The Australian Pipelines and Gas Association (APGA) welcomes the Victorian Government’s recalibrated position on residential gas appliances, recognising it as a step toward a more deliverable and consumer focused energy transition. However, the ban on gas hot water systems, even with sweeping exemptions, risks creating unnecessary red tape, administrative delays and added pressure on households and regulators alike.
APGA chief executive Steve Davies said the Government’s shift away from an outright appliance ban is a pragmatic move that better reflects the diversity of Victorian homes and the varying needs of households.
But targeting hot water in isolation risks recreating the same problems in a narrower form.
“When you need to design a broad exemption regime just to make a ban workable, it’s worth asking whether that ban should exist at all,” Mr Davies said. “For many households, particularly those in older homes or regional communities, gas hot water is not just a preference, it’s the most practical and affordable option.”
Even after the ban commences on March 1 2027, homeowners can receive an exemption to install a new gas hot water system if an electric alternative cannot physically fit, if electric replacement costs are unreasonably high, if the home requires a switchboard upgrade or if the property is subject to a heritage overlay.
APGA has consistently called for an integrated energy transition strategy that supports emissions reduction through both electrification and renewable gas, while maintaining flexibility and fairness for consumers.
“Technology-neutral policy makes sense. Not just for emissions outcomes, but for household budgets,” Mr Davies said. “Energy transitions succeed when they empower people, not when they lock them into one-sizefits-all solutions that don’t match their circumstances.”
Mr Davies says the recalibrated policy confirms that Victoria’s energy system is not yet ready for full electrification, and that this should be treated as a structural consideration, not a policy afterthought.
“We urge the Government to go further, to remove unnecessary restrictions and instead focus on supporting choice, clarity and investment across the full suite of clean energy options.”
APGA looks forward to working with the Victorian Government to help deliver a transition that is equitable, affordable and underpinned by clear, consistent policy settings.
About
The Australian Pipelines and Gas Association (APGA) represents the owners, operators, designers, constructors, and service providers of Australia’s pipeline infrastructure, connecting natural and renewable gas production to demand centres in cities and other locations across Australia. Our members offer a wide range of services to gas users, retailers and producers and ensure the safe and reliable delivery of 28 per cent
of the end-use energy consumed in Australia.
www.apga.org.au
Registered Office: Level 2, NFF House, 14-16 Brisbane Ave
Barton ACT 2600
Mailing Address: PO Box 5416, Kingston ACT 2604
T: 02 6273 0577 E: apga@apga.org.au
ABN: 29 098 754 324 ACN: 098 754 324
Contact
Paul Purcell
Head of Policy and Advocacy
0422 247 750
ppurcell@apga.org.au