Starting July 1, 2025, the Australian Government’s Cheaper Home Batteries Program will offer substantial rebates to households and small businesses investing in home battery systems. This initiative aims to make energy storage more accessible, reduce electricity bills, and support the transition to renewable energy.
But what types of batteries qualify for this rebate? Let’s explore the key eligibility criteria to ensure your investment aligns with the program’s requirements.
Understanding the Cheaper Home Batteries Program
The Cheaper Home Batteries Program is a $2.3 billion initiative designed to subsidise the cost of home battery installations. Eligible participants can receive up to $372 per kilowatt-hour (kWh) of usable battery capacity, translating to approximately a 30% discount on the total installation cost. For instance, a standard 10 kWh battery system could attract a rebate of up to $3,720.
Key Eligibility Criteria for Batteries
To qualify for the rebate, your battery system must meet the following requirements:
1. Capacity Between 5 kWh and 50 kWh
Only battery systems with a usable capacity between 5 kWh and 50 kWh are eligible. While larger systems can be installed, the rebate will only apply to the first 50 kWh.
2. Certified Battery Systems and Inverters
To qualify for the rebate, both the battery system and its inverter must be listed on the Clean Energy Council (CEC) approved product list. This ensures the system meets national safety and performance standards.
2. Virtual Power Plant (VPP) Capable
The battery must be VPP-ready, meaning it can connect to a Virtual Power Plant network. Participation in a VPP is optional, but the capability is mandatory.
3. Integration with Solar Systems
Your battery must be connected to a new or existing rooftop solar system. Standalone battery systems without solar integration are not eligible.
4. Installation by Accredited Professionals
The battery system must be installed by an installer accredited for battery installations by Solar Accreditation Australia (SAA) to ensure compliance with industry standards and safety regulations.
5. Commissioning Date
To be eligible for the rebate, your battery system must be commissioned (switched on) on or after 1 July 2025. This means even if your system is installed earlier, it won’t qualify unless it becomes operational after that date.
6. Grid Connection (On-grid or Off-grid)
Both on-grid and off-grid systems may be eligible. However:
- Grid-connected systems are more commonly targeted for rebates.
- Off-grid systems can qualify, but they must still meet the other technical and installation requirements.
Maximising Your Rebate: Tips and Considerations
- Plan Ahead: Schedule your installation early to avoid potential delays and ensure commissioning aligns with the rebate’s start date.
- Combine with State Rebates: Some states offer additional incentives that can be combined with the federal rebate for greater savings.
- Assess Your Energy Needs: To maximise efficiency and cost-effectiveness, choose a battery capacity that matches your household’s energy consumption.
Redx Batteries
At Redx, we’re proud to offer a range of eligible battery systems that meet all the requirements of the Cheaper Home Batteries Program. Our flagship model, the RX-7000Plus, along with the RX-5000AC and RX-5000/7000HY, all meet the program’s criteria — including usable capacity, VPP-readiness, and compatibility with rooftop solar systems. Every Redx battery is installed by CEC-accredited professionals and designed for both on-grid and off-grid applications. If you’re planning to take advantage of the rebate, Redx has you covered with high-performance, future-ready energy storage.
Frequently Asked Questions (FAQ)
Q1: Can I install a battery now and still qualify for the rebate?
A: Yes, as long as the battery is installed after April 6, 2025, and commissioned on or after July 1, 2025.
Q2: Is the rebate available for off-grid systems?
A: The program primarily targets grid-connected systems. However, off-grid systems may be eligible if they meet all other criteria.
Q3: Can I claim the rebate for multiple properties?
A: Yes, property owners can claim the rebate for each eligible property they own, but only one rebate per property is allowed.
Q4: Do I need to participate in a VPP to qualify?
A: No, participation is optional, but the battery must be VPP-capable.
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