Stronger rules to crack down on dodgy businesses in the Victorian Energy Upgrade program

The government’s energy-saving scheme is set for an overhaul after being rorted by installers who dumped dozens of fridges to claim carbon credits.

Victoria will ban cold-callers and telemarketers from its energy-saving scheme to stop households being bombarded by installers and crack down on bad behaviour.

Under the Victorian Energy Upgrade (VEU) program, businesses can create lucrative carbon credits by setting up homes with more efficient water heaters, air conditioners and other appliances.

These are then sold on an open market where energy retailers must purchase millions every year to meet their requirements to help the state bring down emissions.

The scheme made headlines last year when the Herald Sun revealed it was being rorted by installers who dumped dozens of fridges outside properties and claimed their credits without reducing any pollution.

Businesses were bombarded with free fridges in 2022. Picture: Jacqui Felgate

Homes and businesses were also bombarded with calls from those trying to offload the fridges and other products to make more money.

After consultation with consumer groups and the industry, the state will ban cold-calling and telemarketers to stop predatory practices.

From July 1, stronger rules will also be in place for VEU installers to improve the scheme and stop dodgy businesses from misconduct.

The government is also looking at beefing up the Essential Service Commission’s powers to ensure those who provide appliances under the scheme don’t benefit from misleading regulators with inaccurate information.

A ban on approving credit for some energy-efficient fridges, which was triggered by the dumping, will also be lifted.

There will be consultation with the industry and the public over the changes, including discussions over the changes to fridge credits to ensure there is no further rorting.

Energy Minister Lily D’Ambrosio said: “Victorians need to be able to make informed decisions as they upgrade and make their homes more energy efficient.

“We’ve heard them on unwanted telemarketing calls and are taking action to stop this practice.”

“We have helped two million households and businesses slash their power bills through our nation-leading VEU program as we work towards net zero by 2045.”