a ducted gas heater with efficient reverse-cycle. Replacing a central electric resistance ducted heater that heats at least 100 m² of floor area attracts up to $5,460.
Do I have to remove an old heater to get a discount?
The big discounts come from replacing an existing heater or older air conditioner, and the system being replaced must be more than 2 years old. A new reverse-cycle install with nothing removed still attracts a small published discount: $70 to $140 for a split system of 3 to 9 kW, or up to $410 for a 10 to 22.4 kW ducted system.
Is there an income test for the air conditioning discount?
No. All Victorian households are eligible, and private rental properties are eligible too. The system has to be an approved high-efficiency reverse-cycle air conditioner that heats and cools, with a minimum 5-year warranty for a home.
I own a rental in Melbourne. What changes in 2027?
From 1 March 2027, when a heating or hot water appliance in a rental breaks and can't be repaired, the rental provider must replace it with an efficient electric reverse-cycle air conditioner in the main living area or a heat pump water heater. Also from 1 March 2027, a rental needs energy-efficient cooling in the living area at the start of a new lease, and by 1 July 2030 every rental does. Exemptions apply where compliance is impractical or too costly. Private rentals are eligible for the Victorian Energy Upgrades discount, so replacing an old gas heater before it fails can happen on your timeline.
Do Melbourne homeowners have to replace gas heating in 2027?
No. For existing owner-occupiers there's no requirement to switch gas space heating to electric. The 2027 rule for owner-occupiers covers gas hot water: from 1 March 2027, if a gas hot water appliance breaks and can't be repaired, it must be replaced with an electric alternative.
Who installs the air conditioning?
An Accredited Provider in Tidy's install partner network, the only type of business that can apply the Victorian Energy Upgrades discount. They, or their partner installer, install an approved model and handle the program paperwork. Tidy handles the free phone walkthrough, the itemised quote and the customer relationship. Nobody door-knocks you: you fill in the online quiz and we call once to book the walkthrough.
Can I run a new reverse-cycle air conditioner on solar?
Yes. Reverse-cycle air conditioning runs on electricity and rooftop solar generates it during the day, so it's worth pricing the two together. For a 6.6 kW solar system installed in 2026, the federal STC discount is about $1,450 in most of Melbourne (STC Zone 4) and about $1,650 in Zone 3 postcodes such as Craigieburn, Epping, Melton and Sunbury. Eligible households (combined income under $150,000, plus other conditions) can add the Solar Homes rebate of up to $1,400.
More detail on the program itself: air conditioning discounts in Victoria and Tidy Home HVAC.
The team was professional, helpful, and easy to deal with throughout the entire process. They explained everything clearly and kept me informed every step of the way. The installation went smoothly and was completed efficiently.
I truly appreciate all the assistance they provided with my queries. Their customer service was outstanding — they guided me through the entire process from start to finish and exceeded my expectations.
I had a great experience with Tidy Energy. The service was reliable, the setup process was straightforward.
I had a great experience with Tidy Energy. The team was professional, friendly, and responsive throughout the entire process. They explained everything clearly, kept me informed, and made the experience smooth and hassle-free. Highly recommend to anyone looking for a reliable and trustworthy energy company.
I had an excellent experience with Tidy Energy. Their team was professional, knowledgeable, and responsive throughout the entire process. They provided reliable service, communicated clearly, and made everything simple and stress-free. It's refreshing to work with a company that truly values its customers and delivers on its promises.
Outstanding service from start to finish! The installers were courteous, knowledgeable, and worked very efficiently. They made sure everything was installed properly and left the area clean afterward. I really appreciate how easy the whole process was. Thank you for providing such excellent service!
From the initial consultation to the final installation, the team was professional, knowledgeable, and efficient. They took the time to explain everything clearly, answered all questions, and made the entire process smooth and stress-free.
The team was professional, helpful, and easy to deal with throughout the entire process. They explained everything clearly and kept me informed every step of the way. The installation went smoothly and was completed efficiently.
I truly appreciate all the assistance they provided with my queries. Their customer service was outstanding — they guided me through the entire process from start to finish and exceeded my expectations.
I had a great experience with Tidy Energy. The service was reliable, the setup process was straightforward.
I had a great experience with Tidy Energy. The team was professional, friendly, and responsive throughout the entire process. They explained everything clearly, kept me informed, and made the experience smooth and hassle-free. Highly recommend to anyone looking for a reliable and trustworthy energy company.
I had an excellent experience with Tidy Energy. Their team was professional, knowledgeable, and responsive throughout the entire process. They provided reliable service, communicated clearly, and made everything simple and stress-free. It's refreshing to work with a company that truly values its customers and delivers on its promises.
Outstanding service from start to finish! The installers were courteous, knowledgeable, and worked very efficiently. They made sure everything was installed properly and left the area clean afterward. I really appreciate how easy the whole process was. Thank you for providing such excellent service!
From the initial consultation to the final installation, the team was professional, knowledgeable, and efficient. They took the time to explain everything clearly, answered all questions, and made the entire process smooth and stress-free.
Melbourne, VIC
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