Home Battery Boom Smashes 2025 Forecasts: See The Numbers

Home battery installations - 2025

Installations in 2025 under the Albanese Government’s Cheaper Home Batteries Program (CHBP) surpassed even some previous optimistic estimates.

How Many Batteries Have Been Installed So Far Under CHBP?

According to Federal Minister for Climate Change and Energy Chris Bowen:

“From 1 July to 31 December Australians have installed 184,672 home batteries under the Albanese Government’s Cheaper Home Battery policy,” he posted on Facebook. “This has added 4.27 gigawatt hours of storage capacity.”

Graph charting home battery installation growth in Australia - July to December 2025

Previously, some forecasts pegged the total installed/commissioned since July 2025 to the end of the year would hit 175,000; representing around 3.9 GWh of useable capacity.

Big Installation Numbers, Big Capacities

It’s not just the install numbers that are eye-popping, but the useable capacity of battery systems installed is growing. In 2024, the average home battery’s usable capacity was 10 – 12 kWh.

Based on Bowen’s figures:

4.27 GWh (4,270,000 kilowatt-hours) divided by 184,672 = average 23.12 kWh useable capacity per system in the second half of 2025.

For SolarQuotes founder Finn Peacock’s thoughts on the CHBP big battery trend, see his recent column: Supersize Me: The Rise Of The McBattery.

2026: Battery Rebate Ch..Ch.. Changes

The success of the CHBP has been such that the original funding earmarked for it ($2.3bn) could have run out by June next year — well before the intended end in 2030. It’s not just the number of installations, but the bigger batteries have really been draining the funding as the rebate is based on useable capacity (up to 50 kWh).

The Albanese Government has reacted by taking steps to rein some aspects in while increasing availability.

Battery Budget Boost

The originally announced $2.3bn budget has been beefed up to $7.2bn over the next four years; expected to deliver an additional 40 gigawatt-hours of storage capacity. This is a huge amount that will not only help finance more batteries for more households, but also amplify the benefits for the mains grid — which benefits everyone.

Reining In The Rebate

For home batteries installed from the start of May, 2026 there will be tightened subsidy requirements. While the first 50kWh of an approved energy storage system up to 100 kWh will still be eligible for the subsidy, it will reduce significantly for larger systems under a new tier structure.

Additionally, it was already baked in that reductions to the rebate would happen over time, and those could change depending how the program was tracking. The reductions will be greater from May 1, 2026 and occur more often — every 6 months instead of annually.

We recently published an article that contains a table with examples of rebate reductions for various battery systems; but you can also get an estimate using our super-quick and simple federal battery rebate calculator.

Jumping On The Battery Bandwagon In 2026

After a well-deserved break, installers will be back on the tools soon. 2026 is going to be quite a year for them.

If you’re thinking of joining Australia’s residential energy storage revolution in 2026 and want to get the best solution for your circumstances, check out the SolarQuotes home battery guide.

And if you’re nearing a purchase decision to go ahead with an installation, you can get up to 3 quotes from installers we know and trust; with the added reassurance of their work being backed by the unique SolarQuotes Good Installer Guarantee.

Battery Installation Forecast For 2026: Place Your Bets

Anyone keen to take a stab at estimating how many battery systems will be installed under the Cheaper Home Batteries Program in 2026, and/or perhaps the useable capacity average over the next year?

Leave your guesses below and we can return to this post in early 2027 to see who was closest. I guess there should be a cut-off date for this exercise — so let’s say next 5pm next Friday, January 9.

The winner gets an intimate evening with Ronald. Two evenings if you’re closest on both numbers and capacity. But I guess that I should clear that prize idea with Ronald first.

He can cook and sing you know.

Ronald.

About Michael Bloch

Michael caught the solar power bug after purchasing components to cobble together a small off-grid PV system in 2008. He's been reporting on Australian and international solar energy news ever since.

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