An energy-saving scheme that helps poorer Victorians cut their power bills has been axed.
Consumer groups say the decision to cut the Victorian energy efficiency target scheme threatens 2000 jobs.
The program helped cut household power bills by offering low-energy light bulbs and other ways to help people reduce power usage.
Victorian Energy Minister Russell Northe said the scheme had been successful but a review found it would begin to cost more than it saved.
"The VEET scheme is no longer delivering on those goals in a cost-effective manner and the review found that continuing with the scheme would be costly to the Victorian economy," Mr Northe said on Wednesday.
But consumer and energy efficiency groups said the VEET was being scrapped because it cut into the profits of big energy companies.
The government's own business impact assessment found the scheme had cut profits for energy companies as consumption dropped.
It also found low-income consumers got the most benefit from the scheme.
Energy Efficiency Council chief executive Rob Murray-Leach said axing the scheme was unfair to families and economically reckless.
"They admit that they're cutting a program that employs over 2000 people and helps low-income families save energy because it reduces generators' profits," Mr Murray-Leach said.
Environment Victoria chief executive Mark Wakeham said the only winners from the decision were energy retailers and generators, which had been lobbying for the scheme to end.
Victorian Greens MP Greg Barber said the scheme supported jobs in small installation businesses and manufacturing.
Mr Northe said the VEET scheme would be phased out by the end of 2015, giving businesses time to adjust.
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