Don’t wait for your old hot water system to fail. Take advantage of the heat pump hot water government rebate while it’s available.
Limited-time government rebates and incentives are currently helping eligible NSW homeowners reduce the cost of upgrading to an energy-efficient heat pump hot water system.
We are Accredited Providers under the rebate program.
As Accredited Providers under the program, Cheapa Hot Water is authorised to process eligible incentives on behalf of our customers. We can confirm your eligibility, manage the necessary paperwork and apply the savings upfront, significantly reducing the purchase and installation cost of your new system.
Hurry, this financial assistance won’t be available indefinitely.
The NSW Government’s enhanced heat pump hot water incentive is scheduled to end in June 2027, but is likely to close early as allocated funding is running out.
Federal Government incentives are also available for eligible heat pump and solar hot water systems, although their value reduces each year as the scheme approaches its conclusion in 2030.
If your existing hot water system is ageing, unreliable or expensive to operate, now may be the ideal time to replace it rather than waiting for it to fail.
Hot water system rebate advice
Call 0410 693 532
For advice on the value of the Government rebates available to you, contact our team. We can give you advice over the phone.
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Is your hot water system more than 10 years old?
Upgrade now and take advantage of the heat pump rebate.
Hot water systems do not last forever. While their expected service life varies according to the system type, water quality, usage and maintenance history, a system that is more than 10 years old may be approaching the stage when faults and breakdowns become more likely.
Warning signs your hot water system may be nearing it’s end of life:
- Water taking longer to heat
- Hot water running out sooner
- Fluctuating water temperature
- Rust-coloured or discoloured water
- Unusual noises coming from the tank
- Water leaking around the system
- Increasing electricity or gas usage
- Recurring faults or repair bills
Older systems can sometimes be repaired, but replacement may provide better value when the storage tank has corroded, essential parts are no longer available or the cost of repairs is high compared with the cost of a new system.
Waiting until your system completely fails can leave you making an urgent decision without enough time to compare models, investigate your eligibility for a heat pump hot water rebate or choose the most energy-efficient option.
Planning your replacement now gives you more control and may allow you to claim the available heat pump hot water government rebate before the funding is exhausted or the incentives reduce.
Call 0410 693 532
Thinking about switching from gas hot water?
Many Australian households are reconsidering their reliance on gas. The available heat pump hot water rebate may make switching from gas to an energy-efficient electric system more affordable.
You may want to replace your gas hot water system because your gas bills are increasing, you want to reduce your household’s reliance on fossil fuels, or you are gradually converting your home to all-electric appliances. Hot water may be your last remaining gas appliance, or you may want to make better use of the electricity generated by your rooftop solar panels. Your existing gas system may also be ageing, unreliable or approaching the end of its service life.
Replace your gas water heater with a rebate approved heat pump
Replacing gas hot water with an electric heat pump can be an important step towards electrifying your home. If hot water is your last gas appliance, making the switch may also allow you to investigate disconnecting the gas supply and avoiding its ongoing daily connection charge.
The NSW Government advises that hot water heating accounts for around 29% of an average NSW household energy bill, so choosing an efficient replacement can make a meaningful difference to future running costs.
Do you have rooftop solar panels?
If you have solar photovoltaic panels, an energy-efficient heat pump can help you make better use of the electricity generated on your roof.
Use rooftop solar to heat and store your hot water for later use.
A suitably configured heat pump can be programmed to operate during the day when your solar panels are producing electricity. Rather than exporting all your excess solar power to the grid, you can use some of it to heat and store water for use later.
In this way, your hot water tank can effectively store energy as hot water.
The results will depend on your solar system, household usage, electricity tariff and the way the heat pump is configured. Cheapa Hot Water can help you select and set up a system that works effectively with your household’s energy usage.
How does a heat pump hot water system work?
Heat pump hot water systems work like an air conditioner, but in reverse.
A heat pump does not generate heat in the same way as a traditional electric element. It uses electricity to transfer heat from the surrounding air into the water stored in its tank.
The process works in a similar way to a refrigerator or reverse-cycle air conditioner, but in reverse:
- A fan draws in air from around the system.
- Heat contained in the air is absorbed by a refrigerant.
- A compressor increases the refrigerant’s temperature.
- The captured heat is transferred into the water.
- The process repeats until the water reaches the required temperature.
Because heat pumps transfer existing heat rather than producing all their heat directly from electricity, they use considerably less electricity than conventional electric storage systems. The Australian Government advises that heat pumps can use approximately 30% of the energy required by a conventional electric hot water system.
Heat pumps are available in two main configurations:
- Integrated heat pumps: The tank and compressor are combined in one unit
- Split-system heat pumps: The tank and compressor installed separately
The right option depends on the available space, household size, hot water usage, location and proximity to neighbouring properties.
What about solar hot water?
Solar hot water systems use roof-mounted collectors or evacuated tubes to absorb heat from the sun. This heat is then transferred to water stored in a tank.
There are two types of solar hot water configurations
- Rooftop solar hot water: The collectors and storage tank are installed on the roof
- Split solar hot water: The collectors are installed on the roof and the storage tank is positioned at ground level
Solar hot water systems include a booster to ensure you still have hot water during periods of poor weather, low sunlight or unusually high demand. Depending on the system, this backup booster may be powered by electricity or gas.
Eligible solar hot water systems may qualify for the Federal Government STC incentive. However, the limited NSW enhanced incentive currently being promoted applies to eligible heat pump water heaters, not every solar hot water installation.
We can compare the available incentives and help you determine whether a heat pump or solar hot water system offers better value for your property.
How much could you save with a heat pump hot water rebate?
The value of the heat pump hot water government rebate and other available incentives depends on factors including:
- Your existing hot water system
- The replacement system and model
- Your property and postcode
- Whether the product is included on the relevant approved register
- The installation requirements
- The number and market value of applicable STCs
- Your eligibility for NSW and other available incentives
We can tell you exactly how much rebate you can claim
Rather than quoting a single rebate amount that may not apply to everyone, we can check your circumstances, explain which incentives may be available and recommend an eligible system suited to your property.
Plan now, before your water heater breaks down
When a hot water system suddenly fails, restoring hot water usually becomes the immediate priority. That can make it difficult to properly investigate energy efficiency, compare products or make the best long-term decision.
Planning ahead gives you the freedom to choose the best option.
Planning ahead gives you time to compare heat pump and solar hot water options, choose the correct capacity for your household and check your eligibility for available incentives. You can also consider compatibility with rooftop solar, budget for any electrical or plumbing work, avoid paying for further repairs to a system nearing the end of its life and arrange installation at a convenient time.
Most importantly, you can take advantage of the incentives available today rather than assuming comparable assistance will still be available when your old system eventually fails.
Heat pump hot water rebate FAQs
What is a heat pump hot water government rebate?
The term generally refers to government incentives that reduce the upfront cost of purchasing and installing an eligible heat pump hot water system. Depending on your circumstances, NSW and Federal Government incentives may be available.
What is a “rebate heat pump”?
People sometimes use the search phrase “rebate heat pump” when looking for a heat pump water heater that qualifies for government financial assistance.
There is no separate type of water heater called a rebate heat pump. The system must be an eligible model included on the relevant approved product register.
Can Cheapa Hot Water process the rebate for me?
Yes. As Accredited Providers under the program, Cheapa Hot Water can check your eligibility, process applicable incentives on your behalf and apply the savings upfront. This can significantly reduce the supply and installation cost of your new heat pump hot water system.
Will every heat pump qualify for a rebate?
No. Eligibility depends on the heat pump model, your existing water heater, property location, installation requirements and the conditions of the relevant incentive program.
Contact Cheapa Hot Water on 0410 693 532 before purchasing a system so we can check which rebates may apply.
Find out whether you qualify for a heat pump hot water rebate
If your hot water system is more than 10 years old, your gas or electricity costs are rising, or you want to make better use of your rooftop solar, now is the time to consider your replacement options.
Cheapa Hot Water supplies and installs integrated heat pumps, split-system heat pumps, rooftop solar hot water and split solar hot water systems throughout Sydney. As Accredited Providers under the program, we can check your eligibility, process the available government incentives on your behalf and apply the savings upfront.
Our licensed plumbers and electricians manage the complete installation, so there is no need to coordinate multiple trades.
Don’t wait until your old system fails. Call us today to find out whether you qualify for a heat pump hot water rebate while government incentives are still available.
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The benefits of dealing with dedicated hot water specialist plumbers
Our experienced, licensed hot water specialists provide fast, reliable assistance throughout Sydney. With fully equipped service vehicles and access to a wide range of systems and spare parts, we can complete many repairs and replacements without unnecessary delays.
- Licensed and insured hot water specialists
- Licensed plumbers and electricians – no need to outsource to multiple trades.
- We do not outsource or use subcontractors.
- Authorised to repair and install all water heater makes and models
- Thousands of hot water systems repaired and installed throughout Sydney
- Fast, same-day service available
- Fully stocked service vehicles
- A wide choice of replacement hot water systems
- Expert advice from qualified hot water technicians
- Competitive pricing, with any genuine quote beaten
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Fast hot water repairs throughout Sydney
Our licensed hot water technicians provide fast repair services throughout Sydney including the Northern Beaches, Upper and Lower North Shore, Eastern Suburbs, Hills District, Inner West, Western Suburbs + Blacktown, St George + Bexley, Campbelltown, Sutherland Shire, Penrith, Liverpool, Hornsby, and Ryde. With fully stocked service vehicles and access to thousands of spare parts, we can often diagnose and repair your hot water system on the first visit.