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How Australia's Home Battery Rebate Works: Cheaper Home Batteries Program and State Schemes
How the federal discount is calculated and where to check state programs (checked 2026-11-01).
1. Federal discount (Cheaper Home Batteries Program)
Started on 1 July 2025 and designed to cut about 30% from the upfront cost. The discount comes as small-scale technology certificates (STCs) under the Small-scale Renewable Energy Scheme, which your installer creates and takes off the price. STCs = usable capacity × STC factor, and the factor falls over time as battery costs fall.
| Installed | STC factor (per kWh) |
|---|---|
| Jan–Dec 2025 | 9.3 |
| Jan–Apr 2026 | 8.4 |
| May–Dec 2026 | 6.8 |
| Jan–Jun 2027 | 5.7 |
| Jul–Dec 2027 | 5.2 |
| Jan–Jun 2028 | 4.6 |
| Jul–Dec 2028 | 4.1 |
| Jan–Jun 2029 | 3.6 |
| Jul–Dec 2029 | 3.1 |
| Jan–Jun 2030 | 2.6 |
| Jul–Dec 2030 | 2.1 |
From 1 May 2026 the factor tapers by size: 100% up to 14 kWh, 60% from 14 to 28 kWh and 15% from 28 to 50 kWh.
2. Key conditions (confirm with your installer)
- Batteries of 5–100 kWh nominal capacity are eligible, with STCs on up to 50 kWh of usable capacity.
- The product must be on the approved list, installed by an accredited installer, and be capable of joining a virtual power plant (joining is optional). See the DCCEEW program page.
3. State and territory programs
State rebates and interest-free loans open and close often, and many websites are out of date, so always check the official page.
- NSW: NSW Government rebates, grants and schemes (battery and VPP incentives)
- VIC: Solar Victoria
- ACT: Sustainable Household Scheme (interest-free loans of $2,000–$20,000, including batteries)
- WA: the WA Government's residential battery scheme for Synergy and Horizon Power customers
4. Check your tariff
Battery value depends heavily on the gap between your usage price and your feed-in tariff. On a time-of-use tariff, high evening peak prices can make a battery worth more. Compare plans on the government's Energy Made Easy (Victorian Energy Compare in Victoria).
Primary sources: Clean Energy Regulator (STC entitlements) / DCCEEW (battery STCs) / postcode zones