Free fridges scheme suspended over ‘ridiculous’ bungle

Parts of Labor’s free fridges scheme have been suspended after rorting of the system and dumped appliances outside Melbourne businesses.

Victoria’s Essential Services Commission has urgently suspended carbon credits for installing groups of energy-efficient fridges as it investigates dumping of appliances and rorting of the state’s energy upgrade schemes.

The regulator, which oversees the Victorian Energy Upgrades program that is linked to the bungle, has confirmed it is aware of the issue.

Fridges are being dumped on businesses that do not want or need them because installers are claiming lucrative carbon credits for handing them out.

The government’s program is designed to encourage people to replace ageing appliances with more energy-efficient models.

But the carbon credits provided for fridges are so profitable that installers are handing them out for free to businesses who do not need appliances to claim them, which is not reducing greenhouse emissions in any way.

The ESC said the behaviour was unacceptable

“We are aware of instances of large numbers of refrigerated cabinets being dumped on the street or provided to customers who don’t want them,” the ESC said.

“Businesses accredited under the Victorian Energy Upgrades program are on notice that we will not tolerate this behaviour.

“We will not be progressing the registration of Victorian energy efficiency certificates for multiple installations of refrigerated cabinets while we investigate this behaviour as an urgent priority.

Fridges were dumped outside a Healesville business. Picture: Jacqui Felgate

“The commission will not hesitate to take strong enforcement action against accredited persons where we find breaches of the program rules.

“This could include suspension from the program and the surrender of Victorian energy efficiency certificates.

“The dumping of these appliances on public thoroughfares must stop and we will alert the relevant authorities.”

Victorian business owners had been left confused after being bombarded with dozens of fridges as part of the bizarre net zero scheme bungle.

Owners were being hounded and harassed by installers through hundreds of phone calls urging them to sign up for more appliances.

LaManna and Sons co-owner Jordan LaManna told the Herald Sun he had received between 30 to 40 fridges across his four businesses located in Richmond and South Yarra.

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Mr LaManna said he didn’t apply for them, rather he was approached about two weeks ago about the scheme.

“I thought it was a scam and then realised it wasn’t,” he said.

“We thought we would just get a couple but they just kept rocking up.

“The whole situation just doesn’t make sense.”

Mr LaManna said he was trying to use the fridges as best as he could.

“We ended up giving some to staff, we didn’t want them to go into landfill, that’s just ridiculous” he said.

“I don’t understand how these companies are making these fridges and giving them away to offset their carbon but they are being delivered on a shipping container then they are being trucked around using petrol.

“It doesn’t really make sense when you are talking about offsetting carbon.”

Mr LaManna said he was expecting more fridges to be delivered but was planning on donating them to charity.

A fridge LaManna and Sons received as part of the scheme. Picture: Supplied

It comes after the Herald Sun revealed earlier this month that the state government had been sent scrambling to adjust the scheme after discovering a major error in the way it awarded credits for the set up of new display fridges for stores.

The Bearded Jaffle owner and managing director Todd Gawn said six fridges were dumped at his Ascot Vale business.

Mr Gawn said he didn’t ask or apply for them to be delivered.

“The fridges aren’t energy efficient...they’re super loud and since we installed them, our bills went up, not down,” he said. 

“We can’t even give them away, nobody wants them.”

Mr Gawn said he receives about two calls a day from installers. 

“I honestly can’t comprehend how insane this whole scheme is, it’s also made our existing fridges completely worthless, we can’t sell them as nobody wants them as there’s so many free ones” he said. 

“Whoever thought this scheme up needs to be hauled before any inquiry, because it’s costing us more money that none of us have.” 

Tim, who runs a cellar door in Coldstream, said he had 15 bar fridges delivered to his business on Tuesday night.

“They gave us 15 and they wanted to give us 21 fridges … we only needed one small bar fridge,” he told 3AW on Thursday.

“I started calling up businesses in Healesville and Coldstream and basically these guys are driving door to door and dropping off fridges.

“There’s a doughnut shop in the main street of Healesville that’s now got 10 fridges at the front.

“I’m worried somebody from the government is going to call up and say ‘we need them back, this is a massive stuff up’ – so we’ve just put them to one side and we’re not touching them.”

Opposition leader Matthew Guy said the state government had “failed to manage” what he considered to be a straightforward scheme.

“Like our health system, like our education system, like our mental health system, like our economy, the government doesn’t seem to be able to manage anything,” he said.

“How the hell could you get to a situation where cafes have been given 40 fridges – it’s ridiculous .... and the taxpayer is footing the bill for it, no wonder the state’s economy is in crisis.”