What incentive schemes are available in New South Wales?

MAC Trade Services are active in the two main incentive schemes in New South Wales:

• Energy Savings Scheme (ESS) – Incentives to improve energy efficiency
• Peak Demand Reduction Scheme (PDRS) – Incentives to reduce energy usage during periods of peak demand.

What is the Energy Savings Scheme (ESS)?

The Energy Savings Scheme (ESS) is an NSW Government program that helps households and businesses use less energy.

It does this by offering incentives or discounts when you upgrade to more energy-efficient products, such as hot water systems, air conditioning, or lighting.

When you make an eligible upgrade:

• it reduces energy use, and
• energy savings certificates are created behind the scenes.

These certificates are bought by energy retailers to meet their obligations, and the value is passed on to you as a rebate or discount.

You don’t need to worry about certificates or paperwork, we help manage that process for you.

What is the Peak Demand Reduction Scheme (PDRS)?

The Peak Demand Reduction Scheme (PDRS) is another NSW Government program, but it focuses on reducing electricity use during busy times, like hot summer afternoons or evenings.

Under PDRS, rebates are available for upgrades that:

• lower demand at peak times, or
• can help shift energy use to quieter periods.

This includes things like batteries connected to a Virtual Power Plant (VPP).

By taking part, you can receive a rebate while also helping reduce pressure on the electricity network during peak demand.

How ESS and PDRS work together

Some upgrades may be eligible under ESS, PDRS, or sometimes both, depending on the activity.

We’ll help you:

• understand which scheme applies
• check what rebates are available
• make sure everything is done correctly

If you’re not sure where to start, we’re here to help guide you through it.

How do the ESS and PDRS schemes work behind the scenes?

Both the Energy Savings Scheme (ESS) and the Peak Demand Reduction Scheme (PDRS) are certificate-based schemes.

That means rebates aren’t paid directly by the government. Instead, they’re funded through energy certificates created when eligible upgrades are completed.

Here’s how it works, in simple terms:

1. You complete an eligible upgrade

This could include things like installing an energy efficient appliance, connecting a battery to a Virtual Power Plant (VPP) or doing a large-scale electrification upgrade at your business.

2. An Accredited Certificate Provider (ACP) creates the certificates

An Accredited Certificate Provider (ACP), like MAC Trade Services, is approved to manage this process.

We will:

• Check that your upgrade meets the scheme rules
• Collect the required documents and evidence
• Calculate how many certificates the upgrade creates
• Create the certificates under ESS or PDRS
• Undertake independent auditing to ensure accuracy and compliance

You don’t need to deal with certificates yourself, we will handle this for you.

3. Certificates are sold at market price

Energy retailers are legally required to buy certificates to meet their obligations under ESS and PDRS.

The price they pay for certificates change over time based on supply and demand. This is known as the spot price.

4. The value is shared with you

The value of the certificates created from your upgrade is shared with you, rather than paid directly by the government.

That value is passed on as either:

• an upfront discount, or
• a cash rebate after you apply.

You won’t receive the full certificate value. That’s because Accredited Certificate Providers, like MAC Trade Services, keep a portion to cover the costs of delivering the rebate.

The amount you receive depends on:

• how many certificates your upgrade creates
• the certificate price at the time
• the costs involved in managing the rebate process

Why don’t customers receive the full certificate value?

Because these discounts or rebates aren’t a direct government payment.

The certificates are created, managed, and sold by ACPs, and part of the value is used to cover the work required to make sure rebates are delivered correctly and in line with scheme rules.

Who administers the ESS and PDRS?

The Independent Pricing and Regulatory Tribunal (IPART) administers the ESS and PDRS. The NSW Department of Climate Change, Energy, the Environment and Water (DCCEEW) sets the rules and requirements for the schemes.

How do I access the scheme?

It depends on what you’re getting installed or connected.

For hot water systems and commercial upgrades, MAC Trade Services and our participating partners will include any applicable scheme incentives as part of your quote.

For rebates for connecting batteries to a Virtual Power Plant you simply need to complete the online application form at www.mactradeservices.com.au.

Not sure which option applies to you? Call MAC Trade Services on 1300 430 917 or email customerservice@mactradeservices.com.au for more information on currently available offers.

Is MAC Trade Services an Accredited Certificate Provider?

Yes. MAC Trade Services is an Accredited Certificate Provider. This means we meet strict scheme and compliance standards set by IPART and are authorised to deliver eligible installations and upgrades under the scheme.

Will I need to sign any agreements or terms and conditions?

Yes. To take part in ESS or PDRS, you’ll be asked to sign a Nomination Form.

The Nomination Form:

• confirms you agree to take part in the scheme
• allows an Accredited Certificate Provider (ACP), like MAC Trade Services, to create certificates from your upgrade
• confirms the details of the people involved in the upgrade

It’s a standard requirement under the schemes and doesn’t affect your consumer rights or product warranties.

Can businesses access the ESS and PDRS?

Yes. The ESS and PDRS is available to both small businesses and commercial and industrial sites.

To qualify, as a small business, your business needs to be classed as a Small Energy Consuming Customer. This means your business uses less than 100MWh of electricity in a year at the site where the upgrade is happening.

What energy efficiency activities are available for households and small businesses under the ESS and PDRS?

• replacing electric or gas water heaters
• installing or replacing existing air conditioners
• replacing windows or doors with thermally efficient windows or doors
• installing or replacing certain classes of refrigerated cabinets (small businesses only)
• signing a household battery up to a demand response contract (also known as a virtual power plant or VPP).

What energy efficiency activities are available for commercial and industrial sites under the ESS and PDRS?

• lighting for roads and public spaces, and traffic signals
• installing or replacing certain classes of refrigerated cabinets
• installing or replacing air conditioners
• installing or replacing certain motors
• certain blowdown efficiency measures for gas fired heating systems
• installing heat pump water heater systems
• heating, ventilation and air conditioning (HVAC)
• building upgrades
• air handling, fans and ventilation
• process change/control systems
• compressed air.

Which locations do you service?

For upgrades that need an installer (like refrigerated display cabinets or hot water systems) our installers primarily work in the Sydney metropolitan area and within approximately 2 hours travel from the CBD.

If you live further away, we may still be able to assist you, you’ll just be placed on a waitlist.

For rebate activities, such as Virtual Power Plants, location doesn’t matter. You can apply from anywhere in New South Wales.

Do you service rural or country areas?

Yes. For areas outside metropolitan Sydney, you’ll be added to a waitlist. Additional travel charges may apply depending on your location.

How long is the wait for an appointment?

Wait times vary depending on the service and current demand. For up-to-date wait times, contact the customer service team.

What do I do if I have a problem with an ESS or PDRS installation?

If something doesn’t seem right after your installation, contact our customer service team and provide the installation date and address so we can assist.