What the rules say today
Every Victorian rental must have a fixed heater, not a portable one, in good working order in the main living area. For rental agreements entered into from 29 March 2023, it has to be an energy efficient fixed heater, and an existing heater that isn't energy efficient must be upgraded.
Until 28 February 2027, "energy efficient" is broad. It can be a non-ducted air conditioner or heat pump with a 2 star or above heating rating, a gas space heater with a 2 star or above rating, a ducted or hydronic heating system with an outlet in the main living area, or a domestic solid fuel burning appliance.
What changes on 1 March 2027
From 1 March 2027 the definition narrows to electric. An energy efficient fixed heater then means an electric, non-portable, non-ducted air conditioner or heat pump that can heat, with a 2 star or above heating rating, or an electric ducted heating system with a Heating Seasonal Performance Factor (HSPF) of 3.2 or above.
Consumer Affairs Victoria says the new heating standard applies when an existing system permanently fails or cannot be repaired. At that point the main living area needs an energy efficient fixed heater under the new definition.
There's a let-out where installing one would be unreasonable. Even then, a fixed heater in good working order is still required in the main living area.
Which heaters count, before and after 1 March 2027
| Until 28 February 2027 | From 1 March 2027 | |
|---|---|---|
| Non-ducted air conditioner or heat pump | 2 star or above heating rating | Electric, with a 2 star or above heating rating |
| Gas space heater | Counts at 2 star or above | Not in the new definition, though a working pre-existing one of 2 star or above can stay |
| Ducted heating | Counts with an outlet in the main living area | New installs must be electric with an HSPF of 3.2 or above, though a working pre-existing ducted system can stay |
| Hydronic heating | Counts with an outlet in the main living area | Not in the new definition, though a working pre-existing system can stay |
| Solid fuel heater | Counts | Not in the new definition |
When the existing heater can stay
The regulations say it's "unreasonable" to install a new heater if there's already a fixed heater in good working order in the main living area of a listed type. The list includes a 2 star or above gas space heater and a ducted or hydronic system. Pre-existing means installed and in place before 1 March 2027.
Other grounds include an installation cost significantly higher than average for an equivalent building, the need for network augmentation, replacing an identical type under a manufacturer, supplier or installer warranty, owners corporation rules, a refused heritage permit, and where it isn't reasonably practicable.
For that cost test, the electrical work needed to enable the install and any switchboard upgrade aren't counted as part of the installation cost. So, on cost grounds, a new switchboard can't be the reason an electric heater is ruled unreasonable.
Cooling: not required yet, then in two stages
Victorian rentals don't have to provide cooling yet. From 1 March 2027, an energy efficient fixed cooler is needed in the main living area when a new rental agreement starts or a current one converts to month-to-month. From 1 July 2030, every rental must provide fixed cooling, whenever its agreement started.
An energy efficient fixed cooler means a non-portable, non-ducted electric air conditioner or heat pump with a 3 star or above cooling rating, or a ducted electric system with a Total Cooling Seasonal Performance Factor of 3.8 or above.
On our reading, one reverse cycle split with at least 2 stars for heating and 3 stars for cooling looks like it could satisfy both definitions, but that's for Consumer Affairs Victoria or your own adviser to confirm, not us. Ask the installer to show you both ratings on the energy label before you sign.
If the property has a ducted evaporative cooler that fails and can't be repaired, Consumer Affairs Victoria says it can be replaced with another ducted evaporative cooler with an outlet in the main living area, or upgraded to a compliant fixed cooler.
Gas heaters in rentals: the safety checks and the warning signs
Rental providers must have a gas safety check done every 2 years by a licensed or registered gasfitter, and from 13 October 2026 the two-yearly gas and electrical checks apply to all rental properties. If people in the home get headaches, dizziness or nausea, especially if they only feel unwell at home, Energy Safe Victoria says to treat it as possible carbon monoxide: get out into fresh air, turn off the gas appliances and open the windows and doors, and see a doctor, or dial 000 in an emergency. After that, the heater stays off until a qualified gasfitter has checked it over.
If the living area heater dies after 1 March 2027
Find out whether it can be repaired
Have a licensed technician (a gasfitter, for a gas heater) say in writing whether it can be fixed. The new standard is triggered when the existing system permanently fails or can't be repaired.
Check whether a new heater would be unreasonable
Any of the grounds above can apply, from owners corporation rules to a warranty replacement. A fixed heater in good working order is still needed either way.
Choose a compliant replacement
A non-ducted electric reverse cycle system with a 2 star or above heating rating, or electric ducted heating with an HSPF of 3.2 or above.
Think about cooling at the same time
If a new agreement or a month-to-month conversion is coming, a reverse cycle unit with a 3 star or above cooling rating also meets the cooling definition.
Keep the records
The repair report, the quote showing the ratings, and the install paperwork. For a Victorian install, keep the Certificate of Electrical Safety and the plumbing compliance certificate with them.
Who these rules apply to
These are rental standards. If you own the home you live in, DEECA says there's no requirement for existing homes to upgrade gas space heating to electric.
The other 2027 gas dates are about different things. From 1 January 2027, new reticulated gas connections are banned for buildings under construction and for existing buildings that don't already have gas. From 1 March 2027, replacing a gas water heater with another gas water heater in an existing home is prohibited, with exemptions. Neither is a rule about gas space heaters.
Rooming houses have their own rule. Since 1 December 2025, rooming house providers must install a fixed heater, secured to a wall, floor or ceiling, in each resident's room.
Victorian Energy Upgrades can apply to rentals too: a landlord who arranged the upgrade is taken to be the consumer, even when the renter is the electricity customer. Our gas or electric checker walks through the options when a gas heater has died.
What renters, landlords and installers each handle
You can
- Renters: report a heater that's stopped working, and do it in writing.
- Renters: ask for the latest gas safety check. It must be handed over within 7 days of a written request.
- Landlords: book the gas and electrical safety checks every 2 years.
Leave to a licensed installer
- Deciding whether the old heater can be repaired.
- Sizing and fitting the replacement under the right refrigerant, plumbing and electrical licences.
- Gas safety checks, which need a gasfitter endorsed for Type A Gas Appliances Servicing on their Plumbers Identity Card.
- Issuing the Certificate of Electrical Safety and the plumbing compliance certificate.
What we'd do
Our take
If we owned a rental whose gas heater met today's rules and still worked, we wouldn't rip it out early because of 2027. We'd keep it serviced and safety checked, and get a reverse cycle replacement quoted now, so the decision isn't rushed on the cold night it finally fails. A split system installer who does rental replacements regularly will know which heating and cooling ratings to put on the quote.
