The Essential Services Commission (ESC) has taken enforcement action against two accredited businesses under the Victorian Energy Upgrades (VEU) Program for allegedly claiming certificates for ineligible energy efficiency upgrades.
The VEU Program supports Victorian households and businesses to reduce energy use and greenhouse gas emissions by providing financial incentives for accredited providers to deliver approved energy-saving activities.
An ESC investigation found that contractors working for two accredited businesses had installed pre-rinse spray valves that did not comply with VEU program rules. The upgrades involved modifying taps with customised fittings that allowed two spray valves per tap, making the installations ineligible for certificate creation.
Following the investigation, the Commission:
- Refused registration of 13,879 certificates—valued at nearly $1.2 million—submitted by one business;
- Refused registration and accepted the withdrawal of 1,083 certificates, valued at more than $92,000, from another; and
- Issued formal warnings to both businesses, reminding them of their obligations under the VEU Code of Conduct.
The ESC stated that pre-installing customised fittings misrepresents the greenhouse gas savings achieved and undermines program integrity. The breaches were identified following tip-offs about a rise in non-compliant spray valve installations.
The Commission has reinforced that accredited VEU providers must ensure all installations meet technical and program requirements and operate in a professional, ethical manner in line with the VEU Code of Conduct.
