Last reviewed: October 2026. The Cheaper Home Batteries Program is the Australian Government’s national battery-support scheme. It started on 1 July 2025 and is delivered through the Small-scale Renewable Energy Scheme.
The program is available across Australian states and territories for eligible installations and is intended to reduce the upfront cost of batteries connected to rooftop solar.
How the discount works
Instead of paying a fixed cash amount directly to every household, the program creates small-scale technology certificates (STCs) for eligible battery capacity. In normal retail arrangements, the retailer or installer assigns a value to those STCs and applies the benefit to the customer’s price.
This is why two quotes for the same nominal battery can show different dollar discounts. The STC entitlement is only one part of the final price.
The 2026 battery-size tiers
From 1 May 2026, support is tapered by usable battery capacity:
- 0–14 kWh: 100% of the applicable STC factor.
- Above 14–28 kWh: 60% of the factor for that capacity band.
- Above 28–50 kWh: 15% of the factor for that capacity band.
This encourages consumers to size batteries around actual energy needs instead of choosing oversized storage purely to maximise certificates.
Use the SunnyWatly federal battery STC estimator →
Who can use the program?
Government guidance says households, businesses and community organisations may be eligible. Supported batteries must meet program requirements and be connected to a new or existing solar PV system. Product approval and accredited installation requirements also apply.
Does the program make every battery financially worthwhile?
No. The rebate lowers upfront cost, but the financial result still depends on how much energy you can shift from low-value solar exports into higher-value self-consumption, your electricity tariff, battery losses, cycling, purchase price and warranty life.
The Australian Government itself notes that for some homes the savings from a battery may not repay the purchase cost within the warranted lifetime. Use the SunnyWatly Battery Payback Calculator as a first-pass estimate rather than assuming the rebate guarantees a positive return.
Why household usage matters
A battery is most useful when you have enough surplus solar to charge it and enough evening or peak-period consumption to discharge it. A household that exports large amounts during the day and imports heavily after sunset may have a stronger use case than a home that already consumes most solar directly.
Start with the Battery Size Calculator before comparing products.
Questions to ask an installer
- What usable capacity is being used for the STC calculation?
- How many STCs are included in the quote?
- What STC value has been assumed?
- Is the quoted total before or after the discount?
- What changes if installation is delayed into a later STC period?
- Can the system provide backup during an outage, and what circuits are backed up?
- Is the inverter/battery combination approved for the program?
Official sources
Check the latest rules on the Australian Government program page and the Clean Energy Regulator.