The Installation of High Efficiency Appliances for Business method (Business Appliances) is used to calculate energy savings from the installation of high efficiency:

  • refrigerated cabinets
  • liquid chilling packages
  • close control air conditioners
  • air conditioners
  • brushless DC motors to power fans in refrigerated cabinets
  • brushless DC motors to power ventilation fans
  • motors powering various other equipment
  • oxygen trim systems on a gas fired steam boiler, hot water boiler or water heater
  • burners or economisers on a gas fired steam boiler, hot water boiler or water heater
  • sensor based blowdown controls on a gas fired steam boiler
  • blowdown flash steam heat recovery systems on a gas fired steam boiler
  • blowdown heat exchangers on gas fired steam boiler
  • heat pump water heaters.

The equipment used in this method must meet, and be registered or accredited under, the applicable performance standards, such as:

  • being a Greenhouse and Energy Minimum Standards (GEMS) or New Zealand Energy Efficiency (Energy Using Products) registered product
  • meeting Minimum Energy Performance Standards (MEPS)
  • meeting an Australian/New Zealand Standard
  • meeting other performance requirements as applicable.

Changes to refrigerated cabinet activities

Activity Definition F1.1 (Install a new high efficiency refrigerated cabinet) has been suspended until further notice. Energy savings certificates cannot be created from F1.1 implementations occurring on or after 19 June 2024. 

Changes to Activity Definition F1.2 (Replace an existing refrigerated display cabinet) equipment requirements, implementation requirements and activity lifetime also apply from 19 June 2024. (We’ve updated the Installer Declaration template for F1.2 - see below for details.)

See the ESS Rule page and our 2024 ESS Rule Change Quick Reference Guide for more details.

Water heater equipment requirements

Product acceptance

Heat pump water heater equipment installed under the following activities of the IHEAB Method must be accepted by the Scheme Administrator as meeting the equipment requirements.

  • Activity Definition F16 - Replace one or more existing hot water boilers or water heaters with one or more air source heat pump water heater systems
  • Activity Definition F17 - Install one or more air source heat pump water heater systems.

Further information on water heater equipment requirements can be found on the Product acceptance page.

Installing multiple heat pumps

Any single heat pump water heater on the Accepted Products List can be installed in multiples and used to calculate certificates under the IHEAB method provided the heat pumps:

  • are accepted for use in Activity Definitions F16 or F17
  • are each identical models
  • are joined in parallel and
  • have balanced water flow.

Heat pump fact sheet requirements

From 1 April 2024, Accredited Certificate Providers (ACPs) or their installers must give customers considering installing a heat pump water heater (Activity Definitions F16 and F17) a copy of the IHEAB Heat Pump Water Heater Fact Sheet before they agree to an installation (i.e. before they sign the nomination form and the installation commences).

It’s good practice to keep records as evidence of providing the fact sheet.

Calculating certificates

See Notice 03/2023 for more details including how to calculate certificates and determine the capacity factor for Activity Definition F16.

Minimum payments

Customers must pay a net amount of at least $200 (excluding GST) per item of equipment towards the cost of the implementation and other associated works carried out at the site (minimum payment) for implementations of refrigerated cabinet (F1.2) and heat pump water heater (F16 and F17) activities.

Note that:

  • Implementations of Activity Definition F1.1 cannot be undertaken from 19 June 2024 until further notice (see above)
  • A heat pump water heater system comprising multiple heat pump water heaters joined by a manifold is considered one item.

Site Assessment Report

ACPs must arrange for a Site Assessment Report to be completed for each implementation of Activity Definitions F4 and F8–F17. ACPs may use the template below or create their own report.

Installer Declaration

ACPs need to arrange for an Installer Declaration to be completed for implementations of some activities (see the IHEAB Method Guide for details). ACPs may use the template below or create their own declaration.

Installers of replacement refrigerated cabinets must declare that new equipment is the same Refrigerated Cabinet Product Class as the removed equipment. ACPs are responsible for ensuring their installers are properly trained to identify different product classes so they can sign the declaration.

 

Relevant Documentation

IHEAB - Heat Pump Water Heater Fact Sheet for businesses
IHEAB - Method Guide
Template - Nomination form
Template - Site Assessment Report
Template - Installer Declaration
Implementation Data - examples template
ESS Notice 01/2024 - Refrigerated cabinet activity compliance
Notice 03/2023 - Multiple heat pump water heater activities
ESS Notice 01/2023 - Information - Concerns about installation of heat pump water heaters - 7 March 2023
Notice 02/2022 - Important Information on the Installation of Refrigerated Cabinets
Fact Sheet - Air Conditioners and Refrigerated Cabinets - February 2022
Fact Sheet - ESS Rule Amendments - January 2022
Fact Sheet - Water Heaters - January 2022
Fact Sheet - ESS Rule Amendments September 2020