Official Launch: July 1, 2025
The Australian Government’s Cheaper Home Batteries Program will begin on July 1, 2025, offering an upfront rebate of approximately 30% off the cost of eligible home battery systems.
Based on current projections and a $36 Small-scale Technology Certificate (STC) value (after transaction and admin costs), this equates to roughly $335 per usable kilowatt-hour (kWh). The rebate will gradually reduce each year until the program concludes in 2030.
This initiative is funded through a $2.3 billion expansion of the Small-scale Renewable Energy Scheme (SRES)—the same system that helped fuel Australia’s rooftop solar boom.
What This Means for You
Our analysis suggests the rebate will make battery storage financially viable for many Australian households.
“The most important development in consumer energy since Australians first gained access to subsidised solar panels.”
— John Grimes, CEO, Smart Energy Council
While some details are still being finalised, this guide provides a comprehensive overview of the program.
Estimate Your Savings
Want to know how much you could save?
Contact us now at 1300 274 737 for a free, no-obligation quote and personalized rebate estimate.
Key Details of the Solar Battery Rebate Program
- Start Date: 1 July 2025
- Rebate Value: Up to 9.3 STCs per usable kWh (~$335 per kWh based on $36 STC price)
- Typical Savings: Around $4,000 on a standard 11.5–13.5 kWh battery
- Eligibility: Homeowners, small businesses, and community facilities
- Stackable: Yes, can be combined with eligible state rebates
- Means-Tested: No — available to all eligible property owners
- Installation: Must be certified (Certificate of Electrical Compliance) on or after 1 July 2025
- Battery Size: 5–100 kWh nominal capacity (rebate capped at first 50 kWh of usable capacity)
- Solar Requirement:
Must be paired with existing or new rooftop solar - Limit: One rebate per electricity meter; multiple properties with separate meters may qualify individually
Important Note on Timing
Installer demand is already increasing. Batteries installed before July 1 can still claim the rebate if they are not switched on until July 1 or later. To avoid delays or supply shortages, it’s recommended to get quotes and plan installations now.
Eligibility Criteria
The program requires battery systems to meet specific technical and installation standards:
- Nominal capacity between 5 and 100 kWh
- Rebate applies to up to 50 kWh of usable capacity
- Must be brand new (no second-hand or refurbished batteries)
- Installed on-grid or off-grid (off-grid must be 1 km+ from main grid or face high connection costs)
- On-grid systems must be Virtual Power Plant (VPP) capable
- Paired with new or existing rooftop solar
- Battery and inverter must be on the Clean Energy Council (CEC) approved product list
Additional batteries can qualify if added to existing systems that haven’t previously claimed the rebate, with added capacity of at least 5 kWh and total nominal capacity under 100 kWh.
Exclusions: EV batteries and EV charging systems are not eligible.
Installer and Compliance Requirements
- Installation by a Solar Accreditation Australia (SAA) accredited installer
- On-site supervision by the accredited installer
- Compliance with the Best Practice Guide: Battery Storage Equipment and all relevant state/territory electrical safety regulations
- Internet connectivity confirmation for VPP-capable systems (connection to VPP not mandatory)
- Certificate of Electrical Compliance (CoC) signed on or after 1 July 2025
What Is the Federal Battery Rebate Worth?
In 2025, eligible batteries generate 9.3 STCs per usable kWh, valued at around $36 each after costs, resulting in approximately $335 per usable kWh rebate. For example, a 10 kWh battery priced at $11,120 could receive a $3,300 rebate, reducing the cost to $7,400.
The rebate decreases annually through 2030 and is funded through the 2025–26 Federal Budget to make battery storage more affordable nationwide.
How Much Can a Battery Save on Energy Bills?
Savings depend on battery size, usage, and location. A typical 10 kWh battery can reduce electricity bills by $700 to $1,500 per year, depending on consumption and rates. Call us on 1300 274 737 to calculate your specific savings.
Battery Costs After Federal Rebate: Popular Brands Compared
The federal rebate (starting 1 July 2025) will significantly reduce upfront costs for well-known battery brands. Contact us for detailed pricing and comparisons.
Can You Combine the Federal Rebate with State Incentives?
Yes, but only where allowed. As of June 2025:
- Western Australia: Stackable with the WA Home Battery Scheme; interest-free loans available.
- New South Wales: State rebate ends 30 June 2025; from 1 July, NSW VPP incentives stack with the federal rebate.
- Victoria: State Solar Battery Loan program closed; only federal rebate available.
- Northern Territory: State program fully funded; only federal rebate applies.
Final Thoughts: Is the Solar Battery Rebate a Gamechanger?
With a 30% upfront cost reduction, rising electricity prices, falling solar feed-in tariffs, and decreasing battery costs, the federal rebate is set to transform the home battery market. Early demand surges may cause short-term supply and installation delays.
To secure your rebate and avoid delays, consider installing your battery now, ensuring it is not activated until the program begins on 1 July 2025. Some batteries support remote activation for convenience.
Q1: When does the federal solar battery rebate start?
A1: The rebate officially begins on July 1, 2025.
Q2: How much can I save with the rebate?
A2: The rebate offers about $335 per usable kWh, typically saving around $4,000 on an average 11.5–13.5 kWh battery system.
Q3: Who is eligible for the rebate?
A3: Homeowners, small businesses, and community facilities with eligible properties and battery systems paired with rooftop solar.
Q4: Can I combine the federal rebate with state incentives?
A4: Yes, in some states like Western Australia and New South Wales, but it varies by state.
Q5: Are used or refurbished batteries eligible?
A5: No, only brand-new battery systems qualify.
Q6: Can I install the battery before July 1 and still claim the rebate?
A6: Yes, as long as the battery is not switched on until the rebate program starts.
Q7: What size battery qualifies for the rebate?
A7: Batteries must have a nominal capacity between 5 and 100 kWh, with the rebate applying to up to 50 kWh of usable capacity.
