Overview

On 2 October 2025, the Department released a Consultation Regulation Impact Statement (CRIS) on Heat Pump Water Heaters (HPWH) and the introduction of Minimum Energy Performance Standards (MEPS) for HPWH in Australia and New Zealand. This was a joint consultation with the New Zealand Energy Efficiency and Conservation Authority (EECA).

The consultation for the HPWH CRIS closed on 31 October 2025.

The department thanks all of those that took the time to participate in this consultation.

Consultation process

The department sought input on the policy options outlined in the CRIS. The CRIS contained several consultation questions and options for consideration, including on MEPS, information provisions and testing options.

To assist the consultation, the department held an online forum as an opportunity for Australian stakeholders to discuss the proposed policies on 21 October 2025.

Submissions received

A total of 30 submissions on the CRIS were made to DCCEEW and EECA. Of these submissions, 24 came from Australia and 6 from New Zealand, although some suppliers with operations in both countries made their submissions directly to Australia. Submissions were from HPWH suppliers, manufacturers, industry associations, as well as government and non-government organisations.

The department has reviewed all submissions received. The submissions indicated strong support for Option 3: introducing MEPS for HPWH as soon as practicable, followed by mandatory information provisions at a later stage.

Issues raised in the submissions included: timing of the implementation of MEPS and the need to develop laboratory testing capacity, the use of international standards, defining the scope of the regulation, information requirements, controls for legionella and noise testing.

These submissions were considered during the drafting of the Decision Regulation Impact Statement (DRIS). The DRIS was approved by Ministers at the Energy and Climate Change Ministerial Council (ECMC) meeting on 16 December 2025.

Visit ECMC Meeting Communique, and energyrating.gov.au for more details.

View published submissions.

Decision Regulation Impact Statement

Regulation Impact Statement for Decision: Energy Efficiency Policy Options for Heat Pump Water Heaters [PDF 2.17MB]

Regulation Impact Statement for Decision: Energy Efficiency Policy Options for Heat Pump Water Heaters [DOCX 1.67MB]

Technical Paper

A DRIS sets out the general scope of agreement for a new GEMS determination. However, the GEMS determination sets out the detailed set of requirements. The Department is currently in the process of drafting the GEMS determination to introduce MEPS for HPWH.

On 4 May 2026, the department published a paper to seek feedback from stakeholders on technical aspects to further inform the drafting of a determination to introduce MEPS for HPWH.

The technical paper covers the following points:

  • Reporting coefficient of performance and cold temperature testing

  • Scope of determination

  • Product classes and definition

  • Testing methods

  • Family of models

  • Information requirements

  • Transition period.

On 14 May 2026, the department hosted an online workshop to outline key features of the technical paper, and answer stakeholder questions. The PowerPoint for this workshop has been made available below. Submissions closed on 15 May 2026.

Feedback on the technical paper will inform the draft determination for HPWH, which we expect to release for public consultation by the third quarter of this year.

Documents

Please contact GEMSProductReview@dcceew.gov.au if you have any questions.

The E3 Program

This work is being progressed through the Equipment Energy Efficiency (E3) Program. The E3 Program is a collaboration between the Australian Government, states and territories of Australia, and the New Zealand Government to improve the energy efficiency and energy performance of appliances and equipment.

Current stage

  • Consultation open on CRIS
    closed

    2 October 2025

  • Australian consultation forum on CRIS
    closed

    21 October 2025

  • Consultation closes on CRIS
    closed

    31 October 2025

  • ECMC approves DRIS
    closed

    16 December 2025

  • Consultation opens on technical options paper
    closed

    4 May 2026

  • Technical Paper Workshop
    closed

    14 May 2026

  • Consultation on Technical Paper closes
    closed

    15 May 2026

Upcoming stages

  • Exposure Draft for consultation
    pending

    Third Quarter of 2026

Contact
GEMS, Department of Climate Change, Energy, the Environment and Water