All About The $33 Hot Water Upgrade NSW

By Jesse-Aaron Raiz

April 25, 2024

You used to be able to upgrade your hot water system from just $33 in NSW, providing you had an electric hot water system. The hot water system would then be upgraded to a heat pump hot water system as part of the hot water system upgrade initiative, with brands such as Ecogenica, Eco Alliance, Smart Lifestyle, Chromagen and others.

Unfortunately, the $33 deal has no longer been available since January 1st 2024. I promise you, any website or person claiming that you can still get a heat pump for $33 is misleading you.

But, there are still amazing subsidies for upgrading your hot water system to a heat pump water heater that you could still qualify for. This guide dives into current options for NSW residents to upgrade hot water systems efficiently and affordably. Energy-efficient heat pump water heaters play a crucial role in reducing energy bills and contributing to environmental sustainability by lowering greenhouse gas emissions.

Key Takeaways

  • The NSW $33 Heat Pump Upgrade is no longer available and has been phased out since January 1st 2024.
  • NSW residents can still benefit from subsidies that still offer great deals, including STCs (Small-Scale Technology Certificates) and ESCs (Energy Saving Certificates).
  • We have all the information on the best heat pumps and deals to help you out.

The $33 Heat Pump Water Heater Upgrade in NSW: A brief history


An Ecogenica 215FR, Previously available for just $33 under the NSW HEER Scheme


The $33 Heat Pump Upgrade was an enticing offer offered by several companies who used the available rebates, STCs and ESCs to cover the cost of the systems, installation and leave some room for their profit. Homeowners needed to have an existing electric hot water system assessed to confirm eligibility for the upgrade, allowing them to enhance their system for just $33 in most cases.

Ecogenica, Eco Alliance, Chromagen and Smart Lifestyle Systems

These brands were the biggest players in this space, providing low cost hot water heat pump upgrades for as little as $33.

Ecogenica’s 215L Heat Pump sold for as little as $33, while their larger 290 litre model was once upon a time priced at $199.

Chromagen once offered their 170L or 200L units for just $33.

And Smart Lifestyle’s system went for as little as $99.

Why is the $33 hot water upgrade under the NSW Energy Savings Scheme no longer available?

The first thing to understand was that there was no explicit $33 rebate. There are two rebates that you can get to upgrade your hot water system in NSW. They are STCs (Small-Scale Technology Certificates) and ESCs (Energy Saving Certificates). I wrote a complete guide about the Hot Water Rebates available in NSW. $33 was just the minimum that installers could charge for a system under legislation.

But every year the number STCs that can be claimed per heat pump go down by 3-4 certificates. At $40 per STC as of April 2024, this represents a $120-$160 decrease in rebates every year.

But the biggest factor by far has been the drop in ESCs. You can get 38-45 ESCs per system depending on the efficiency of the heat pump and which climate zone it is installed in. For gas hot water systems, despite offering lower operational costs and the ability to rapidly heat water, the number of ESCs claimable is generally lower compared to electric systems.

On April of 2023 an ESC went for $31.25. As of the 25th of April 2024, these certificates are valued at $19.75, dropping by almost 40%! This means if you were getting 45 ESCs previously, you were getting a $1406.25 rebate. Now, that would be worth just 888.75.

Because manufacturers and installers of the $33 upgrade were running at such thin margins, a combination of lower STCs and a drop in ESC value made it untenable.

There are still great deals to be had!

Although the $33 deal is obviously no longer possible, you can still upgrade your hot water system extremely cheaply.

If you have an electric hot water system, we are able to upgrade your hot water system for just a fraction of the cost that a regular hot water system would cost to purchase and install.

If you have a gas hot water system, the number of ESCs which you can claim is lower than for electric, but there are still fantastic deals to be had!

Upgrading to new hot water systems like heat pump water heaters or solar hot water systems can significantly enhance energy efficiency and are eligible for current rebates and incentives. Heat pump water heaters are known for their cost savings, energy efficiency, and eligibility for government rebate programs, making them a superior alternative to traditional electric water heaters. Similarly, solar hot water systems offer an environmentally friendly option, reducing energy bills and carbon footprint while also being a long-standing, cost-effective solution. Both options represent a smart investment towards a more sustainable and economically advantageous new hot water system.

Which system should I get?

Upgrading from traditional hot water systems to more energy-efficient models like heat pumps and solar systems is an essential step for homeowners looking to enhance their energy efficiency and take advantage of the NSW government’s Energy Savings Scheme (ESS). There are still fantastic rebates that can be claimed under the NSW energy savings scheme. The first place to start is deciding which system would suit you the best.

For me this is a complete no brainer.

The government performed a COP analysis on every single heat pump in the government scheme. Unlike with manufacturer claimed COPs, which always differ due to using different variables, the government kept everything controlled.

And Ecogenica came out on top, beating out every other heat pump in Australia. Beating out established players like Rheem, iStore, Sanden and Reclaim.

Enquire now!

If you’re looking for the best deals available to upgrade your hot water, let us help you out. We have over 160+ 5 star reviews on google with a 4.9/5.0 Star Rating. Just hit enquire now and we’ll be in touch!

We have over 160+ 5 star reviews on google with a 4.9/5.0 Star Rating. We take our business seriously!

Enquire Today!

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