Emissions Reduction, Government, Policy, Renewables, State Policy

Victoria bans gas in all new homes from 2024

The Victorian Government is phasing out gas usage across the state, with a new policy requiring residential dwellings built after 1 January, 2024, to be all-electric, writes EcoGeneration editor Gavin Dennett.

Victoria has the highest usage of residential gas in Australia, with 80 per cent of homes connected. However, the state government is committed to reducing its dependence on the fossil fuel and embracing its electric future with new regulations to residential planning permits.

All new public buildings – such as schools, hospitals, police stations and government offices – that have not already reached the design stage will also become all-electric, effective immediately.

Victorian Minister for Energy and Resources Lily D’Ambrosio says the ban on gas in new homes will help the state reach its emissions reduction target of 75-80 per cent by 2035 and net zero by 2045, as well as easing cost-of-living pressure.

“The cost of living for Victorians is getting bigger,” she says. “Gas bills are absolutely eye watering.

“Going all-electric will save a new homeowner $1000 off their energy bills each year. If they’ve got solar panels, it will save them $2200.”

The Energy Efficiency Council endorses the Victorian Government initiative to reduce its dependence on gas, which contributes around 17 per cent of Victoria’s emissions.

“All-electric homes are good for Victorian families,” says Energy Efficiency Council CEO Luke Menzel. “They are cheaper to run, healthier to live in and help lower emissions.”

Analysis by consumer group Renew reveals that building an all-electric home could reduce household energy bills by 35 per cent.

“With interest rates sky high, if used to help pay off your home loan, these bill savings from going all-electric could slash two years off an average 25-year mortgage in Melbourne,” says Menzel.

“Given upfront costs of building an all-electric home are comparable to building a home with a gas connection, it makes going all-electric a no-brainer. It is a big step towards a net-zero community.”

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