Queensland's LED Rebate Situation: What Are Your Options Without a State Scheme?


I get asked this a lot: “We’re in Brisbane. Can we get the same rebates as Melbourne and Sydney?”

The short answer is no. Queensland doesn’t have an equivalent to NSW’s Energy Savings Scheme or Victoria’s VEET. There’s no state-mandated certificate program generating $20,000-50,000 rebates for commercial LED retrofits.

But that doesn’t mean Queensland businesses should ignore LED upgrades. The economics are still there—they’re just different.

Why Queensland Is Different

Each Australian state sets its own energy efficiency policy. NSW and Victoria chose certificate schemes that impose obligations on energy retailers, which fund rebates for efficiency improvements.

Queensland took a different path. The state has various energy programs over the years, but nothing equivalent to the certificate trading schemes down south.

This means Queensland commercial LED projects need to stand on their own merits, without significant government rebates.

The Good News: Projects Still Work

Here’s the thing—LED retrofits are often viable even without rebates. The technology has improved so much that the energy savings alone can deliver reasonable paybacks.

Let’s run some realistic numbers for a Queensland scenario:

Brisbane warehouse, 3,000 sqm, 60 x 400W metal halide highbays

Current situation:

  • 24kW connected load
  • Operating 10 hours/day, 6 days/week = 3,120 hours/year
  • Annual consumption: 74,880 kWh
  • At $0.28/kWh: $20,966/year energy cost

LED upgrade to 60 x 150W highbays:

  • 9kW connected load
  • Same operating hours
  • Annual consumption: 28,080 kWh
  • At $0.28/kWh: $7,862/year energy cost
  • Annual saving: $13,104

Project costs (no rebate):

  • 60 x 150W LED highbays @ $320 = $19,200
  • Installation and access equipment = $8,500
  • Total: $27,700

Simple payback: 27,700 / 13,104 = 2.1 years

That’s still a strong investment. Not as spectacular as the 7-month paybacks you can get with NSW ESCs, but solid.

Strategies for Queensland

Strategy 1: Focus on High-Usage Applications

The maths work best when operating hours are high. Target:

  • 24/7 operations
  • Extended trading hours
  • Security lighting that runs all night
  • Facilities with multiple shifts

A fitting running 8,760 hours per year (24/7) saves roughly three times what the same fitting saves at 3,000 hours per year.

Strategy 2: Don’t Over-Spec

Without rebates subsidizing the installation, every dollar counts. Be disciplined about:

  • Right-sizing fittings (don’t install more lumens than needed)
  • Avoiding unnecessary features (do you really need DALI dimming?)
  • Shopping for competitive pricing (get multiple quotes)

This isn’t about buying cheap rubbish. It’s about not paying for bells and whistles that don’t add value.

Strategy 3: Bundle Maintenance Savings

Metal halide lamps need regular replacement. LEDs don’t. Include maintenance cost avoidance in your business case:

  • Lamp replacement cost (lamp + labour)
  • Access equipment for high-bay lamp changes
  • Disruption to operations during maintenance

For a warehouse with difficult access, this can add $50-100+ per fitting per year in avoided maintenance.

Strategy 4: Consider Lease Structures

If the upfront capital is the barrier, equipment finance or lighting-as-a-service arrangements can help. The monthly payment is lower than the monthly energy savings, creating positive cash flow from day one.

Be careful with the fine print on these deals—some have unfavourable terms. But the basic concept is sound.

Strategy 5: Stage the Project

Can’t do everything at once? Prioritize areas with:

  • Worst existing lighting (oldest, most inefficient)
  • Highest operating hours
  • Upcoming maintenance requirements anyway

Start there. Let the savings accumulate. Fund the next stage from the savings.

What About Federal Programs?

I covered federal funding in an earlier article, but the summary for Queensland:

  • SME energy efficiency grants exist but are competitive and unpredictable
  • Instant asset write-off provides tax benefit but not upfront cash
  • CEFC financing might help larger projects

None of these fully replicate what ESCs or VEECs provide in NSW and Victoria. But they’re worth investigating for larger projects.

Supplier Rebates

Some manufacturers and distributors run promotions. These aren’t government programs—they’re commercial incentives. But they can help.

Ask your suppliers:

  • “Any manufacturer rebates running currently?”
  • “Volume pricing for larger orders?”
  • “Project support or design assistance included?”

The competitive landscape means good deals are available if you negotiate.

The Electricity Price Factor

Queensland electricity prices matter more than usual because they’re your only payback mechanism.

Current Queensland commercial rates vary but are generally in the $0.25-0.32/kWh range depending on your contract and load profile. If you’re on a bad deal, fixing that first might save more than the LED upgrade.

Also consider:

  • Time-of-use tariffs (LED timing controls could shift load)
  • Demand charges (LED’s lower kW reduces demand peaks)
  • Solar interaction (if you have solar, LEDs let you use more of it on-site)

Advocacy Note

There’s an argument that Queensland should have an energy certificate scheme. The success of ESS and VEET in driving efficiency investment is clear. Queensland businesses are at a disadvantage.

Industry associations and business groups have been making this case for years. Whether the Queensland government eventually implements something similar remains to be seen.

In the meantime, Queensland businesses need to work with what exists—which is primarily the energy savings themselves.

Making the Decision

For Queensland commercial facilities, the LED decision comes down to:

  1. Calculate your actual savings based on your real operating hours and electricity rates
  2. Include maintenance cost avoidance for difficult-to-access areas
  3. Get competitive quotes for supply and installation
  4. Consider financing if upfront capital is constrained
  5. Make the call based on your investment criteria

Paybacks under 3 years are still common for high-usage applications. That’s a 33%+ return on investment. Most businesses would take that for other capital decisions.

Just don’t expect the same dramatic paybacks you hear about from NSW and Victoria. Without the rebates, the numbers are different.

But they’re still often good enough.