The Cheaper Home Batteries Program will be introduced by 1 July 2025. This $2.3 billion scheme will subsidise small-scale batteries installed alongside rooftop solar.
The program will be delivered through the small-scale renewable energy scheme (SRES) and be overseen by the Clean Energy Regulator (CER).
When does the scheme come into effect?
The Cheaper Homes Battery Program will come into effect on or before July 1, 2025, according to Energy Minister Chris Bowen, Australian Labour Party.
Batteries installed from 6 April 2025 are still eligible but won’t be able to apply for the rebate until July 1.
Rebate Amount
The exact rebate amount is yet to be finalised, but it will be approximately $372 per usable kilowatt-hour of capacity, before admin fees and charges.
This will cover approximately 30% of the cost of installing a home battery system, with the average Australian home saving around $4,000 on the cost of installation of an 11.5kWh battery.
As with all SRES programs, the subsidy will decrease over time. The exact yearly decrease for batteries is uncertain at present.
Eligibility
Battery Requirements
Eligible batteries shall be approved by the Clean Energy Regulator and listed on the Approved Products List. The current proposed battery requirements are:
- Shall have a usable capacity between 5kWh to 50kWh, though systems up to 100kWh can be installed.
- Batteries shall be VPP-capable, but participation in a VPP is not required.
You will be able to apply to have your battery on the Clean Energy Regulator List once the program is launched.
System Requirements
The battery shall be integrated with either a newly installed or pre-existing solar photovoltaic (PV) system.
Installation Requirements
Installations shall be conducted by licensed electricians who have undergone certified battery installation training.
Property Requirements
- The system shall be installed at a residential home, small business, or community facility.
- Only one battery system per premises is eligible for the rebate. Owners of multiple properties may install one rebate per premises. Owners of existing battery systems may install an additional system and still be eligible.
Can this incentive be combined with other state schemes?
Yes – this subsidy can be combined with state battery incentives, such as the NSW Battery Booster incentive under the NSW under the Peak Demand Reduction Scheme.
The Western Australian government will also launch the WA Residential Battery Scheme on 1 July 2025.
How EnergyAE Can Help
Get in touch with EnergyAE if you would like more information about battery rebates.
EnergyAE can assist in with rebate calculations, and registering your battery to the approved battery lists for all Australian incentive schemes (Federal, NSW and WA).
