Proposed co-funding scheme for Melbourne retrofits

City of Melbourne has released draft guidelines for a proposed Retrofit Melbourne Incentive Scheme which aims to support commercial building owners and businesses to improve energy performance and reduce emissions.

The scheme proposes financial support for energy-efficiency upgrade works including energy audits and energy ratings, planning for energy performance improvements and electrification works including equipment installations.

The initiative is a key step in delivering council’s Retrofit Melbourne Plan, which is a long-term strategy to cut emissions from the commercial building sector and progress towards a zero-carbon city by 2040.

The Zero Carbon Buildings team are seeking comments on the draft guidelines and eligibility criteria from industry and stakeholders including building owners, consultants and service providers, to ensure the scheme is practical and fit for purpose.

There are three types of activity the scheme proposes support for:

• Activity A: Energy performance benchmarking, which proposes support for the costs of undertaking a NABERS rating to assess actual energy consumption and greenhouse gas emissions.
• Activity B: Development of actions plans for energy-saving improvements such as NABERS improvement plans, electrification feasibility studies and zero carbon strategies.
• Activity C: Implementation of energy-saving improvements or capital works, which could include replacing inefficient heating and cooling systems, insulation upgrades, installing a building management system or integrating renewable energy technologies.

The activities reflect the key steps usually involved in transitioning a building to low carbon, high performance. They also deliver gains for owners and occupants in terms of energy savings, reduced operating costs and make contributions to sustainability goals.

It is proposed the scheme will operate as a three-year pilot program initially. Consultation closes on May 15, 2026; read the guidelines and have your say here.

Feature Image: Retrofit Melbourne, courtesy City of Melbourne

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