What Solar Battery Rebates are Available Under the Cheaper Home Batteries Program?

As of the 1st of July 2025, Australians will be able to access significant new solar rebates for home solar battery installations under the Cheaper Home Batteries Program. This new initiative from the Federal Government has been developed to make solar battery solutions more accessible for homes and businesses across Australia. 

With a 0.5% to 9.7% increase in energy rates for homeowners and a 0.8% to 8.5% for small businesses (with increase rates depending on usage and location) also approved by the Australian Energy Regulator (AER) as of July 1st, the launch of the Cheaper Home Batteries Program provides Australian property owners with the opportunity to enjoy greater cost benefits when making the switch to solar in FY25/26.

With rebates under the Cheaper Home Batteries Program set to cover up to 30% of the cost of your battery installations, the program aims to be a final push for those looking to invest in complete solar solutions for their home and property.

But there are some limitations to the initiative. Only selected solar battery products will be eligible for rebates, and the rebate amount gradually reduces (in line with reducing battery prices) as the scheme goes on.

As a leading provider and installer of solar equipment, Solargain is here to break down the scheme and help you understand what rebates are available for solar batteries under the Cheaper Home Batteries Program.

Here’s what you need to know about this nationwide program and how you can make sure you can claim it. 

What rebates are available for solar batteries?

If you’re installing small-scale batteries under 100kWh, you can receive a rebate of up to 30% of the cost of battery installation as of the 1st of July 2025. This rebate is under the Cheaper Home Batteries Program, and while there are other government incentives for solar power systems, this initiative acts as a direct refund into your pocket.

So, for example, let's say you’re quoted $12,000 to have a solar battery installed in your home. Assuming your installer works safely and compliantly, you could receive a rebate of $3,600 (30%), which is paid directly back to you. The rebate will be automatically applied through accredited solar and battery retailers or installers, meaning no extra paperwork for most consumers.

In 2025, the maximum available subsidy is around $372 per usable kWh of battery storage, and the amount is set to gradually decrease each year until 2030, when the scheme ends, so it’s best to get in early.

How much can the Cheaper Home Batteries Program save you?

The primary setback for people wanting to make the switch to solar is the upfront cost, but the rebates under the Cheaper Home Batteries Program can significantly reduce this demand, covering nearly a third of your out-of-pocket costs. 

Let’s take a quick look at just how much you could save. The table below is estimated at a rate of $372 installation costs per kWh.

As mentioned, batteries up to 100 kWh are eligible; however, only a usable capacity of up to 50 kWh is available for the rebate. 

However, the Cheaper Home Batteries Program is also set to save you on more than just the cost of your solar battery solutions alone. With the AER energy price hikes also rolling out as of July 1st, early application for a rebate under the Cheaper Home Batteries Program can also help curb the economic impact of climbing energy rates on your household and property.

Eligibility requirements for the Cheaper Home Batteries Program

To be eligible to receive a solar battery rebate under the Cheaper Home Batteries Program, there are some other eligibility criteria to meet, including:

• Be a household, business or community organisation with new or existing rooftop solar PV systems
• The solar battery must be connected to a compliant solar PV system
• The solar battery must be under 100kWh, legally and safely installed, and intended for permanent use
• The solar panels and battery systems must meet relevant safety and product standards
• Installation must be carried out by Clean Energy Council (CEC) accredited professionals
• The solar battery must be registered for use in Virtual Power Plants (VPPs) if required

While some of the eligibility requirements are worded vaguely, like ‘safely installed’ and ‘relevant standards’, using an expert partner for your solar installations will ensure your systems are installed to the highest standards and within the eligibility requirements. 

Beating AER price hikes: how the Cheaper Home Batteries Program can kill bill shock

Australia is already a global leader in rooftop solar PV adoption, with over 4 million households generating their own electricity. But did you know that fewer than 3% of these households have invested in solar battery storage? This is largely due to high upfront costs, which remain a barrier to adoption.

With the AER’s energy rate hikes for the new financial year, however, the Cheaper Home Batteries Program comes at an optimal time for households and business owners looking to reduce their reliance on their local energy grid and curb risks of bill shock.

Batteries help store solar power generated to be used during off peak hours – reducing reliance on the grid, supporting energy independence and helping to stabilise the broader energy system during peak demand. Not to mention, saving money on energy costs for households in the long run.

By reducing the purchase cost of batteries, the Cheaper Home Batteries Program aims to:

• Make solar energy more affordable and accessible, reducing household carbon emissions
• Help households lower their electricity bills over the long term
• Supports billpayers in keeping costs low across estimated energy price hikes from the AER
• Support more stable, cleaner energy grids nationwide

Messaging from the Federal Government to introduce and promote the Cheaper Home Batteries Program also includes a commitment to minimising environmental impact – batteries added to existing solar systems won’t require full replacement of panels or inverters if those components meet current standards.

Is this program the same as the Small-scale Renewable Energy Scheme?

Not exactly. The Small-scale Renewable Energy Scheme (SRES) was developed to offer rebates for rooftop solar panel installations. Think of the Cheaper Home Batteries Program as its battery counterpart. The latter will operate under an expanded version of the SRES, which has long provided support for rooftop solar installations.

This expansion brings batteries into a trusted and regulated framework that includes:

• Accreditation of installers
• Product approval through the Clean Energy Council (CEC)
• Inspection and compliance mechanisms
• Standardised consumer protections

Additional solar incentives by state or territory

There are already some fantastic incentives to install and use solar in your homes, with schemes that vary from one state or territory to another. Don’t worry, if you’re claiming other incentives, you won’t be excluded from this federal program if you also participate in state or territory incentive schemes. However, it is important to check the terms of each program to ensure you remain eligible.

ACT 

Sustainable Household Scheme

The Australian Capital Territory (ACT) has no battery rebate program, so ACT and Canberra residents will be happy to know the Cheaper Home Batteries Program begins this year. However, the territory does offer zero-interest loans through the Sustainable Household Scheme to help pay for energy-efficient upgrades. Under this scheme, you can claim loans of up to $15,000 for energy-efficient upgrades, including rooftop solar panels and household battery storage systems in Canberra and the ACT.

NSW

Peak Demand Reduction Scheme (PDRS)

From November 1, 2024, NSW was offering incentives ranging from $1,600 to $2,400 off the installation cost of a household battery for homes and businesses with existing solar systems in Sydney and NSW. However, this scheme is now being replaced with the Cheap Home Batteries Program.

NT

Home and Business Battery Scheme

The NT’s battery scheme provides a grant of $400 per kilowatt-hour, up to a maximum of $12,000, for eligible battery systems. The grant has now fully allocated its budget, and the Cheaper Home Batteries Program will take its place for NT residents and business owners.

QLD

Currently, Queensland has no rebates as the Queensland Battery Booster program closed on May 8, 2024. Speak to a solar power specialist in Brisbane to see your options, including utilising the new federal Cheaper Home Batteries Program.

SA

South Australia Battery Rebates

The South Australian government is not currently offering a battery rebate since the Home Battery Scheme is closed, and new applications are not being accepted. For solar installations in Adelaide and SA, the national Cheaper Home Batteries Program will be available from the 1st of July 2025 to make solar battery installation more affordable. 

TAS

Energy Saver Loan Scheme

Tasmanian residents can access interest-free loans of up to $10,000 to help with a range of energy-efficient investments, including home solar battery storage. The loans, under the Energy Saver Loan scheme, require fortnightly or monthly repayments over a one to three-year term. You can also claim the new Cheaper Home Batteries Program for a rebate to make the loan smaller.

VIC

Solar Battery Loan

Like Tasmania, Victoria provides interest-free loans for solar battery installations. Eligible households can access loans to cover the cost of a solar battery system, making energy storage and solar installation in Melbourne more affordable. Homeowners can apply for an interest-free loan of up to $8,800 while also claiming the new federal rebate for solar battery installations. 

WA

WA Battery Rebate Overview (Starting July 2025)

Also on the 1st of July 2025, WA is launching a substantial Residential Battery Scheme. The scheme will offer up to 100,000 rebates to support households in adopting battery storage systems. The rebate applies to batteries with up to 10 kWh usable capacity and can be combined with the Federal rebate for even greater savings. However, there are eligibility requirements – working with a solar power specialist in Perth or WA can help you understand the schemes and optimise your savings.

How to access the Cheaper Home Batteries Program

Like the SRES, Australian homeowners and property owners can access the Cheaper Home Batteries Program by partnering with a CEC-approved and SAA (Solar Accreditation Australia)-accredited installer. The discount is applied as a line-item reduction on your quote by the installer, and your installer will submit your application for Small-scale Technology Certificates (STCs) on your behalf.

Here’s a step-by-step guide to accessing the Cheaper Home Batteries Program with your solar installer:

1. Check your eligibility requirements
2. Obtain a quote from your solar installer
3. Schedule your solar battery installation
4. Apply for your STCs (completed by your solar installer)
5. Ensure your installation is compliant with Australian standards
6. Finalise your solar battery rebate with your installer
7. Consider integrating your battery into a Virtual Power Plant (VPP)

Secure your solar battery rebate under the Cheaper Home Batteries Program with support from Solargain

The Cheaper Home Batteries Program represents a major step forward for Australian energy resilience and sustainability, aimed at improving our already impressive stats of integrating solar power into our lives. In the beginning stages of the program’s launch in July 2025, the government will:

• Finalise regulations to expand the SRES
• Support training and accreditation for installers
• Provide guidance to retailers, consumers and regulators

Cutting the cost of battery storage makes solar energy more accessible, empowers households to take control of their power usage, and supports the nation’s transition to a cleaner, smarter energy system.

The scheme benefits users who engage early, with the rebate amounts gradually reducing until 2030. So, now is the time to start planning. 

Are you new to solar and still have some questions about the Cheaper Home Batteries Program? Talk to an accredited installer at Solargain today to learn how you can take advantage of this rebate in FY 25-26 and onwards.