Many homes across Australia still rely on a gas ducted heater but when the gas bill climbs a little higher each winter, the question comes up quickly: is there actually an electric replacement that works the same way?
The short answer is yes. A ducted reverse cycle system can replace a gas ducted heater directly, and in most homes it uses the existing ductwork to do it. This guide covers the electric options available, how the conversion works in practice, what it costs to run, and how to work out whether it’s the right move for your home.
Why More Homeowners Are Moving Away from Gas
Gas ducted heating has done the job well for decades. But a few things have shifted, and they’re adding up quickly for homeowners doing the sums.
- Gas prices have risen significantly across Australia and are unlikely to come back down
- Older gas heaters run at lower efficiency, meaning you’re paying for heat that isn’t fully reaching the rooms
- Gas-only systems can’t cool in summer, so you’re still running a separate cooling system on top
- Government rebate programmes are actively incentivising the switch, which reduces the upfront cost right now
- A modern reverse cycle system paired with solar or a green electricity tariff brings running costs down further
None of this means gas ducted heating is suddenly a poor choice. If yours is relatively new and running well, there’s no urgency. But if you’re facing a replacement decision anyway, the electric options deserve a proper look.
What Are the Electric Replacement Options?
There are three main paths. The right one depends on your home layout, the condition of your existing ductwork, and your budget.
Ducted Reverse Cycle Air Conditioning
This is the closest like-for-like replacement. A central indoor unit sits in your ceiling void and distributes conditioned air through the same duct network your gas heater used. Instead of burning gas, the ducted reverse cycle uses a heat pump cycle: it pulls warmth from the outside air and moves it inside. Modern units can do this reliably down to around -10°C, which covers even a proper Goulburn or Mittagong winter. You get heating and cooling from one system, with zone control so you only condition the rooms you’re actually using.
Multi-Split System
A multi-split connects several indoor units across different rooms to one outdoor unit. There’s no ducting involved, which makes it a good option if your existing ductwork is old, damaged, or poorly routed. Each indoor unit handles its own room independently, giving you precise zone control. The upfront cost is generally lower than a full ducted system, though the visual footprint inside the home is more noticeable.
Individual Split Systems
A single split system per room is the most straightforward option for smaller homes or as a supplement to an existing setup. It’s not a whole-home solution the way ducted is, but for a three-bedroom cottage it can be all you need.
| 💡 Which System Suits Your Home? Most homes that previously had gas ducted heating are well suited to ducted reverse cycle as a direct swap. If your home is larger, has a good ceiling void, and has ductwork in reasonable condition, that’s usually the most cost-effective and comfortable long-term solution. If you’re unsure, our team can assess your setup as part of our heating and cooling services. |
When Does It Make Sense to Switch?
You don’t need to wait for your heater to fail completely. There are clear moments when switching makes obvious sense.
Your Gas Heater Is Due for Replacement
Most gas ducted heaters last around 15 to 20 years. If yours is in that range, you’re likely looking at a replacement soon.
You’re Renovating or Building
If walls are open or the ceiling void is accessible, installing a ducted reverse cycle system is far simpler and cheaper. The same goes for a new build where ductwork hasn’t gone in yet. Getting the infrastructure right from the start avoids disruption later.
You Want Heating and Cooling from One System
Gas ducted heating heats only. If you’re already running split systems in summer or thinking about adding air conditioning, a ducted reverse cycle replacement gives you both from one unit. That’s a meaningful simplification, and it removes the cost of running two separate systems.
Your System Is Underperforming
If your gas heater is cycling on and off too often, struggling to heat the far end of the house, or making noise it didn’t used to make, it may be working much harder than it should. A service call can tell you quickly whether you’re looking at a repair or a replacement conversation.
Our ducted gas heating guide covers what to look for when comparing systems, and it’s worth reading before you commit to replacing like for like.

Gas Ducted Heating vs Electric Reverse Cycle: How Do They Compare?
The decision comes down to a handful of practical factors. The table below puts gas ducted heating and ducted reverse cycle side by side across the things that matter most to homeowners.
| Factor | Gas Ducted Heating | Ducted Reverse Cycle |
| How it heats | Burns natural gas or LPG to produce warm air | Moves heat from outside air via a heat pump cycle |
| Cooling | Heating only (separate system required) | Both heating and cooling from the same system |
| Efficiency | Typically 85–90% thermal efficiency | 300–500% effective efficiency (3–5 units of heat per unit of electricity) |
| Running cost (est.) | Approx. 11–20c per kWh on gas | Approx. 8–15c per kWh effective cost when COP is factored in |
| Cold weather performance | Consistent in all conditions | Modern units rated to approx. −10°C outdoor temp; suited to Southern Highlands winters |
| Ductwork compatibility | Purpose-built for its own ductwork | Can use existing gas ducting in most homes if in good condition |
| Lifespan | Approx. 15–20 years | Approx. 15–20 years |
| Smart zoning | Available on most modern units | Available and often more flexible |
| Government rebates | No rebates for gas replacement | Rebates available through federal and state programmes |
| Environmental impact | Direct greenhouse gas emissions | No direct emissions; improves as the grid greens over time |
Note: Running cost figures depend on local energy tariffs, system sizing, and usage patterns. An in-home assessment gives you an accurate picture for your specific property.
If you are still confused and want more details read our guide on, is ducted heating gas or electric.
What Does the Conversion Actually Involve?
The most common question we get is whether the existing ductwork can be reused. In most cases, yes. Here’s what the process looks like from start to finish.
Duct Assessment
Before anything is quoted, a good installer inspects the existing duct network. They’re checking condition (no significant tears or compression), insulation quality, and whether the sizing suits the new unit’s airflow. Reverse cycle systems move air a little differently to gas heaters, so this step matters.
Old System Removal
The gas heater is decommissioned and removed. A licensed gasfitter caps the gas line. The indoor unit comes out of the ceiling void, and the duct connections are checked for compatibility with the new system.
New System Installation
The new indoor unit goes into the ceiling void, connected to the existing duct network where suitable. The outdoor unit is installed on an external wall or ground mount. Electrical connections are upgraded if needed; reverse cycle systems typically draw more current than the fan motor on a gas heater.
Commissioning and Handover
Zone controllers are set up, airflow is tested at each outlet, and both heating and cooling modes are verified. You’ll be shown how to use the controller and set your zones. In a straightforward single-storey home, the whole job is usually done in one to two days.
| 💡 Tempco FRH Energy Solutions We hold ARC Licence AU51396 and have been installing heating and cooling systems across the Southern Highlands and Goulburn region for over 40 years. We can come out, inspect your existing setup, and give you a straight answer on what’s reusable and what a conversion would cost. Take a look at our services to see what we cover. |

Government Rebates for Replacing Gas Ducted Heating
Several financial incentive programmes are available right now to reduce the upfront cost of switching from gas to electric. What you can access depends on your state and the system you install.
Victorian Energy Upgrades (VEU) Programme
Victorian households replacing a gas ducted system with a ducted reverse cycle air conditioner can receive a point-of-sale discount of up to $3,600, according to the Victorian Government. Some accredited providers advertise higher combined amounts depending on system type. The saving is applied directly at purchase through an accredited installer, so there’s no claim form to complete separately.
NSW Energy Savings Scheme (ESS)
NSW homeowners should check current eligibility under the Energy Savings Scheme. Rebate amounts and eligible products change periodically, so the best step is to ask your installer or check the NSW Government energy website for current figures at the time of your purchase.
Small-Scale Technology Certificates (STCs)
This federal programme applies nationally. When you install an eligible heat pump system, your installer creates STCs based on the estimated energy savings over time, and the value is passed on as a discount at point of purchase. Most registered installers build this into their quotes automatically.
| Note: Rebate programmes change. Always confirm what’s available at the time of your quote, and ask your installer to include rebate amounts in writing. |

Is a Ducted Reverse Cycle System Right for Your Home?
Reverse cycle works well in most homes that previously had gas ducted heating. A few factors help determine which path is right for yours.
Home size: Larger homes (3+ bedrooms) benefit most from a ducted solution. Smaller homes may find a multi-split more practical.
Duct condition: Ducts that are insulated, intact, and correctly sized can be reused. Old or leaking ductwork may need partial replacement, which adds cost but is usually still worth doing long-term.
Climate: The Southern Highlands and Tablelands are among the colder parts of NSW. Modern reverse cycle systems rated to -10°C ambient handle these conditions well.
Budget: The upfront cost of a ducted reverse cycle system is higher than a single split system but comparable to a quality gas heater replacement. Running cost savings help close the gap over time.
Cooling: If you don’t currently have air conditioning, a reverse cycle replacement gives you both. That’s a meaningful added value compared to replacing gas like for like.
Prefer a non-ducted option? Hydronic heating systems are worth considering for new builds or major renovations, particularly where radiant warmth and quiet operation are priorities.
Start with the Right System
Give us a call and we’ll come out, check your existing setup, and give you a straight answer on your options. Tempco FRH Energy Solutions has been providing heating and cooling services across regional Australia, for over 40 years.

