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Victoria tightens insulation rules to improve retrofit practices

25 May, 2026
Victoria tightens insulation rules to boost safety



Victoria’s strengthened ceiling insulation requirements under the Victorian Energy Upgrades (VEU) program have been welcomed by industry bodies as a significant move toward safer, higher-quality home energy upgrades.

Insulation Australasia (IA), the insulation industry’s voice, and the Insulation Council of Australia and New Zealand (ICANZ), the peak association for the sector, have endorsed the reforms, highlighting their potential to enhance consumer protection while lifting industry standards.

The updated VEU ceiling insulation activity introduces a suite of new safeguards aimed at improving retrofit insulation practices.

These include stricter accredited provider obligations, the requirement for EEC Certified Insulation Installers, mandatory product listing on the VEU Register, CodeMark Certificates of Conformity for specified thermal and fire-safety requirements, and comprehensive pre-installation safety assessments.

IA Chair Craig Lovel said the reforms recognise the critical role insulation plays in building performance, energy efficiency and household comfort, while emphasising the importance of proper installation and verified product standards.

“These reforms put safety, certified installation and CodeMark-backed conformity evidence at the centre of Victoria’s home energy upgrade program,” said Lovel.

“That is good for consumers, good for reputable businesses and good for confidence in publicly supported energy-efficiency programs.”

The Victorian government’s approach aligns with long-standing industry advocacy for more robust insulation upgrade frameworks.

IA and ICANZ have consistently called for stronger safeguards, including the use of certified installers, credible product evidence, electrical safety checks, and effective compliance oversight to ensure quality outcomes.

ICANZ Chair Shane Morris reinforced the importance of a holistic approach to insulation upgrades, noting that product performance alone is not sufficient without quality installation and compliance.

“Insulation is not just a product. It is part of a wider building-performance system that depends on suitable products, skilled installation, safety checks and reliable evidence that products conform to the required standards,” said Morris.

According to IA and ICANZ, the strengthened framework is expected to deliver multiple benefits, including improved safety for households, greater support for responsible industry participants, and stronger assurance that public investment in energy efficiency achieves durable, long-term outcomes.

The reforms also serve as a potential benchmark for other jurisdictions across Australia and New Zealand.

Both organisations are encouraging policymakers to adopt similar principles in future programs, including certified installer requirements, CodeMark-backed product evidence, electrical safety checks, auditability, consumer protection measures, and clear accountability across the insulation supply chain.

As governments continue to invest in energy efficiency initiatives to support emissions reduction and cost-of-living relief, industry leaders say ensuring program integrity will be critical.

Victoria’s updated VEU requirements demonstrate how strengthened regulation and industry collaboration can work together to deliver safer, more reliable outcomes for households while supporting a more accountable and professional insulation sector.

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