The Cheaper Home Batteries Program, launched in July 2025, is one of the most ambitious energy policies Australia has introduced since the early rooftop solar rebate schemes. Designed to make battery storage more affordable and accessible, the program is a cornerstone of the federal government’s plan to help households cut electricity bills and reduce carbon emissions. For residential buyers, understanding how the scheme is structured—and how it will change over time—is essential for making the most of it.
How the Program Works
At its core, the program provides a 30% rebate on the upfront cost of approved home battery systems. Unlike older schemes that required lengthy paperwork and delayed payments, the process is simple. The rebate is delivered through the existing Small-scale Renewable Energy Scheme (SRES), which many Australians already know from solar panel subsidies. This means:
- Homeowners choose an accredited installer and an eligible battery system.
- The installer applies the rebate directly at the point of sale.
- The household sees the savings immediately in their invoice.
This design minimises red tape and maximises accessibility, which is one reason installations have skyrocketed since the program began.
Who Is Eligible?
The rebate is open to a wide range of Australians. Eligible groups include:
- Households: Any residential property can install a battery system through the program, whether or not they already have solar panels.
- Small businesses: The scheme extends to small enterprises looking to reduce operating costs with renewable energy.
- Community facilities: Organisations such as schools, clubs, and community centres can also participate.
Importantly, the program encourages the installation of VPP-ready (Virtual Power Plant compatible) batteries. This ensures the systems can integrate into the wider grid for greater benefits.
Phasing Out the Rebate by 2030
While the 30% rebate is generous, it won’t last forever. The Cheaper Home Batteries Program has been designed with a gradual phase-out schedule, running until 2030. Each year, the percentage rebate will decrease slightly, reflecting the expectation that battery costs will continue to fall as technology improves and adoption increases. This sliding scale encourages early adoption, with the biggest financial benefits available in the first few years of the scheme. By 2030, the subsidy will end completely.
Why a Phase-Out Makes Sense
Some homeowners might wonder why the program doesn’t last indefinitely. The phase-out design is based on the success of previous renewable energy programs. When rooftop solar rebates were first introduced, panels were expensive and out of reach for many Australians. Government support made them affordable, sparking mass adoption. Over time, as costs fell and economies of scale kicked in, the subsidies were wound back. The same pattern is expected for batteries. By the time this program ends in 2030, experts believe battery systems will be affordable without government support.
Policy Goals Beyond Cost Savings
While the immediate goal of the program is to reduce upfront costs for households, the policy has broader objectives:
- Cutting emissions: By making battery storage mainstream, the program helps replace fossil fuel generation with renewable energy.
- Improving energy security: Widespread adoption of batteries reduces reliance on the grid during peak demand, making the system more resilient.
- Supporting electrification: As more Australians switch to electric vehicles and electric heating, household energy demand will rise. Batteries help meet this demand sustainably.
- Creating jobs and innovation: By boosting demand for battery systems, the policy supports local installers, manufacturers, and technology providers.
Support from Industry and Communities
The program has won broad support across industry and community groups. The Clean Energy Council has hailed it as a breakthrough that will “supercharge” the transition to renewable energy. The Property Council of Australia has also backed the initiative, noting its potential to lower household costs and support electrification in homes and businesses. This widespread support reflects how the program balances environmental benefits with cost-of-living relief.
What Happens After 2030?
By the time the program ends, household batteries are expected to be far cheaper thanks to economies of scale, local manufacturing, and technological improvements. This is similar to what happened with solar panels, which dropped in price by over 80% after initial subsidies. In addition, new business models such as Virtual Power Plants and energy trading are likely to give homeowners ongoing financial incentives to invest in storage, even without rebates.
FAQs
How long will the 30% rebate last?
The full 30% rebate is available now but will gradually reduce each year until it ends in 2030. Households that install earlier will secure the largest savings.
Who can apply for the program?
Households, small businesses, and community organisations are eligible. You must use an accredited installer and an approved battery system.
Is the rebate applied automatically?
Yes. The rebate is processed through the Small-scale Renewable Energy Scheme (SRES) and is applied directly by the installer at the point of sale.
Why does the program phase out?
The rebate phases out to reflect falling battery costs. The design ensures strong early adoption while avoiding long-term dependency on subsidies, similar to the solar rebate program.
What happens when the rebate ends in 2030?
By then, battery prices are expected to have dropped significantly, and alternative incentives such as Virtual Power Plant programs will continue to make storage attractive.
Why Homeowners Should Act Now
The Cheaper Home Batteries Program is one of the most generous rebates Australians will ever see for energy storage. With its simple design, wide eligibility, and clear phase-out schedule, it offers households a unique window of opportunity to cut upfront costs, reduce power bills, and future-proof their energy needs. Waiting too long could mean missing out on thousands of dollars in savings as the subsidy winds back year by year.
👉 Now is the time to act. Install a battery with your solar system, claim your rebate, and secure the biggest possible savings before the program phases out. Talk to an accredited installer today and take charge of your energy future.
