More Australian households are set to benefit from a summer of solar storage, following the Federal Government’s decision to extend and expand the Cheaper Home Batteries Program, lifting total funding to $7.2 billion.
The program, delivered through the Small-scale Renewable Energy Scheme (SRES), reduces the upfront cost of eligible home and small-business battery systems by around 30 per cent. It does this via Small-scale Technology Certificates (STCs), which are typically applied as a point-of-sale discount.
Commencing nationally on 1 July 2025, the scheme is designed to accelerate household battery uptake, boost energy self-consumption, lower electricity bills and support grid stability as Australia’s renewable energy share continues to grow.
Jackie Trad, Chief Executive Officer at Clean Energy Council, said the funding increase recognises the program’s rapid success among Australia’s 4.3 million households and small businesses with rooftop solar already installed.
“Today’s announcement by the Minister for Climate Change and Energy, of an increase in funding for the Cheaper Home Batteries Program to $7.2 billion, recognises the success of the program in driving substantial uptake,” she said.
“The extension of the program, from the $2.3 billion already set aside, also provides greater certainty for industry while proving that consumers are eagerly doing their part in the energy transition by installing batteries to cut their electricity costs, and better manage how they use the energy they generate from the home.”
The program applies nationally and requires batteries to be Clean Energy Council-approved products, installed by accredited installers. It typically supports battery systems in the 5-50 kilowatt-hour usable capacity range and can be installed alongside new or existing rooftop solar systems.
Trad explained that battery adoption is accelerating at record pace, reinforcing Australia’s position as a global leader in distributed energy resources.
“Australian consumers are clearly seeing the value pay off on their energy bills with over one third of Australian households who now have rooftop solar adding home batteries at record pace,” she said.
“We remain world leaders in rooftop solar adoption as Aussies continue taking advantage of programs that help them invest in their own energy resources.”
The Cheaper Home Batteries Program is also working in tandem with state-based initiatives, including Western Australia’s new Residential Battery Scheme. Together, these programs are forecast to deliver around 175,000 batteries to homes and businesses across Australia by the end of the year, helping to drive down battery costs through scale.
From 1 May 2026, changes to the rebate structure will introduce a tiered approach, designed to keep the program sustainable amid strong demand. This aims to ensure incentives better reflect the value of each battery while allowing more households to participate.
“It’s a win-win,” Trad said.
“The more Australian consumers are able to take control of powering their homes, it not only reduces evening demand on the national energy grid, but reduces reliance on expensive gas, taking pressure off the grid – and that helps bring down energy bills for everyone.”