indoor air conditioning unit, representing air conditioning cost Melbourne

If you live in Melbourne, this guide will cover all the costs to install air conditioning in 2025. 

You’re either considering installing air conditioning for your place, or you’re comparing prices of each air conditioning type.

If you’re a homeowner looking for honest advice, this guide is made just for you. It’s packed with the latest insights and accurate pricing details to help you make smart, confident decisions for your home.

Note – all prices mentioned are approximates.

Key Takeaways

  • A professional split system installation will cost $1,500 - $6,000.
  • Ducted air conditioning installations can cost between $8,000 - $20,000.
  • Air conditioning suppliers are raising their prices on the top brands.
  • Replacing an air conditioner is generally cheaper than installing a fresh unit.

What types of air conditioning systems are there?

There are countless air conditioning types, so our aim is to cover the most commonly installed air conditioning units in Melbourne.

We won’t cover why you should choose a specific type over another. If you’d like to learn more about each air conditioning type, read our ultimate guide to air conditioning in Melbourne.

Ranking the cheapest to most expensive air conditioning systems

  1. Portable Air Conditioner – $N/A
  2. Window Air Conditioner – $$$
  3. Split System – $$$$
  4. Evaporative Cooling – $$$$
  5. Multi-head Split System – $$$$-$$$$$
  6. Ducted Air Conditioning – $$$$-$$$$$

 

The price doesn’t necessarily mean that any one system is better than another, just that they are used for very different purposes.

However, prices to install an aircon can vary by several hundreds if not thousands depending on who is performing the installation.

If you’re unsure about what you need, contact our team of professionals for air conditioning installation in Melbourne.

a price graph for air conditioning system types.

What factors impact air conditioning installation cost?

Air conditioning isn’t cheap, and that’s for a good reason. 

Everyone wants home comfort throughout summer and winter. 

So when you finally decide it’s time to install an air conditioning unit, you should be aware of the costs that can drive the price up.

Here are some important factors to consider when speaking to your air conditioning technician regarding your next installation.

 

Type

air conditioning systemsAs we mentioned earlier, the type of air conditioning system is going to be the biggest price mover when it comes to the cost of the air conditioning install.

Ducted systems will set you back the most, whereas, a split system is a more practical option for apartments and smaller homes that won’t break the bank.

 

Size

Since there is a large range in the cooling capacity (kW) for each type of AC system, you’ll see that a 2kw split system is a few thousand dollars cheaper than a 10kw split system.

This is why it’s imperative to select the right air conditioning size for your home.

Our friendly team handles this whole process of selecting the perfect size.

 

Brand

Top brands like Mitsubishi Electric, Daikin, and Fujitsu are more expensive than other units.

air conditioning brands versing eachotherThis is because they are more reliable and usually have better functionality.

We always recommend these first, as the small extra upfront cost of installing the better brands pays off with less repairs and more energy savings in the future.

 

Zoning

You’ll only have to consider this factor if you’re installing ducted air conditioning or a multi-head split system.

Zoning options can significantly increase the cost of the installation due to additional duct, wiring, electrical, and more thermostats for each zone.

 

Install only

Unless you have professional advice from a certified HVAC technician, we don’t recommend buying an air conditioner as it might be too big or too small.

Only a professional can truly know what size you need for your home layout.

Buying an air conditioner yourself, may save you a very small amount or nothing at all as HVAC contractors get wholesale prices.

 

Energy-efficiency ratings

In order to save money in the long-term, most air conditioning companies in Melbourne will recommend the most energy efficient systems.

The Zoned Energy Rating Label (ZERL) makes it super easy to distinguish which units have better energy-efficiency than others.

the zone energy rating label (ZERL) sheet.

Pay attention to the bottom row, this indicates Melbourne’s specific rating, classified as the cold category.

The more stars the unit has the more you’re going to fork out.

Anything 5 stars and above is very energy efficient.

 

Installation quality

Across Melbourne there is going to be a large difference in the quality of the installation that gets done.

Whilst we want to think that any HVAC technician can do the job well, this simply isn’t the case.

The team at Thomas Air Conditioning spends the time to get the job done to a high standard.

We use higher quality materials, fixings, copper, brackets, and cappings, setting your system up for years of optimal performance.

We also advice that you pay attention to google reviews to find out whether the HVAC contractor you’re considering is top-rated.

Our team is the best rated in the local area with over 4.5+ star rating and many 5 star reviews.

If you see a higher rating and more testimonials, this can mean that you pay more per/hour for labour.

Make sure to check the licence of your installation contractor and avoid electricians who install split systems, as they often only have a restricted “splits” licence which can take less than a week of training to receive.

All of our air con technicians have full ARC licences (RAC).

Add-ons/Extras

The major feature that our customers opt for is WiFi control. 

This allows you to conveniently control your air conditioner from anywhere in your home.

This integration will often cost a few hundred dollars but is highly desired by those that want more freedom and control over their appliances.

Recent Air Conditioning Price Trends in Melbourne

The cost of fitting air conditioning is going up with the cost of living.

We are seeing from suppliers of the major brands – Mitsubishi Electric, Daikin, and Fujitsu that the trend is rising.

You can expect to pay $50 – $100 more for an air conditioning system than last year.

This comes as consumers seek high efficiency models that save money over time.

As well as external inflationary pressures driving up the cost of production.

We expect this trend to continue into 2025 and beyond.

So if you’re considering an air conditioning installation in 2025 and cost is a big factor for you, it may be a good idea to get in touch with a Melbourne-based HVAC company for a free assessment.

How much does air conditioning cost in Melbourne?

With so many choices available in Melbourne you might be hard stuck to find a clear price. 

These prices will only include what you would pay from a fully qualified HVAC technician and not an electrician.

A typical split system installation is going to cost roughly $1,500 to $6,000, whereas a reverse cycle ducted air conditioning system is most likely going to be $10,000 or more.

Along with the factors we discussed earlier, It’s important to know what that installation cost is broken down into.

We’ll run you through what a quote for a typical 2.5kw Mitsubishi Electric Split System installation is made up of.

Component Approximate Cost (AUD) Description
Equipment/Unit Cost $1,200 – $1,800 Cost of the 2.5kW split system unit from the MSZ-AP Series.
Installation Labour $400 – $600 Roughly 3–4 hours of work including mounting, connecting refrigerant lines, and system setup.
Materials and Components $150 – $250 Includes copper piping, insulation, mounting brackets, conduit, and wiring needed for the installation.
Electrical Upgrades and Wiring $100 – $200 Minor electrical work such as installing a dedicated circuit or upgrading wiring if necessary.
Travel and Call-Out Fees $50 – $200 Transportation and call-out fees, which are generally lower within Melbourne’s metropolitan area.

Split System Installation Cost

a wall-mounted residential split system unit.

Split systems are on the rise in Melbourne for their reliability and simple installation process.

A split system air conditioner installation cost will vary significantly but will often be between $1,500 – $6,000 with a more typical price of $2,000 – $3,000.

A multi-head split system installation will cost between $2,000 – $11,000, and this can even be higher if you need more indoor units.

Each installer is going to be different and may recommend brands that they prefer.

Therefore this could substantially increase the cost.

Ducted Air Conditioning Installation Cost

air conditioning ventDucted air conditioning is becoming a preferred option for medium and large sized homes in Melbourne.

Ducted air conditioning installation costs between $8,000 – $20,000 with a more typical price of $10,000 – $15,000.

Due to the nature of the job, it’s a more complex process requiring roof access leading to higher costs.

The installation usually takes between 1-3 days to complete, and this will increase labour costs and ultimately your ducted air conditioning quote.

Evaporative Cooling Installation Cost

evaporative cooler on roof.Evaporative Cooling is the only air conditioning option that doesn’t also provide heating.

From the countless evaporative cooling installs, evaporative cooling installation costs roughly $2,500 – $5,000 with a more typical price of $3,000 – $4,000.

The major cost mover is going to be the unit that you ultimately select.

Portable Air Conditioner Installation Cost

Portable air conditioning has become an extremely popular alternative to installing a split system, as they provide targeted cooling whenever and wherever you need.

Portable air conditioning installation costs nothing as it doesn’t require professional installation, however, a portable air conditioner typically costs between $300 – $1,000.

The major price difference between units is usually due to better brand quality.

Window Air Conditioner Installation Cost

Window air conditioning is popular for apartments that want a cost-effective solution.

Window air conditioning installation costs between $500 – $1,000 with a very simple installation process.

You might spend closer to $1,000 with better brands like Midea, and Kelvinator.

How much does an air conditioning replacement cost?

Many think that the cost of replacing air conditioning in Melbourne is more expensive.

This is not the case, it’s actually the opposite, and this is because some of the materials are already set up from your first installation.

This includes some electricals, pipes, and other materials that can often be reused.

If you’re replacing the old unit with a unit that is similar, you might be able to save $200 – $300.

FAQ

Should I choose the cheapest air conditioning installer?

To keep it short, no. Whilst a costly installation doesn’t mean that the installation quality is better, you should apply the buy once, cry once mentality to air conditioning installations.

Being in the air conditioning industry for 100 years we’ve seen all kinds of botched jobs, so it’s better to look for a high-quality installer that charges a fair price.

Can an electrician install my air conditioning?

An electrician can install split systems with a restricted “splits” licence.

Electricians can often charge very low prices, and this is usually at the expense of quality and care.

Electricians have to meet a far lower requirement than any fully qualified HVAC technician, as the course to obtain a “splits” licence can take under a week.

Opt for an installer that is fully certified by ARCtick as well as VBA certified to ensure the best standard of knowledge.

Is installing air conditioning worth it?

Air conditioning is one of the best investments you can make for your Melbourne residence.

Whether you live in a home, apartment, or unit, remaining comfortable in your own home is imperative.

Where can I get an air conditioning installation quote?

To get an air conditioning installation quote in Melbourne, contact the Thomas Air Conditioning team at (03) 9553 3993 and we’ll provide a free assessment and quote for your home.