Technicians installing home solar battery

Labor’s home solar battery rebate explained

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As part of its 2025 federal election campaign, the Labor party announced the Cheaper Home Batteries program, a policy focused on getting more solar batteries into homes.

The program is a $2.3 billion fund that would cover 30% of the purchase and installation of home batteries.

This article explains how the program would work, how much you could actually save, and what to do next if you’re keen to install solar.

How would the solar battery program work?

The program would start on July 1, 2025 and would form part of an already existing scheme that supports solar panel and battery installation, called the Small-scale Renewable Energy Scheme (SRES). The SRES provides subsidies and incentives to households installing renewable energy systems.

The Cheaper Home Batteries Program is slightly different, in that it would also provide subsidies to community facilities and small businesses.

Solar batteries installed from now until July 1 would also be eligible for the rebate, but they cannot be switched on until after July 1.

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How much could you save on your solar battery?

The rebate will work by applying a rebate of $372 per one kilowatt-hour (kWh) of usable capacity (before admin fees and charges).

So for example, a home battery with 10kWh of capacity would have a total rebate of $3,720 (excluding admin fees and charges).

← Mobile/tablet users, scroll sideways to view full table → 

Potential savings on home solar batteries
Battery system Battery size Average cost (incl. installation) Estimated rebate
Enphase 5 kWh $10,300 $1,860
Sigenergy 8 kWh $8,800 $2,976
SolarEdge 9.7 kWh $13,400 $3,608
Sungrow 12.8 kWh $11,200 $4,762
Tesla Powerwall 2 13.5 kWh $15,500 $5,022

 


Read more: The election policies that could impact your energy bill


Which solar batteries will be eligible?

All systems and their installers will need to be approved by the Clean Energy Council. The minimum amount the program will cover is 5kWh, while the maximum will be 50kWh (although you would be able to install systems up to 100kWh).

The solar batteries must also be capable of connecting to a Virtual Power Plant (VPP) – although participation in a VPP is not required.

What should you do if you’re interested in getting a solar battery?

While the scheme is reliant on Labor winning the election, and would still only take effect on July 1, it’s still worth getting quotes for your solar system installation now.

According to the experts at SolarQuotes, there’s already a lot of demand for a federal government battery rebate. This means it could get even busier after July if Labor wins the election.

This runs the risk of lower quality installers hoping to get in on the demand – so it will definitely pay to have a clear understanding of solar and battery options that best suit your needs and budget.

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Eden Radford
Campaign and Communications Lead
Eden Radford brings more than a decade of experience in consumer goods and financial services, with a career spanning a number of countries and disciplines, including leading communications for large-scale consumer and tech brands. Eden’s role at Canstar Blue includes leading all communication activities for the brand, working closely with different teams to share the news and insights that will better help everyday Aussies. Eden’s passion for empowering Australians to make better-informed decisions drives her work at Canstar Blue. Her efforts are grounded in data analysis and consumer insights, always seeking to understand trends and share them broadly. A voracious consumer of news across all mediums, when Eden’s not ideating, writing, or pitching the latest data insight, she can be found being interviewed on national news outlets such as Nine News, 2GB or Sunrise, breaking down what the latest developments mean for everyday Aussies.

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