Thinking about getting a battery to go with your rooftop solar? Now might be the perfect time to dive in. The federal Labor government is putting its money where the sun is, promising a hefty 30% discount on home batteries. Here's what that actually means for your wallet, your power bills, and even the planet.
Why Batteries Matter Now
Australia’s rooftop solar game is already world-class, with over 4 million homes generating their own sunshine-powered electricity. But here’s the catch—most households don’t use all that solar juice during the day. Instead, about two-thirds gets pushed back into the grid, earning homeowners bugger-all in return thanks to low feed-in tariffs.
That’s where batteries come in. A home battery stores that excess energy, so instead of sending it off for peanuts, you can use it later—like when you flick on the kettle after work and the sun’s already clocked off. It's all about time-shifting your solar power to when you actually need it.
What’s Labor Offering?
Under the proposed $2.3 billion “Cheaper Home Batteries Program”, households, small businesses, and community facilities can get a 30% discount on VPP-ready (Virtual Power Plant) battery systems. That’s a potential saving of around $4,000 on a typical 11.5 kWh battery setup.
The scheme’s set to kick off in July 2025—if Labor wins the next federal election—and will run through the existing Small-scale Renewable Energy Scheme (SRES). Only one battery per household is allowed, and the gear must be between 5kWh and 50kWh.
Will It Really Save You Money?
If you've already got solar, adding a battery could save you up to $1,100 per year. Installing a brand-new solar-and-battery combo? You might save as much as $2,300 annually—that’s about 90% of the average Aussie power bill. On top of that, you’ll be less dependent on the grid, which can be a game-changer during power outages or disasters.
Even if you can't afford a battery or live in a rental, there's still good news. More batteries on Aussie homes mean fewer spikes in electricity demand, especially in the evening when the grid usually cops it. That means cheaper wholesale prices and less pressure on infrastructure, which benefits everyone.
What If You're Not Sure?
Let’s face it, battery systems still aren’t cheap—many can cost over $10,000 before rebates. But prices are dropping fast, following the same trend solar panels did a few years ago. You can now get a 5kWh battery for under $5,000, and most homes don’t need the biggest battery on the market. Experts reckon a 6-7kWh system is sweet-spot territory for most Aussie families.
Need help crunching the numbers? Tools like the SolarQuotes Battery Calculator can give you an estimate based on your home’s actual power use.
The Bigger Picture
This isn’t just about saving on your power bill. The battery push is a key part of reducing Australia’s reliance on fossil fuels. By soaking up all that solar power we’re already generating and using it at peak times, we’re easing off coal and gas, boosting renewable energy uptake, and building resilience into the grid.
Labor's target? One million new household batteries by 2030.
Final Thoughts
Labor’s battery rebate is a bold step towards a more affordable, reliable, and greener energy future. Whether you’re a solar-savvy homeowner or someone just trying to keep the power bill down, this policy could be a win-win.
Just remember—it’s not about cutting the cord from the grid completely. It’s about giving households more control over their energy, more savings, and a bigger role in shaping Australia’s clean energy future.
The table below shows average battery costs as of Feb 2025
Battery Brand | Installed Cost in Feb 2025 |
---|---|
BYD | $12,000 |
Tesla Powerwall 2 | $15,500 |
Sungrow | $11,200 |
SolarEdge | $13,400 |
Enphase | $10,300 |
Sigenergy | $8,800 |
Article information source: Labor offers a 30 per cent battery discount and this is how it could work for your household
Article information source: Labor to pledge $2.3 billion to subsidise home batteries
Article information source: Labor Unveils $2.3bn Home Batteries Program