Everything You Need to Know For 1 July

From 1 July 2025, Australians will finally have access to the long-awaited federal battery rebate, offering an upfront discount of around 30% on the installation of eligible home and business battery systems. This rebate makes battery storage significantly more affordable for homeowners, renters, business owners, and community groups. Whether you’re storing rooftop solar for use after sunset or building greater energy independence, this program could be a game changer.

And it doesn’t stop there. You can also stack this federal incentive with state incentives in New South Wales and Western Australia, boosting your savings and cutting through the payback period even faster.

What is the Cheaper Home Batteries Program?

The Cheaper Home Batteries Program is a $2.3 billion federal initiative designed to supercharge Australia’s battery uptake. It’s part of a broader national push to strengthen grid stability, reduce household power bills, and make better use of solar power already on millions of rooftops.

Under this program, eligible battery systems installed from 1 July 2025 can receive an upfront rebate of around 30% off the total cost. This is delivered through the well-established Small-scale Renewable Energy Scheme (SRES), using small-scale technology certificates (STCs), the same system that supports solar panel rebates.

The rebate applies to:

• New battery installations from 5 kWh and up to 100 kWh
• Expansions to existing battery systems, as long as they’re at least 5 kWh and the total system remains under 100 kWh
• Residential, rental, commercial, and community installations
• The rebate only applies up to the first 50 kWh of usable capacity (ie. an 80 kWh system would receive the discount for the first 50 kWh and the remaining 30 kWh would be full price)

All systems must be installed or commissioned after 1 July 2025 and comply with updated technical requirements and safety standards, which are currently being finalised.

Who is eligible for the rebate?

This rebate is inclusive and designed to reach a wide cross-section of Australians. You can apply if you:

• Own or rent a home (renters need landlord permission)
• Operate a small to medium-sized business
• Represent a community organisation
• Already have rooftop solar or plan to install it alongside the battery

Eligibility will depend on using Solar Accreditation Australia (SAA)-accredited installers and purchasing approved battery models that meet specific safety, internet connectivity, and warranty standards.

Importantly, rebates can’t be claimed on batteries installed and commissioned before 1 July, and systems must not already have received a battery-related incentive under the SRES. Systems installed before 1 July and from 6 April 2025 may be eligible if the battery has not been commissioned.

Why the federal battery rebate matters

Australia has one of the highest uptakes of rooftop solar in the world, but only a small fraction of homes and businesses store that energy. Batteries allow you to store excess solar energy generated during the day and use it at night when grid power is more expensive.

That reduces your reliance on the grid, flattens peak demand, and helps lower wholesale electricity prices for everyone. Batteries also offer blackout protection, support for virtual power plants (VPPs), and long-term energy independence.

By making batteries more affordable upfront, the federal government is hoping to fast-track mass adoption, especially in areas where solar alone isn’t delivering enough value.

Stack your savings with state rebates in WA and NSW

Western Australia: Residential Battery Scheme

WA residents will be able to combine the federal battery rebate with the state’s Residential Battery Scheme, which opens in July 2025.

Under this scheme:

• Synergy customers can access up to $1,300 ($130 per kWh)
• Horizon Power customers can access up to $3,800 ($380 per kWh)
• Households earning less than $210,000 per year may be eligible for no-interest loans up to $10,000, repayable over 10 years

To qualify, participants must join a Virtual Power Plant that helps stabilise the grid by intelligently sharing stored energy. Batteries must be installed after 1 July, and applications are not yet open, so don’t sign contracts too early.

This rebate is managed by Plenti in partnership with the WA Government. Installers must meet accreditation requirements to participate.

New South Wales: Battery Incentives through VPPs

NSW is also offering additional support for residents who connect their battery to a Virtual Power Plant (VPP). This rebate is stackable with the federal program and will launch on 1 July 2025.

Key highlights:

• Receive up to $1,500 in state incentives when your battery connects to an approved VPP
• Combined with the federal battery rebate, total discounts for a typical 11.5 kWh system can exceed $5,000
• Batteries must be 2–28 kWh, internet-connected, and meet performance requirements (including a minimum 10-year warranty and 70% end-of-life capacity)
• Only the first battery at a property qualifies
• The older Peak Demand Reduction Scheme will end mid-2025 and cannot be stacked with this new federal rebate

How different Australians benefit

For homeowners and renters

With energy prices rising and the cost of living front of mind, the federal battery rebate offers a practical way to future-proof your household. You’ll gain more control over when and how you use your electricity, and you’ll reduce your exposure to peak pricing and blackouts.

Renters can take part too, as long as landlords give the green light and the battery is installed by an accredited provider.

For businesses and community organisations

From child care centres to small manufacturing businesses, battery storage offers more stable energy costs and less reliance on the grid. The rebate applies to systems up to 100 kWh, making it ideal for offices, farms, and local councils looking to green their operations.

For solar retailers and installers

Installers have a major role to play in helping Australians access the rebate. You’ll need to be up to speed with new technical rules, lodge certificates via the REC Registry, and ensure all systems are compliant. The Clean Energy Regulator is running webinars and publishing guidance to help you get ready.

Now’s the time to upskill, train your teams, and prepare your product offerings, as demand is expected to surge post-1 July.

Key dates and what to do next

To get started:

1. Talk to a SAA-accredited installer to confirm your eligibility and battery options. Energy Matters can connect you with up to 3 local installers to get you started.
2. Ensure that installation contracts allow for the rebate if signed pre-1 July
3. Choose a battery system that meets federal and (if applicable) state program requirements
4. Consider joining a VPP to unlock extra savings and grid benefits
5. Keep an eye out for updates, especially around the final technical rules

Don’t miss this opportunity

Battery systems have always made sense, but price has been a barrier. With the federal battery rebate and generous state support on offer from 1 July, that’s no longer the case.

Whether you’re trying to slash your power bills, protect against outages, or move closer to energy independence, there’s never been a better time to invest in battery storage.

This isn’t just about saving money, it’s about building smarter, cleaner, and more self-reliant communities. So if you’ve been sitting on the fence, now’s the time to plug in, power up, and get ready for a more sustainable energy future. The federal rebate reduces on 1 January 2026, so NOW is the time to maximise your battery investment.