You Still Paying Full Price for a Battery? Australia’s 30% Home Energy Storage Discount Is Live

Cheaper home battery scheme launched, households may receive up to A$372 per usable kWh subsidy

A new federal home battery subsidy program, launched on 1 July 2025, offers around 30% off eligible home battery systems. This initiative, part of the Small‑scale Renewable Energy Scheme (SRES), is available to Australian households looking to reduce their energy bills and improve energy independence.

📊 Why This Program Is a Game‑Changer

• The Cheaper Home Batteries Program, backed by A$2.3 billion in federal funding, provides around 30% off the cost of approved battery systems.
• This translates to a discount of up to A$372 per usable kWh, effectively reducing prices by about A$330/kWh after administrative fees.
• For example, a 10 kWh battery that previously cost A$11,000 can now be installed for roughly A$8,000, saving households about A$3,300 upfront.
• The discount amount will gradually decrease each year in line with falling battery costs, with the program running until 2030.

📈 Impact of the Program

• Over 11,500 batteries have been installed in the first three weeks, with installation rates exceeding 1,000 batteries per day.
• The average battery size has increased to 17 kWh, up from 10–12 kWh in the past.
• By 2030, the program is expected to contribute to 10,000 MW of distributed energy storage—roughly equivalent to Australia’s coal generation capacity.

💡 Financial Benefit: Battery Payback and Savings

• With rooftop solar and a battery, Australian households could save up to A$2,300 per year on energy bills, reducing electricity costs by around 90%.
• For existing solar homeowners, the battery discount can cut the typical payback period in half, bringing it down to just 3–4 years.
• With the decline in feed‑in tariffs, using stored solar power at home becomes a vital strategy for increasing energy independence and cutting electricity costs.

📝 Battery Subsidy Breakdown by kWh Capacity

Here's how the subsidy is calculated based on usable battery capacity:

• Only the first 50 kWh of a system’s usable capacity is eligible for the subsidy.
• The values listed above are approximate, based on A$372 per kWh. Final prices may vary.

🧭 Steps to Maximize the Program’s Benefits

1. Get quotes from several approved installers.
2. Ensure the battery size fits your household’s needs. A 10–20 kWh battery is typical for most families.
3. Confirm the discount and check warranty terms.
4. Consider joining a Virtual Power Plant (VPP) if it is suitable for your system.

✅ Eligibility Essentials for the Home Battery Discount

• You must install a battery system between 5 kWh and 100 kWh nominal capacity.
• The battery must be installed with a solar PV system and meet the Clean Energy Council's standards.
• The system must be installed by accredited installers and follow all regulations in your state.
• Virtual Power Plant (VPP) capability is required for grid‑connected systems, though joining a VPP is optional.

🔍 Key Considerations Before Proceeding

• Installers must be accredited through the Solar Accreditation Australia program.
• Only one subsidy is allowed per property, even if you add or upgrade your system later.
• Make sure the electrical compliance certificate is issued after the program launch date of July 2025.

🚀 Conclusion: A Turning Point in Australian Home Energy

With around 30% off and up to A$372 per kWh in subsidies, this program makes home energy storage significantly more affordable and shortens the payback period. For households aiming to cut energy bills and boost independence, now is an ideal time to consider installing a solar battery.

Thank you for reading!