The Federal Government Battery Rebate: A Complete Guide

Last Updated: 30th Apr 2026

The Cheaper Home Batteries Program, commonly known as the federal battery rebate, provides an up-front discount on the purchase and installation of home batteries. It lowers the cost of a modest-sized home battery by roughly 25%.

The incentive is an expansion of the Small-scale Renewable Energy Scheme (SRES), which already provides the framework for the long-running national solar panel rebate. In addition to homes, the subsidy is also available to small businesses and community facilities. The scheme is uncapped, which means there’s no limit on the number of subsidies available. The incentive is not means tested. 

Minister for Climate Change and Energy of Australia Chris Bowen announces Labor's proposed Cheaper Home Batteries Program
Minister for Climate Change and Energy, Chris Bowen, promoting Labor’s Cheaper Home Batteries Program.

How Much Is The Solar Battery Rebate Worth?

The rebate applies to the first 50kWh of usable battery capacity, but it can be received by batteries of up to 100kWh.

  • The first 1-14kWh gets $244 per kWh
  • From 14-28kWh gets $146 per kWh
  • From 28-50kWh gets $37 per kWh

So the amount of battery rebate received by the following usable capacities is:

  • A 10kWh battery gets $2,440 rebate
  • A 20kWh battery gets $4,438 rebate
  • A 30kWh battery gets $6,463 rebate
  • A 40kWh battery gets $6,834 rebate
  • A 50-100kWh battery gets $7,204 rebate

When put into a graph, it looks like this:

This shows the rebate dropping considerably after 14kWh and dramatically after 28kWh. But a suitable battery size for many homes is around 16kWh, so the drop in in rebate per kWh after the first 14kWh won’t be a significant problem for most households.

Your installer may offer the full rebate amount, or they may deduct a percentage to cover administration costs. But whether you’re offered the full rebate or not, the important factor is the total amount you have to pay and not the details of the rebate portion.

If you want to estimate how much you could save, try our Federal Government Solar Battery Rebate Calculator.  The federal battery rebate can be combined with the WA state battery rebate.

Which Batteries Are Eligible For The Rebate?

Batteries need to meet some requirements:

  • Batteries must be listed on the Clean Energy Council-approved product list (the same goes for new inverters. If you’re using an existing inverter it does not have to be on the approved list, but you do have to ensure it is not included in the product recall list);
  • A solar battery system with a nominal (total) capacity of 5 kWh to 100 kWh will be eligible, but only the first 50 kWh of usable capacity is discounted;
  • Existing batteries can be expanded, provided that the battery system has not already received the rebate, the additional capacity is at least 5 kWh, and the upgraded battery does not exceed 100 kWh in nominal capacity;
  • Only one battery system is eligible for a property, and the rebate can only be claimed once per property. Only someone with several properties or who moves on to a new residence could potentially install or upgrade multiple batteries under the scheme;
  • Batteries can be off-grid or connected to the grid, but in the case of the latter, they must also be Virtual Power Plant (VPP) capable (this doesn’t mean battery owners must actually join a VPP);
  • Installers are required to be accredited for battery installation by Solar Accreditation Australia (check your preferred installer’s status here).
The federal battery rebate lowers the cost of a 12.8kWh battery, like this Sungrow SBR HV with 4 battery modules, by over $4,000 until May 1, 2026, and over $3,000 for the rest of 2026. Image Credit: Sunlogics

How Do You Claim The Battery Rebate?

Homeowners don’t actually need to do anything to claim the rebate – installers will apply for it and deduct the value from the total system price.

For installers, applications to create small-scale technology certificates (STC) for solar batteries are now available in the Renewable Energy Certificates Registry.

Does The Rebate Mean Batteries Are Worth It For Me?

The federal battery rebate means batteries are now a prudent economic choice for a much larger share of Australians. But a lot depends on your personal energy consumption (the higher your electricity use, the more likely a battery will pay off), what energy plan you are on, and where in the country you live. Read our explainers on battery costs and battery payback for more detail.

Even better, try our solar & battery calculator or our battery calculator to get a personalised insight into whether a battery is right for you, and if so, what size you need. The rebate can only be claimed at a property once, so make sure you get it right.

Your Next Steps

A lot of pent-up demand exists for a federal government battery rebate in Australia. This is why (good) installers are very thin on the ground for battery installs. And sadly, we’re already seeing some shonky advertising misrepresenting the Cheaper Home Batteries Program, confusing and misleading people.

It usually takes a few weeks between accepting a quote and having a battery installed. If you want a subsidised battery, get started by learning everything you need to know about home batteries. You can also do the following to get ahead of the pack:

If you want a good-quality home battery and professional installation at a reasonable price, we — of course — recommend getting quotes via SolarQuotes. We only allow verified installers into the SolarQuotes network who we know do quality work and who we would trust to install systems on our own homes. Another benefit of arranging a solar/battery installation through SolarQuotes is the peace of mind our unique Good Installer Guarantee offers.

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