Split system prices 2026

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, $1,500 to $2,600 for a bedroom unit and $2,900 to $4,400 for open-plan living. When it replaces a gas room heater, the government-backed Victorian Energy Upgrades program has a published discount of $630 to $1,610 off your quote, and you pay a minimum co-payment of $200 including GST. No income test.

  • Installed across metro Melbourne through an Accredited Provider in our partner network
  • Sized to the room, with extras and the discount itemised
  • Owner-occupiers and private rentals both eligible
Illustration of a split system air conditioner in a living room
Melbourne prices

Split system installation cost by size.

Supply and standard installation, before any discount. The discount column shows the published figure when the new split replaces a gas room heater, the most common swap.

Typical installed split system prices in Melbourne, 2026
Split systemTypical installed priceDiscount if it replaces a gas room heater
2.5 to 3.5 kW (bedroom or study)$1,500 to $2,600$630 to $1,610 published for 3 to 9 kW; the provider confirms smaller units
5 to 6 kW (living room)$2,000 to $3,600$630 to $1,610
7 to 9 kW (open-plan living)$2,900 to $4,400$630 to $1,610
Multi-split, one outdoor unit and three or four heads$5,000 to $8,500published for a 10 kW outdoor unit replacing ducted gas: up to $2,940, minimum co-payment $1,000 including GST

Market ranges from 2026 Melbourne installer price lists and cost guides for quality brands and standard installs, checked 17 September 2026. They aren't quotes: premium brands, two-storey installs and electrical work move the number, and your itemised quote prices your home.

What moves the price

What's in a standard install, and what costs extra.

Most advertised split system prices assume a back-to-back install: the indoor unit on the inside of an external wall, the outdoor unit directly behind it, and a short pipe run through the wall. The price climbs when the job moves away from that.

  • Longer pipe runs, for example when the outdoor unit has to sit on another wall.
  • Upstairs rooms, where the outdoor unit needs brackets, a roof mount or extra access.
  • Electrical work, such as a new dedicated circuit or a switchboard upgrade. energy.vic.gov.au suggests asking your installer about switchboard suitability.
  • Noise and placement. Outdoor units need good airflow, and the Zone Energy Rating label shows noise levels in decibels, worth checking if the unit sits near a bedroom or a neighbour.
Split system discount Victoria

Is there a split system rebate in Victoria?

No cash rebate exists for split systems. The Victorian Energy Upgrades program is a government-backed discount, applied to your quote by an Accredited Provider, and the amount depends on what the new split replaces.

Split system discounts, government-published household figures
What it replacesWhat you installPublished discount
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 kWup to $840
Ducted gas heaterFour split systems: one 8 kW and three 3 kWup to $2,520
Older reverse-cycle splitSplit system, 3 to 9 kW$210
Nothing removedSplit system, 3 to 9 kW$70 to $140
  • Minimum co-payment: currently $200 including GST per installed split system under 10 kW, and $1,000 including GST for a multi-split system, under the Essential Services Commission's rules. Proposed change: The Victorian Government has proposed raising the minimum co-payment to $3,000 including GST for all ducted systems and for multi-splits of 10 kW or more, and capping multi-split incentives in homes at 20 kW, from 30 September 2026 once the program specifications are updated. Your quote follows the rules in force on your install date.
  • No income test, and private rentals are eligible.
  • Any system being replaced must be more than 2 years old.
  • The new split must be an approved high-efficiency reverse-cycle model with a minimum 5-year warranty.

Indicative household discounts from the Victorian Government's heating and cooling discounts page (updated 25 August 2026), checked 17 September 2026. The Accredited Provider confirms the exact amount for the model on your quote.

Sizing

What size split system do you need?

Too small and it struggles on the coldest and hottest days; too big and it costs more to buy, may cost more to run and can cause large temperature swings. This is the government's starting guide for single-split and multi-split systems.

Recommended heating output by room size, single-split and multi-split
Room sizeExample roomRecommended heating output
Small, up to 20 m²Bedroom, study2.5 to 3 kW
Medium, 21 to 40 m²Bedroom with ensuite, small lounge3 to 5 kW
Large, 41 to 60 m²Lounge, large kitchen5 to 8 kW
Very large, more than 60 m²Open-plan areas, large loungesmore than 8 kW

Source: energy.vic.gov.au, Choosing the right reverse cycle air conditioner (updated 14 April 2025). Ceiling height, insulation, glazing and orientation all change the right size, so an installer's load assessment is the best guide.

Running costs

Is a split system cheaper to run than a gas heater?

For heating a single room, usually. CHOICE's comparison (updated 12 May 2026) put a winter of heating a small room in an average climate zone at about $128 with a reverse-cycle split, $317.50 with a portable gas heater and $413 with a portable electric heater, based on 500 hours of use at peak prices (40c/kWh for electricity, 4c/MJ for gas). energy.vic.gov.au quotes indicative savings of up to $460 a year for replacing a gas room heater with an efficient reverse-cycle air conditioner. Your own costs depend on the room, the model and your tariffs.

Pair it with solar. Split systems run on electricity, so rooftop solar can cover daytime use. The federal STC discount is about $1,450 on a 6.6 kW system installed in 2026 in most of Melbourne (STC Zone 4). Price both on one walkthrough call.

Renters and landlords

Split systems in rentals, and the 2027 rules.

Private rentals are eligible for the discount. Under the Victorian Government's new efficiency standards, from 1 March 2027 a rental provider must replace heating that breaks beyond repair with an efficient electric reverse-cycle air conditioner in the main living area, and a rental needs energy-efficient cooling in the living area at the start of a new lease. Exemptions apply where compliance is impractical or too costly. A reverse-cycle split heats and cools, so one efficient split in the living area can address both rules; check the model meets the efficiency level the standards set.

Common questions

Split system installation, answered.

How much does split system installation cost in Melbourne?

Typically $1,500 to $2,600 installed for a 2.5 to 3.5 kW bedroom unit, $2,000 to $3,600 for a 5 to 6 kW living-room unit and $2,900 to $4,400 for a 7 to 9 kW open-plan unit, before any discount. Long pipe runs, two-storey installs and electrical work push the price up, so your quote should itemise them.

Is there a split system rebate in Victoria?

No cash rebate exists for split systems. The government-backed Victorian Energy Upgrades program gives a discount on your quote: $630 to $1,610 when a 3 to 9 kW split system replaces a gas room heater, up to $840 when it replaces a hard-wired electric room heater that's the home's main heating, and $70 to $140 when nothing is removed. There's no income test, and you pay a minimum co-payment of $200 including GST per split system under 10 kW.

What size split system do I need?

energy.vic.gov.au's guide suggests 2.5 to 3 kW of heating output for a room up to 20 m², 3 to 5 kW for 21 to 40 m², 5 to 8 kW for 41 to 60 m², and more than 8 kW for open-plan areas over 60 m². Ceiling height, insulation, windows and which way the room faces all change the answer, so an installer's load assessment beats a rule of thumb.

Is a split system cheaper to run than a gas heater?

For a single room, usually. CHOICE's winter comparison for a small room in an average climate zone put a reverse-cycle split at about $128, a portable gas heater at about $317.50 and a portable electric heater at about $413, based on 500 hours of use at peak prices (40c/kWh for electricity, 4c/MJ for gas). energy.vic.gov.au quotes indicative savings of up to $460 a year for replacing a gas room heater with an efficient reverse-cycle air conditioner.

What's included in a standard split system installation?

A standard install usually means a back-to-back job: the indoor and outdoor units sit on opposite sides of the same external wall, with a short pipe run between them. Longer pipe runs, a second-storey or roof-mounted outdoor unit, a new electrical circuit or a switchboard upgrade are common extras. For the larger replacement discount the old gas heater must be decommissioned as part of the upgrade, so check whether your quote includes removing it.

Is it better to get several split systems or a multi-split?

It depends on the house. When replacing ducted gas heating, a multi-split with a 10 kW outdoor unit attracts a published discount of up to $2,940 and a minimum co-payment, currently $1,000 including GST. The Victorian Government has proposed raising the minimum co-payment to $3,000 including GST for all ducted systems, and for multi-splits of 10 kW or more, from 30 September 2026. Four separate split systems (one 8 kW and three 3 kW) attract up to $2,520, with a minimum co-payment of $200 including GST for each split. A multi-split needs less outdoor wall space; separate splits keep each room independent. For whole-home comfort, ducted is often the better fit.

Can renters get a split system with the discount?

Private rentals are eligible for the Victorian Energy Upgrades discount, and landlords and tenants are encouraged to plan the upgrade together. From 1 March 2027, rental providers must replace heating that breaks beyond repair with an efficient electric reverse-cycle air conditioner in the main living area, and a rental needs energy-efficient cooling in the living area at the start of a new lease. Exemptions apply where compliance is impractical or too costly.

Can a split system run on solar?

Yes. Every reverse-cycle air conditioner is electric, so rooftop solar can supply it while the sun is up. 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.

Related: air conditioning installation in Melbourne, replacing gas ducted heating and air conditioning discounts in Victoria.

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