Victorian Premier Ted Baillieu says the government has no plans to dump six-star energy rules for new homes.
The six-star energy efficiency standard has been a state regulation for all new homes since May last year.
On Monday, Fairfax media reported the scheme could be scrapped under a proposal before the Baillieu government.
But Mr Baillieu told reporters there were no plans to dump the scheme.
"The six-star ratings will stay," Mr Baillieu said.
He said Treasurer Kim Wells had asked ministers to look for areas in their portfolio where the government can cut red tape.
"The treasurer has been challenging ministers as he should to examine all of their areas of legislation and regulation to see how we can reduce regulation," he said.
Earlier, a spokesman said the government remained committed to its target of cutting red tape in Victoria by 25 per cent and no decision on six-star ratings had been made.
Opposition Leader Daniel Andrews said dumping the six-star scheme would be bad for jobs, household energy bills and the cost of living.
"This is a small impost upon purchase but one that reaps a huge dividend over time," he said.
"That's why these standards are important."
The Association of Building Sustainability Assessors said the six-star standard can be achieved with little or no cost and the amount saved on energy bills is significant.
Green group Environment Victoria (EV) warned that any government move to abandon its pre-election commitment on building standards for new homes and renovations would betray its promise to tackle rising living costs.
EV campaigns director Mark Wakeham said the six-star standard was introduced because it was proven to reduce living costs for households over the life of the building.
The Building Commission says six-star homes are projected to use 24 per cent less energy through heating and cooling than five-star homes, saving $100 annually in energy bills.