Learn about certificates, known as Victorian energy efficiency certificates (VEECs) which are created by accredited persons who undertake specified energy efficient activities in the Victorian Energy Upgrades (VEU) program.
Victorian energy efficiency certificates (VEECs)
Victorian energy efficiency certificates (VEECs) are electronic certificates created under the program when certain energy efficiency activities are undertaken in residential or non-residential premises. Each certificate represents one tonne of greenhouse gas emissions reduction (CO2-e).
Once created certificates can be sold to energy retailers who have a liability under the program to surrender a certain number of certificates each year.
Our Register of VEECs provides information on all certificates created under the program.
Certificate targets
Each certificate represents one tonne of greenhouse gas saved. Annual targets have been set for the program up to 2025.
| Year | Number of certificates |
|---|---|
| 2009 - 2011 | 2.7 million per annum |
| 2012 - 2016 | 5.4 million per annum |
| 2017 | 5.9 million |
| 2018 | 6.1 million |
| 2019 | 6.3 million |
| 2020 | 6.5 million |
| 2021 | 6.5 million |
| 2022 | 6.7 million |
| 2023 | 6.9 million |
| 2024 | 7.1 million |
| 2025 | 7.3 million |
Calculating VEECs
The number of VEECs that a given activity is able to create depends on the amount of greenhouse gas emissions reduction the activity will cause as provided for in the Victorian Energy Upgrades Specifications 2018 (for 'deemed activities') and the Victorian Energy Efficiency Target (Project-Based Activities) Regulations 2017 (for activities undertaken using project-based activity methods).
You can use the VEEC calculator to help determine how many VEECs may be created for most 'deemed activities' under the program.
Who can create VEECs?
VEECs can only be created by entities accredited by us under the VEU program (known as accredited persons). For more information about the opportunities and obligations involved in getting accredited, visit the how to become a VEU accredited person page.
Certificate lifecycle
Creation
After the successful completion of an eligible activity, accredited persons are able to create VEECs online through their VEU account.
Certificates must be created no later than six months after the end of the year in which an activity was completed. For example, if an activity was completed in 2011, certificates must be created for that activity by 30 June 2012
Registration
Once VEECs are created, we determine whether to register them. We use a range of risk based assessment tools in making our decision on whether certificates have been created in accordance with the rules of the program.
We levy a registration fee of $1 per certificate. Once payment is received, we register the certificates and the certificates are now valid for transfer and/or surrender.
See how we register VEECs page for more information on our assessment and registration process.
Transfer
An owner of certificates is able to transfer certificates to a buyer in the VEEC market. The ‘buyer’ may be an energy retailer, another accredited person, certificate traders or any other individual or organisation that holds a VEU account (only account holders can buy, sell or hold certificates).
We do not provide a trading floor for the VEEC market but merely facilitate, and record, transfer of ownership of certificates.
Surrender
Before 30 April each year, large energy retailers must surrender certificates equal to their liability for the previous calendar year (an obligatory surrender).
We may also require accredited persons to surrender certificates for improperly creating certificates using our enforcement powers (a mandatory surrender).
Certificates may also be surrendered by their owner through for any reason (a voluntary surrender). Often these surrenders are an outcome of an agreed administrative solution between ourselves and the accredited person when certificate creation issue are identified.
Expiry
Certificates expire six years from the date on which the activity was undertaken, or upon surrender to us.