Gas Heater vs Split System – Which Is Better for Melbourne Homes?
As Melbourne moves toward cleaner, smarter, and more efficient energy solutions, homeowners often ask:
Should I keep my gas heater or upgrade to a modern split system?
At Climate Green Melbourne, we’ve helped thousands of Victorians make the switch — especially under the Victorian Energy Upgrades (VEU) Program, which offers rebates for upgrading from gas to energy-efficient split systems.
Let’s break down the differences between the two and see which one is the smarter choice for your home. Gas Heater vs Split System
Gas Heater vs Split System: A Detailed Comparison
| Feature | Gas Heater | Split System (Reverse Cycle Air Conditioner) |
|---|---|---|
| Heating Type | Gas combustion | Electricity (heat pump technology) |
| Cooling Function | Heating only | Provides both heating and cooling |
| Energy Source | Natural gas | Electricity (can run on solar power) |
| Energy Efficiency | Moderate – efficiency drops over time | High – advanced inverter technology |
| Running Cost | Expensive due to rising gas prices | Lower, especially with solar energy |
| Environmental Impact | Produces greenhouse gas emissions | Zero direct emissions (when powered by renewables) |
| Maintenance Needs | Requires regular servicing and flue checks | Low maintenance, easy to clean filters |
| Safety | Risk of gas leaks or carbon monoxide | Safe and clean operation |
| Government Rebates (VEU Eligible) | Not eligible | Eligible under the VEU Program |
| Best Suited For | Older, unrenovated homes | Modern homes, energy-conscious families |
| Installation Cost | Lower upfront, higher long-term cost | Slightly higher upfront, long-term savings |
| Overall Value | Outdated technology | Energy-smart and future-ready |
Why Split Systems Are the Smarter Choice
Modern reverse-cycle split systems use advanced heat pump technology that extracts warmth from the air rather than generating it through burning gas.
This makes them far more efficient, cost-effective, and eco-friendly — a major advantage for Melbourne’s changing climate and energy prices.
Key Benefits:
Dual heating and cooling functions
Lower carbon footprint
Reduced running costs
VEU rebates available for upgrades
Works perfectly with solar energy
Upgrade Under the VEU Program
If your home still relies on an old gas heater, now is the perfect time to upgrade.
Through the Victorian Energy Upgrades (VEU) Program, homeowners can receive substantial rebates for switching to an energy-efficient split system.
As an accredited VEU provider, Climate Green Melbourne takes care of:
Eligibility checks
Rebate application
Professional installation
Safe decommissioning of old gas units
Why Melbourne Homeowners Are Switching
With energy prices soaring and sustainability becoming a priority, split systems have quickly become the go-to choice for Victorian families.
When paired with solar panels, a split system can operate at near-zero cost — giving you year-round comfort without the environmental impact.
Why Choose Climate Green Melbourne
As a VEU and Solar Victoria–accredited provider, Climate Green Melbourne delivers end-to-end energy solutions:
- Expert installation of air conditioners, heat pumps, and solar systems
- Full VEU rebate support and documentation
- Fast, safe removal of old gas systems
- Transparent pricing and guaranteed compliance
Our mission is simple — to make sustainable energy upgrades easy and affordable for every Victorian home.
Final Verdict: Split Systems Come Out on Top!
| Criteria | Winner |
|---|---|
| Energy Efficiency | Split System |
| Running Cost | Split System |
| Environmental Impact | Split System |
| Rebate Eligibility | Split System |
| Long-Term Value | Split System |
The choice is clear — split systems outperform gas heaters in every category.
They’re efficient, affordable to run, and eligible for government rebates under the VEU Program.
1300 001 690
info@climategreen.com.au
www.climategreen.com.au
Climate Green Melbourne – Towards a Greener Generation.
1. Can I get a rebate for removing my old gas heater?
Yes. Under the Victorian Energy Upgrades (VEU) Program, rebates are available when you replace an existing gas heater with a VEU-approved split system. Your old gas unit must be safely decommissioned to qualify.
2. Are split systems cheaper to run than gas heaters?
Absolutely. Split systems use electric heat pump technology, which is up to 400% more efficient than gas heating. They also pair perfectly with solar panels, reducing running costs even further.
3. Do split systems provide cooling as well as heating?
Yes! Unlike gas heaters, reverse-cycle split systems offer both cooling in summer and heating in winter, making them a complete home comfort solution for Melbourne’s changing weather.
4. Can Climate Green help me apply for the rebate?
Yes. Climate Green Melbourne is an accredited VEU provider, meaning we handle the entire rebate process for you — from eligibility checks to submission and installation compliance.
5. How long does the installation take?
Most split system installations can be completed within one working day. Our expert technicians ensure quick, safe, and professional installation with minimal disruption.
6. Why should I upgrade now?
Rebate values gradually reduce over time as more homes transition to efficient systems. Upgrading now helps you lock in the highest available rebate and start saving immediately on your energy bills.

