The purpose of the Water Efficiency Labelling and Standards (WELS) scheme is to reduce water use, support consumers to make informed choices about the water efficiency of products they purchase and encourage the uptake of water efficient products.
Since the scheme began, we have regularly reviewed how effective and efficient it is at delivering on these goals.
Five-yearly reviews
An independent review of the WELS scheme has been conducted every 5 years since the scheme started, in line with the requirements of section 76 of the Water Efficiency Labelling and Standards Act 2005.
The third independent review of the WELS scheme was published on 28 September 2022.
The independent review also considered the design, efficiency and effectiveness of the WELS Intergovernmental Agreement (IGA).
The review found that the WELS scheme continues to add value by achieving its legislative objectives. It also provided a range of recommendations to further enhance and improve the scheme.
The WELS Regulator’s response to the review accepted most of the recommendations. These recommendations have informed improvements that have been made to the scheme under the WELS Strategic Plan 2022-2025.
The next review is expected to commence in 2026.
Consumer awareness
Research into consumer awareness of the WELS scheme found that more than 80% of Australians know about the WELS label and use it when deciding what to buy.
Water efficiency is one of the key consideration in their purchasing decisions for products regulated under the WELS scheme.
Estimating benefits
A 2018 evaluation of the environmental and economic impacts of the WELS scheme estimated that in 2025 the scheme will:
- reduce demand for water nationally by 178 gigalitres
- save consumers over $1.7 billion on utility bills, through reduced use of water and energy to heat water, and
- reduce greenhouse gas emissions by 2.24 megatonnes of carbon dioxide equivalents
Updated modelling of the environmental and economic benefits of the scheme will be released in late 2025.