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The Gas Substitution Roadmap (GSR) is guiding our state towards achieving net-zero emissions while offering more choices and lower energy bills.

The Department of Transport and Planning is collaborating with the Department of Energy, Environment, and Climate Action to put this roadmap into action.

This roadmap is one part of a broader strategy aimed at supporting Victoria's transition to clean energy as it lays out changes to planning and building regulations, including raising standards for new homes and commercial buildings by 2025.

Phasing out new residential gas connections

Starting January 1, 2024, the policy will phase out new gas connections for new dwellings, apartment buildings, and residential subdivisions requiring planning permits.

This will be implemented through an amendment to the Victoria Planning Provisions and all planning schemes.

This policy will affect the construction of new dwellings with planning permits but will not impact:

  • new dwellings that do not need a planning permit
  • existing homes with existing gas connections
  • renovations and extensions to existing dwellings.

Victoria builds over 50,000 new homes each year, with approximately 40,000 connecting to the gas network.

Prohibiting new gas connections is crucial to prevent the growth of fossil gas use and emissions, as well as expensive gas infrastructure.

The Victorian Government is taking bold steps to speed up the transition to renewable energy and has set ambitious emissions reduction targets. By 2035, the goal is to achieve a 75-80% reduction in emissions. In 2022-23, renewable sources accounted for 38% of Victoria's electricity generation, highlighting the state's commitment to a cleaner energy future. All-electric homes cost less to run and are more friendly.

Support and incentives for electrification

Solar Victoria is launching the residential electrification grants program, offering grants to providers involved in large-scale residential electrification projects across Victoria. These grants will benefit homeowners.

Solar Victoria also provides individual rebates for solar PV for new homes under construction. Additionally, they offer training programs to support electricians in designing and installing PV and batteries in new homes.

Consumer guidance

Solar Victoria is expanding its solar hub to educate consumers about whole-home electrification, addressing the interest of solar homeowners in electrifying heating and water heating.

Planning changes

Starting January 1 2024, planning changes will prohibit new dwellings, apartments, and residential subdivisions requiring permits from connecting to the gas network. This applies to both greenfield and infill sites across Victoria.

Existing permit applications lodged before 1 January 2024

Any permit application lodged before January 1 2024, will not be affected by the gas connection prohibition. The prohibition from connecting to the reticulated gas network will only apply to planning permit applications for new dwellings lodged after 1 January 2024.

Amending existing permits

A permit that’s lodged before January 1 2024, amendments to that permit after this date will not be subject to the gas connection prohibition.

Multi - staged subdivisions

For staged subdivisions, if the original permit application is lodged before January 1 2024, all stages within that subdivision are exempt from the gas connection prohibition, even if future stages are endorsed after this date.

Approval of a Precinct Structure Plan (PSP)

The approval of the PSP is not a planning permission for subdivision of land into individual lots. The gas connection ban will apply to planning permit applications for the subdivision of land lodged after 1 January 2024.

Concerns about house building costs

All-electric housing estates are cost-effective because they cut the need for gas infrastructure. For new homes, all-electric options can be more affordable upfront, especially with energy-efficient appliances.

Savings for all-electric homes

Residents of new, all-electric detached homes can save around $1,000 per year compared to dual-fuel homes. Savings can increase with solar installations.

Builders and industry trends

The building industry in Victoria is already shifting towards electrification. Prominent property developers and builders are embracing all-electric options.

Benefits of induction cooking

Modern induction cooking is efficient, convenient, and safe. It's a healthier choice compared to traditional gas stovetops, as recent studies have shown potential health risks associated with gas cooking.

BBQ and LPG usage unaffected

This change does not impact the use of LPG (bottled gas) for outdoor barbecues or in regional homes for hot water or cooking.

Support for gas appliance manufacturers

The Victorian Government will work closely with gas appliance manufacturers to manage impacts and support the industry during this transition.

New Government buildings

The Victorian Government will construct all new government buildings, including schools and hospitals, as all-electric, reducing emissions and reliance on gas while benefiting from all-electric technology.

More information

More information is on the Energy website found at the Victoria gas substitute roadmap page.

Page last updated: 19/09/23


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