If your gas hot water system is making strange noises or your bills are skyrocketing, you are likely looking for a replacement. In 2025, the smartest replacement isn’t another gas unit—it’s a Heat Pump.
As Melbourne’s Northern Suburbs specialists, we are seeing a massive surge in heat pump installation requests across Mernda, Doreen, South Morang, Epping, and Eltham. Why? Because the technology has matured, and the savings are undeniable.
What is a Heat Pump Hot Water System?
Think of a heat pump as a refrigerator running in reverse. Instead of pumping heat out of a box to keep food cold, it pulls heat from the outside air and pumps it into your water tank.
Because it moves heat rather than generating it from scratch, it is incredibly efficient.
- Gas Heater Efficiency: ~80% (Energy is lost out the flue)
- Electric Element Efficiency: 100% (1kW power = 1kW heat)
- Heat Pump Efficiency: 400% (1kW power = 4kW heat!)
The Financial Case: Rebates & Savings
The Victorian Government wants you to switch. Through the Victorian Energy Upgrades (VEU) program, you can receive substantial rebates (VEECs) that drastically reduce the upfront cost of heat pump installation in Melbourne.
- Upfront: With rebates, a high-quality heat pump can cost similar to a standard gas replacement.
- Running Costs: You can save up to 75% on your hot water heating bill. For a family of four in Doreen, this can mean keeping an extra $600+ in your pocket every year.
Why Choose MGAG for Your Installation?
We aren’t just plumbers; we are “Victoria Dealer of the Year” winners (2023, 2024, & 2025).
- Dual Trade Advantage: Heat pumps require both a plumber (for the water) and an electrician (for the power). We provide Dual Trade Plumbing and Electrical services in-house. No waiting for a sparky to show up the next day.
- Local Expertise: We know the water pressure and climate conditions in South Morang and Eltham. We only stock units that perform in Melbourne’s frosty winter mornings.
- No Sub-Contractors: The person quoting your job is part of the same team that installs it. We take full accountability.
Is a Heat Pump Right for You?
- Do you have solar? A heat pump acts as a “thermal battery,” soaking up your free solar power during the day to give you free hot water at night.
- Is your switchboard ready? As dual-trade experts, we check your electrical capacity as part of the quote—something standard plumbers often miss.
Frequently Asked Questions (FAQ)
Q: Will a heat pump work in a Melbourne winter? A: Absolutely. Modern systems like the Reclaim or iStore units are designed to operate efficiently even in freezing temperatures (down to -10°C).
Q: How long does installation take? A: A standard heat pump installation takes about 4–6 hours. Since we handle both plumbing and electrical, we can usually have your hot water back on the same day.
Q: Are heat pumps noisy? A: Modern units are very quiet (similar to a split system air conditioner). However, placement matters. We strategically locate the compressor away from bedroom windows to ensure silence.
Stop burning money on gas. Upgrade to the future of hot water. Contact Melbourne Gas & Air Conditioning Group today for a quote on heat pump installation in Melbourne’s north.


