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ESS Rule and changes

This page has information about the Energy Savings Scheme Rule (ESS Rule). The ESS Rule applies to Accredited Certificate Providers (ACPs) and their energy savings activities. It provides detail about:

  • nomination as the energy saver
  • recognised energy saving activities
  • product acceptance requirements
  • eligibility equipment and implementation requirements
  • calculation methods to determine how many Energy Savings Certificates (ESCs) can be created.

ACPs must understand and comply with the ESS Rule. See How to comply as an ACP for more information.

The latest ESS Rule applies to all implementations on or after 19 June 2024.

Previous versions of the ESS Rule are provided for reference.

See Energy Savings Scheme Rule of 2009 – 19 June 2024 for relevant documentation. 

The NSW Department of Climate Change, Energy, the Environment and Water develops the policy behind the ESS. It also updates the ESS Rule annually or at other times as required. To find out more about how the ESS Rule is updated and how to get involved, visit the NSW Climate and Energy Action page.

ESS Rule change commencing 19 June 2024

The ESS Rule published on 24 May 2024 applies to Implementations from 19 June 2024. We published a Quick Reference Guide to help you understand and prepare for these changes.

Changes to the ESS Rule that apply to implementations on or after 19 June 2024 include:

  • installation of new refrigerated display cabinets (F1.1) is no longer an eligible activity - this activity will commence again on a date notified by the Minister
  • clarification that replacement refrigerated display cabinets must replace an existing product of the same type (F1.2)
  • refrigerated display cabinets with four or more display sides are not eligible (F1.2)
  • lifetimes reduced to 8 years from 12 years for Class 7, 8 and 11 refrigerated cabinets with more than 3.3m2 of display area (F1.2)
  • increased co-payments for HEER pool pump, water heater and air conditioner activities from $30 to $200 (excluding GST) (Activity Definitions: D5, D16–D21)
  • new co-payments of $200 (excluding GST) for IHEAB heat pump water heater activities (F16–F17)
  • pool pump activity now includes new as well as replacement installations, and changes to pool pump activity requirements and calculations, including minimum star ratings and equipment lifetime (D5)
  • changes to baseline energy savings and adjustment of coefficients for calculating energy savings for HEER water heater activities (D17–D21)
  • the use of climate zone as well as system size to determine factors for calculating energy savings for heat pump water heater activities (D17, D19)
  • heat pump water heater climate zones refer to AS/NZS 4234 (D17, D19, F16, F17).

April 2023 ESS Rule change 

The previous ESS Rule change commenced on 14 April 2023. It added new eligible fuels and made other changes to simplify and clarify the Rule. The April 2023 Rule continues to apply to implementations before 19 June 2024.

We published a Quick Reference Guide to provide information on these changes.

Please refer to the guides below for more information on how changes to the ESS Rule impact you.