The Australian government has taken the initiative for big savings through the Cheaper Home Battery rebate program. The cost of adding a battery to an existing or new solar system will be reduced thanks to the federal government battery rebate.
The government plans to begin the program from 01 July 2025 to offer up to 30% off for the solar battery system. The Australians who wish to install a new battery system or change the existing one can understand everything about the rebate here.
Federal Government Battery Rebate
The Albanese government has set the starting date for the anticipated federal battery rebate, the Cheaper Home Batteries program. The government has backed the program with a fund of $2.3 billion to support Australians and businesses to embrace the solar system.
The rebate program to provide cheaper batteries to Australians will be managed as the authority will offer a 30% discount on the eligible batteries. The households, community facilities, and businesses can benefit from this program and embrace the renewable energy source, and reduce their carbon footprint.
The program is a part of the Small-scale Renewable Energy Scheme (SRES) to promote rooftop solar systems and embrace green energy sources. There will be no cap on the subsidies, and the battery rebate is not means-tested.
Who is eligible?
As per the Federal government rebate, Australians who meet the following conditions will be entitled to the rebate:
- The Australians who have solar panels installed on their property or have newly installed the panels.
- Australian households with their own property, businesses, or community facilities, such as a Town hall and others, can apply for the rebate.
- The scheme is only applicable to property that has not received it previously, meaning it is one rebate for one property.
- The state rebate recipients can also claim the federal government rebate.
- People can get the rebate for replacing the existing battery with a new one when they have not received the federal rebate previously.
- The battery rebate is only offered for the Solar PV system for the batteries that meet the requirements.
Eligible Batteries
The businesses, households, and community facilities that wish to claim the rebate for the cheaper batteries should ensure the battery meets the following requirements:
- The batteries you are purchasing should be certified and approved by the CEC (Clean Energy Council and the installers should have the battery installation official approval and follow a certain standard.
- Battery systems with usable capacities between 5 and 50 kWh are eligible for the reimbursement; however, if the system’s capacity exceeds 100 kWh, you can still claim the rebate for a 50 kWh system.
- The solar batteries you bought should be able to connect to the VPP (Virtual Power Plant), though it is not necessary for you to participate in the VPP.
Rebate Amount
The federal government will offer a reimbursement based on the usable battery capacity, with a maximum rebate of $372 per kWh. After accounting for administrative fees and expenses, the final price of the battery will be approximately $330 per kWh.
The Cheaper Home batteries program will run till 2030, with the discounted amount reduced each year until it is finished. With a 10 kWh home battery for the solar PV system, the household can now expect to receive a battery rebate of up to $3720 this year, depending on the battery’s capacity. This amount will then drop to $3300 after installation costs are covered.
With the battery rebate, the average savings of the household or others will be around $4000 if the battery capacity is 10 kWh in a typical battery installation.
What to do now?
The federal government battery rebate program will begin on 01 July 2025; however, Australians who wish to take advantage of the program can do many things, such as:
- You should learn about the eligible batteries for the rebate and the battery that will fit your house, business, or community facilities.
- The Australians should begin the installations now, though the program officially starts on 01 July 2025. If you don’t have a solar panel, get it installed and take advantage of the Australian SERS program and other solar programs, as well as the battery rebate.
- You can check about the energy rewards or rebates in Australia at https://www.energy.gov.au/ and learn about the benefits of solar system installation and incentives.
The battery cost in Australia can be around $12,000 to $14,000 for 13 kWh with installation, but with the battery rebate, Australians can get it offset and get it at a cheaper price to embrace the solar system.