Hot Water Systems

Save Big with Government Rebates on Hot Water Service Replacement in Ballarat

If you’re a homeowner in Ballarat looking to replace your old gas or electric hot water system, there’s never been a better time to make the switch. Thanks to generous government rebates, you could save over $2,000 on a brand-new, energy-efficient hot water service replacement—and significantly reduce your power bills in the process.

At Castleman Plumbing (Ballarat), we’re helping homeowners take advantage of these savings by installing heat pump hot water systems, which can cut your hot water energy use by up to 80%. Not only are these systems more environmentally friendly, but they also come with serious financial incentives.

What Are the Available Government Rebates?

There are three main rebates available to Victorians replacing their hot water system with an approved, energy-efficient model:

1. Small-Scale Technology Certificate (STC) – Federal Government

The STC scheme offers financial incentives for eligible renewable energy systems, including heat pump hot water units.
The rebate is calculated based on system performance and location and is applied immediately at the point of sale.

2. Victorian Energy Upgrade (VEU) Certificate – State Government

This state-run initiative rewards homeowners for reducing energy consumption. Approved hot water systems qualify for rebates under this scheme.
Like the STC, this rebate is also applied at the point of sale, so there’s no paperwork or waiting around.

3. Solar Victoria Rebate – State Government

This rebate is available for hot water upgrades, including heat pump systems. Unlike the other two, this rebate requires an eligibility check based on household income and property ownership. If approved, you could receive up to $1,000 towards your system replacement.

Combined, these rebates can bring down the cost of a heat pump hot water system by more than $2,000, making it a smart and affordable upgrade for most households.

Why Switch to a Heat Pump Hot Water System?

Heat pump systems work by extracting heat from the air and using it to warm your water—essentially like a fridge in reverse. This technology is highly efficient and can deliver the same (or better) performance than a traditional gas or electric system, with a fraction of the running costs.

Victorian households that make the switch often see up to 80% savings on their water heating energy use, which makes up a significant chunk of the average power bill.

Castleman Plumbing Makes It Easy

Navigating government rebates and system options can be confusing, but that’s where we come in. At Castleman Plumbing, we take the hassle out of the process by:

• Helping you choose the right heat pump system for your household needs and budget.
• Apply the STC and Victorian Energy Upgrade rebates at the point of sale—no paperwork for you
• Guide you through the Solar Victoria rebate eligibility check, including how to apply and what documents you’ll need
• Offer fast, reliable installation across Ballarat and surrounding areas

With years of experience and a reputation for quality service, we’re proud to be the go-to provider for hot water service replacement in Ballarat.

Ready to Save?

If your current hot water system is on its last legs—or you’re just sick of high energy bills—now’s the time to upgrade. Take advantage of government rebates and start saving money straight away.

Contact Castleman Plumbing Ballarat today to discuss your options, check your eligibility, and book your installation.

How Heat Pumps Work for Hot Water in Ballarat

Hot water heat pumps are becoming a popular choice for Ballarat households looking to save on energy bills while reducing their environmental footprint. Unlike traditional electric or gas water heaters, heat pumps use a different technology to heat water efficiently. If you’re considering an upgrade, here’s how they work, why they’re economical, and what options are available in Australia.

How Do Heat Pump Hot Water Systems Work?

A heat pump works by extracting heat from the surrounding air and transferring it to the water in your storage tank. It operates on the same principle as an air conditioner or refrigerator but in reverse. Instead of generating heat directly, it moves heat from the outside air into the water, making it far more energy-efficient than conventional systems.

The main components of a heat pump hot water system include:

• Evaporator Coil: Absorbs heat from the air.
• Compressor: Increases the temperature of the absorbed heat by compressing the refrigerant gas.
• Heat Exchanger: Transfers the heat to the water in the storage tank.

Even in cooler climates like when it freezes in Ballarat (you know what I mean), heat pumps can still function efficiently, as they are designed to extract heat from air temperatures as low as -5°C.

Why Are Heat Pumps More Economical?

The main advantage of heat pump hot water systems is their efficiency. A standard electric water heater uses electricity to generate heat directly, whereas a heat pump moves existing heat from the air, using significantly less energy. Here’s why they are a smart
investment:

• Lower Energy Use: Heat pumps can use up to 75% less electricity compared to conventional electric storage systems, leading to noticeable savings on power bills.
• Government Rebates: Depending on your state, there may be government incentives and rebates available to help with the upfront cost.
• Off-Peak Operation: Some models can be programmed to run during off-peak electricity times, reducing costs even further.
• Solar Compatibility: If you have a solar PV system, a heat pump can use excess solar power during the day, making your hot water virtually free.

How Long Do Heat Pumps Last?

A well-maintained heat pump hot water system typically lasts between 10 to 15 years, with some premium models exceeding that range. Factors that influence longevity include:

• Quality of Installation: A properly installed unit ensures better efficiency and durability.
• Regular Maintenance: Cleaning filters and checking refrigerant levels helps maintain performance.
• Water Quality: Areas with hard water may require additional maintenance to prevent scaling inside the tank.

Popular Heat Pump Brands We Install

If you’re looking for a reliable heat pump hot water system, there are a few reputable brands to consider. Two of the most well-known options are Apricus and Reclaim Energy.

Apricus All-In-One Heat Pump
• Uses CO2 refrigerant for high efficiency.
• Designed for Australian conditions, including colder climates.
• Whisper-quiet operation.
• Available in 250L and 315L models.
• Backed by a solid warranty.

Reclaim Energy CO2 Heat Pump
• One of the most energy-efficient heat pumps available.
• Utilises CO2 refrigerant, which performs well in all weather conditions.
• Designed to integrate with solar PV systems.
• Allows for smart programming to optimise energy use.
• Available in different tank sizes to suit various household needs.

Is a Heat Pump Right for You?

Heat pumps are an excellent choice if you’re looking to reduce your electricity bills and make your home more energy-efficient. They work best in areas where the ambient temperature is consistently above 5°C, but even in cooler regions, modern units perform well. While the upfront cost is higher than a traditional electric or gas system, the long-term savings on energy bills make them a worthwhile investment.

If you’re replacing an old electric or gas water heater, a heat pump is worth considering. Not only will it save you money on electricity bills, but it will also reduce your household’s carbon footprint. With reputable brands like Apricus and Reclaim Energy offering high-quality systems suited to our conditions in Ballarat, now is a great time to make the switch. If you’re unsure which system is right for your home, a licensed plumber can assess your hot water needs and recommend the best option.

Heat Pumps Save Energy – Saving You Money!

A heat pump with a hot water system? Normally heat pumps are associated with heating or cooling your home so how does it work with a hot water system. Let’s find out.

Hot Water Heat Pump. How It Works.

A Reclaim Energy heat pump system works by absorbing ambient heat from the surrounding air and transfer this heat to your hot water system. This is quite high end technology and here’s how it works:

• heat is transferred from the surrounding air using a heat absorbing, ozone friendly refrigerant.
• the heat  flows to a compressor which converts the heat to a high temperature gas
• from here its sent to a condenser and water heat exchanger and bingo you have hot water in your tank.

Because ambient heat from the surrounding air is used which of course is free you can save up to 80% of your hot water energy costs every year. This is because 1kW of electrical input generates about 5kW of thermal output which is extremely efficient compared to your standard hot water system

Heat Pump Features &  Benefits

Here’s a list of features and benefits that you can take advantage of this technology:

• As the systems are environmentally friendly and comparable to solar , government rebates and incentives are available.
• Its whisper quiet so no clanging or banging to annoy the household
• Various hot water tank options are available to suit your needs
• If space is an issue the heat pump can be located up to 10 metres horizontally (5metres vertically) apart from the hot water tank making it a flexible installation.
• The Reclaim Energy heat pump has a smart controller giving you these options (quoted from the Reclaim Energy website:Option 1 – a default mode that runs the system 24/7, turning on and off through the thermostat.Option 2 – Off Peak 1 Mode commences at 2200 hours (10pm) and remains active for 9 hours.

  Option 3 – Off Peak 2 Mode commences at 2400 hours (12 am) and remains active for 6 hours.

  Option 4 – a preset mode for customers with PV systems. The system will receive power from the time of day that the PV system is producing power. 10am for a period of 5 hours, or until System has reached 60°C. The PV system creates power and feeds the CO2 Heat Pump to heat the water for free, instead of going back into the grid.

  Option 5 – allows the setting of boosting times based on custom requirements.

As you can see with a residential or commercial heat pump system you can save on your energy bills, installation is easy and you have plenty of options when it comes to controlling how much your system is used and when.

The best thing you can do now is call Wayne Castleman Ph: 0417 531 592 to quote on installing one of these energy efficient hot water systems.