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Power Up Your Savings: The Cheaper Home Batteries Program is Almost Here!

12 May, 2025.

Are you feeling the pinch of those power bills, especially after the sun goes down? Are you ready to make your solar system even smarter? Well, get ready for some electrifying news tailored just for you! The Albanese Labor Government's Cheaper Home Batteries Program is gearing up to launch nationwide on July 1, 2025 (with rebates potentially backdated to April 6, 2025!), and it's bringing some fantastic opportunities for homeowners who already have solar or new installations.

This is a significant initiative, with $2.3 billion allocated to make home battery storage much more affordable. Imagine cutting the cost of a battery system by around 30%! This program can be stacked with our existing state incentives for NSW residents, making the savings even more substantial. Let's dive into how this program works and what it means for you in the Premier State.

Important Note: The program is Still Pending Final Federal Confirmation

While the program has been announced, it's important to remember that it's still a policy proposal awaiting final confirmation from the federal government. We'll update you as more details become available, but it's wise to remember this as you plan.

The Federal Cheaper Home Batteries Program: What's the Deal?

Nationally, the program aims to address the common issue with solar power: what happens after sunset? Batteries store that excess solar energy, allowing you to use it during peak hours when electricity costs are higher. The federal Cheaper Home Batteries Program offers rebates of approximately $370 per kilowatt-hour (kWh) for battery systems between 5kWh and 50kWh. This could mean savings of up to $18,500 on a larger system!

The program officially starts on July 1, 2025, and will run until 2030. Remember, this is a one-time rebate per household, and eligibility requires you to have solar panels installed on your property already. Your chosen battery system must also be compatible with Virtual Power Plant (VPP).

Supercharging Your Savings in NSW: Combining Federal and State Incentives!

Here's where things get exciting for us in New South Wales! You can combine the federal Cheaper Home Batteries Program with our existing state incentives to maximise your savings:

  • NSW Solar Battery Rebate : Currently offering $1,600–$2,400 off the cost of a new battery installation.
  • NSW VPP Incentive : An additional $250–$400 rebate is available if your battery system is VPP-enabled and connected.

By strategically combining these federal and state rebates, the upfront cost of a home battery system can become significantly more manageable. This would make energy independence and lower power bills a real possibility for more NSW households with solar.

Why a Battery is a Smart Move for NSW Solar Owners :

  • Slash Your Bills (Again!) : Use your stored solar power during peak times, reducing your reliance on the grid and those expensive electricity bills.
  • Energy Independence : Become less reliant on the grid and more self-sufficient with your energy.
  • Backup Power : Keep essential appliances running during power outages (depending on your system's capabilities).
  • Go Even Greener : Maximise using clean, renewable energy your solar panels generate.
  • Increased Value of Your Solar : A battery makes your existing solar investment even more worthwhile, allowing you to utilise more of the clean energy you produce.

The Bigger Picture for NSW and Australia :

This program, combined with NSW's existing efforts, is a significant step towards a more resilient, decentralised, and cleaner energy future for our state and the nation. By encouraging battery adoption, we're helping households save money, contributing to a more stable grid, and reducing our reliance on fossil fuels. Leading industry voices like the Smart Energy Council and the Clean Energy Council see this as a crucial move towards empowering Australians and transforming our energy landscape.

Note : Eligibility criteria, application processes, and available funding can vary and are subject to change. It's advisable to consult the respective state or territory energy departments or official government websites for the most current information and to determine your eligibility.

FAQs

Here are some questions and answers for solar panels

  • 1.What is the Cheaper Home Batteries Program and how does it work?

    The Cheaper Home Batteries Program is a federal government initiative that delivers upfront discounts on home battery systems via Small-scale Technology Certificates (STCs) under the Small-scale Renewable Energy Scheme (SRES).


  • 2. How do I claim the federal rebate on my solar battery?

    Simply engage a Accredited Retailer Fortune Solar and they will check the eligibility criteria and all the paperwork on your behalf and schedule the installaiton with SAA accredited installer. Then after Fortune Solar will claim the Solar battery Clean Energy Regulator–accredited installer and request the STC discount when quoting and installing your battery. The installer handles all paperwork and STC registration.


  • 3. Do I need an existing solar PV system to claim the rebate?

    Yes. Batteries must be connected to a new or existing rooftop solar system to qualify under the SRES. Off-grid setups are permitted only if they meet SRES connection and safety standards.

  • 4. How much will I save with the Federal Solar Battery Rebate?

    The rebate rate is set at approximately $320–$370 per kWh of usable capacity. For example, a standard 10 kWh battery could receive $3,200–$3,700 off the purchase price.

  • 5. When does the rebate begin, and how will it change over time?

    The Federal Solar Battery Rebate applies to systems installed and activated from 1 July 2025 until 30 June 2030. Each year, the per-kWh subsidy is scaled back, phasing down in line with falling battery costs so that by 2030 the support level is roughly half of the initial rate.

  • 6. Can off-grid and standalone battery systems qualify?

    Yes. While the rebate primarily supports grid-connected solar-plus-battery setups, off-grid and standalone batteries are eligible if installed and commissioned under SRES regulations.

  • 7. Can small businesses and community facilities access the rebate?

    Absolutely. Small businesses and community organisations with solar can claim the same upfront discounts as households, for up to 50 kWh of battery capacity.

  • 8. Can I combine the federal rebate with state or territory incentives?

    Yes. The Cheaper Home Batteries Program is designed to complement existing state schemes, such as NSW’s Peak Demand Reduction Scheme, Victoria’s interest-free battery loans, and WA’s Residential Battery Scheme, so “double-dipping” is generally allowed.

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