Battery Rebate News - Cheaper Home Battery Program

9 May, 2025
Solar battery rebate news 2025

Correct as of 4th July 2025

The Federal Labor Government’s $2.3 billion Cheaper Home Batteries Program, started on 1st July 2025 – allowing households to purchase a home battery with an estimated 30% discount on typical installed costs. This will help households reduce reliance on fossil fuels – and take back control of their power costs!

There are still a few eligibility and compliance details to get clarity on, but here’s what we know:

  • The battery must be commissioned after 1st July 2025
  • Minimum 5kWh, max 100kWh (but only claimable up to 50kWh) of ‘useable’ storage capacity
  • The battery needs to be connected to a new or existing solar system
  • Can be a battery expansion, provided other criteria are met*
  • Installation completed by an appropriately accredited installer
  • Components must be on the Clean Energy Council approved list^
  • If grid-connected, be capable of connecting to a Virtual Power Plant (no requirements to join a VPP)
  • Is available for off-grid installations
  • One rebate per property, which isn’t means-tested
  • Can receive this rebate together with other rebates (depending on the conditions of the other rebate – most state government-based rebates have now been changed so they can be used with this rebate, but this is a quickly-moving area so best to doublecheck this at the time of purchase)

*For expansions or upgrades using existing equipment, all existing equipment must either be on the CEC approved list, or have not been removed for safety concerns. The CER still hasn’t clarified exactly what this means, and whether equipment that was never on the CEC approved list (because it never needed to be – i.e. many battery inverter brands) will be eligible.

^Some stackable battery brands are listed on the CEC Approved list in combination with an inverter, and not as an individual battery module. This means that these batteries are only eligible for the rebate when installed as a new stack with a new inverter (e.g. battery/s added to an existing stack are not eligible).

The subsidy is an extension of the Small-scale Renewable Energy Scheme, and the Government announced the rebate value at a maximum of $372.00 per kWh of usable battery capacity. However, the end value for homeowners will be less than this, for several reasons (lower certificate trading price, and trader fees/charges being the main two), and we estimate the value to be closer to $320-340 per kWh.

The rebate value will decline annually alongside the solar STC rebate, ending in 2030. This means that the highest possible rebate value will only be available for systems installed in July-Dec (inclusive) of 2025.

Given the expected popularity of this program and the end-of-year price drop deadline, we would recommend getting in touch with one of our consultants to get your system design and quote.

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More details on the Cheaper Home Batteries Program can be found here;

https://alp.org.au/news/labor-to-deliver-one-million-energy-bill-busting-batteries/

https://www.dcceew.gov.au/energy/programs/cheaper-home-batteries

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