Heat Pump Hot Water Installation Cost in Australia (2026)
A heat pump hot water system costs $2,437 to $4,672 fully installed after rebates, based on PumpSwap pricing data across 1,533 Australian suburbs. Before rebates, the average installed price is $3,722 to $5,981. Your exact price depends on three things: where you live, which brand you choose, and which rebates you can stack.
Get free installer quotesNational average installed, after rebates
National average installed, before rebates
Full range across 1,533 suburbs, after rebates
Installed brand price span, before rebates
Source: the PumpSwap Australian Heat Pump Cost Index, updated monthly.
Cost by State
Average installed prices per state, computed from suburb-level data and sorted from cheapest to most expensive. Click a state for its rebate guide, or its largest tracked centre for local pricing.
| State | Avg After Rebates | Avg Before Rebates | Suburbs Tracked | Largest Tracked Centre |
|---|---|---|---|---|
| Victoria | $2,276-$4,370 | $3,876-$5,970 | 360 | Geelong |
| Queensland | $2,308-$4,449 | $3,508-$5,649 | 224 | Brisbane |
| Australian Capital Territory | $2,376-$4,865 | $3,876-$6,365 | 100 | Canberra |
| South Australia | $2,430-$4,765 | $3,830-$6,165 | 208 | Adelaide |
| Western Australia | $2,451-$4,752 | $2,951-$5,452 | 180 | Stirling |
| New South Wales | $2,582-$4,885 | $4,082-$6,385 | 352 | Wollongong |
| Tasmania | $2,767-$4,955 | $3,367-$5,555 | 73 | Devonport |
| Northern Territory | $2,900-$4,969 | $3,500-$5,569 | 36 | Palmerston |
Cost by Brand
Fully installed price ranges before rebates for the nine brands PumpSwap tracks, from budget integrated units to premium CO2 split systems. Click a brand for models, warranties and running costs.
| Brand | Installed Price (Before Rebates) | Tank Warranty | Australian Made |
|---|---|---|---|
| Midea | $2,500 - $4,100 | 5 years | No |
| iStore | $2,800 - $4,400 | 5 years | Yes |
| Chromagen | $2,800 - $4,200 | 5 years | No |
| Rheem | $3,200 - $4,800 | 5 years | Yes |
| Rinnai | $3,350 - $6,000 | 7 years | Yes |
| Stiebel Eltron | $3,500 - $5,000 | 5 years | No |
| Daikin | $5,500 - $8,500 | 10 years | No |
| Sanden | $6,500 - $8,000 | 15 years | No |
| Reclaim Energy | $6,600 - $8,000 | 10 years | Yes |
Not sure which brand fits your budget? Use the brand comparison tool to see models side by side.
What Makes Up the Price
1. The unit itself
The biggest single driver. Installed pre-rebate prices span $2,500 for a budget integrated unit from Midea up to $8,500 for a premium CO2 split system from Daikin. Premium systems cost more upfront but carry longer warranties (5 to 15 years on the tank across tracked brands) and lower estimated running costs ($210 to $400 per year across tracked models). For what those numbers mean on your power bill, see our guide to heat pump running costs.
2. Installation and labour
A like-for-like swap from an existing electric storage system is the simplest job. Switching from gas adds electrical work, and split systems (separate heat pump unit and tank) involve more complex installation than integrated all-in-one units. Site access, plumbing runs and whether a new electrical circuit is needed all move the labour component of your quote.
3. Where you live
Metro suburbs average $2,402 to $4,623 installed after rebates, regional centres $2,531 to $4,826, and rural areas $3,230 to $5,200. More installers competing for work in metro areas keeps prices sharper, while remote jobs carry travel and logistics costs.
Rebates Change the Maths
Rebates are the main reason the national average installed price falls from $3,722 to $5,981 before rebates to $2,437 to $4,672 after. Federal Small-scale Technology Certificates (STCs) are worth $500 - $700 and apply Australia-wide as a point-of-sale discount, with the scheme running to the end of 2030. State programs stack on top.
Victoria has the deepest stack: the Solar Victoria Hot Water Rebate ($1,000 - $1,400) plus Victorian Energy Upgrades certificates ($200 - $630) plus federal STCs ($500 - $700) add up to combined support of up to $2,730.
Frequently Asked Questions
How much does heat pump hot water installation cost in Australia?
A heat pump hot water system costs $2,437 to $4,672 fully installed on average in Australia after rebates, based on PumpSwap pricing data across 1,533 suburbs. Before rebates the average installed price is $3,722 to $5,981. Across individual suburbs, after-rebate installed prices range from $2,000 to $5,500.
How much does heat pump installation cost before rebates?
Before any rebates are applied, the average installed price across Australia is $3,722 to $5,981. Depending on brand and model, fully installed pre-rebate prices run from $2,500 for a budget integrated unit such as the Midea range up to $8,500 for a premium CO2 split system such as Daikin.
Which state has the cheapest heat pump installation costs?
Victoria has the lowest average installed cost after rebates at $2,276 to $4,370, helped by the deepest rebate stack in the country. Northern Territory has the highest average at $2,900 to $4,969, where installer density is lower and no state rebate applies on top of federal STCs.
How much do rebates reduce the installed price?
Federal Small-scale Technology Certificates (STCs) are worth $500 - $700 and apply Australia-wide as a point-of-sale discount. In Victoria, households can stack the Solar Victoria rebate ($1,000 - $1,400), Victorian Energy Upgrades certificates ($200 - $630) and federal STCs for combined support of up to $2,730. Nationally, rebates and certificates are the main reason the average installed price falls from $3,722 to $5,981 before rebates to $2,437 to $4,672 after.
Why do heat pump installation quotes vary so much between brands?
Installed pre-rebate prices across the nine brands PumpSwap tracks span $2,500 to $8,500. The spread reflects real differences: tank warranties range from 5 to 15 years, and estimated annual running costs across tracked models range from $210 to $400 per year. A cheaper unit can cost more over its life if it runs less efficiently or fails sooner.
Is heat pump installation cheaper in cities or regional areas?
Metro suburbs average $2,402 to $4,623 installed after rebates, regional centres average $2,531 to $4,826, and rural areas average $3,230 to $5,200. Higher installer density in metro areas creates more price competition, while remote jobs carry extra travel and logistics costs.
How do I get an accurate installed price for my home?
Start with the PumpSwap suburb pricing pages for your area, then compare quotes from local installers. Quotes are the only way to capture home-specific factors such as the system being replaced, electrical work required, and access. PumpSwap is free to use and connects you with heat pump installers who service your suburb.
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