Efficiency Incentives

Making simple changes to lighting arrangements is one of the easiest ways to generate energy savings, especially when you make smarter lighting choices at the same time.


In recent years Australia has introduced three State-based energy efficiency schemes, operating in New South Wales (ESS), Victoria (VEET) and South Australia (REES). A fourth scheme for the Australian Capital Territory (EISS) has been approved. These schemes are designed to provide financial incentives to energy users, encouraging them to invest in clean energy initiatives and renewable energy, while also benefiting from reduced costs due to energy savings or reduced emissions.




How do the schemes work?

These energy efficiency schemes place obligations on liable parties (energy retailers) to meet certain targets in relation to energy efficiency or renewable energy, by implementing energy savings initiatives in businesses and households.  Liable parties are able to meet these obligations and targets by buying energy savings certificates for eligible activities.  These activities differ between schemes, but generally include:

  • Modifying, removing or replacing equipment
  • Installing new high efficiency equipment
  • Reducing electricity consumption


Under the Clean Energy future plan, the Australian Government is assessing the introduction of a national Energy Savings Initiatives (ESI).  This work will effectively explore the costs and benefits of harmonising the State based schemes and replacing them with a national scheme.  This would not only reduce the complexity of existing schemes, but allow energy consumers in States without an existing scheme to benefit.