Gas ban for new buildings welcomed by Border renewable energy advocates

On Friday it was declared gas cooking and heating will be a thing of the past in Victorian homes as part of the state's plan to reach net zero emission by 2045.

From January 1 next year, new residential properties and government buildings will only be powered by electricity.

Indigo Power managing director Ben McGowan said the move away from gas "was the way the country is going".

"I guess it may be a shock for people not paying attention, but for those paying attention it's not a shock given those things aligning, the cost, the emissions, the emissions intensity, and all the policy and investment is heading towards electricity and not gas," Mr McGowan said.

"All of the big investment in Australia is heading to electricity infrastructure, there's huge investment in transmission, there's huge investment in generation, especially in renewable energy.

"And there's also huge investment for rooftop solar household batteries and related technology.

"So that's that's clearly the way the country's going, where we're heading, towards huge investment in electricity infrastructure rather than the gas infrastructure system."

Totally Renewable Yackandandah acting president Matt Charles-Jones welcomed the change.

"Totally Renewable Yackandandah is entirely supportive of ambitious efforts to reduce our dependence on all forms of fossil fuels," he said.

"Critically this will address the worst effects of climate change, but also put power in to the hands of all people - generating electricity can be done affordably, flexibly and locally.

"TRY has been striving to shift focus to renewable forms of electricity for nearly 10 years.

"Any shift away from gas appliances is to be applauded from a health, financial and carbon emissions viewpoint. This decision needs to also ensure those who can least afford these changes have practical and financial assistance from government and other supporting agencies."

On Friday, Energy Minister Lily D'Ambrosio said the changes would help new home owners save $1000 in their energy bills.

"We know the cost of living for Victorians is getting bigger and bigger," she said. "Doing something about it is exactly what today is about."

There will be changes to Victorian planning provisions and schemes to ensure the changes can come into effect.

About 80 per cent of Victorian homes are connected to gas, with the sector contributing about 17 per cent of the state's emissions.

A new $10 million residential electrification grants program will be established, Ms D'Ambrosio said.

The scheme will be available to volume home builders, developers and others to provide bulk rebates for solar panels, solar hot water and heat pumps to new home buyers.

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