Everything You Need To Know About The Solar Battery Rebate
Exciting news for Australian homeowners and businesses: the solar battery rebate is officially live!
Following Labor’s win in the 2025 federal election, the much-anticipated $2.3 billion battery rebate program is now open. If you’ve been thinking about installing a battery, there has never been a better time to act.
At GI Energy, we’ve been helping Australians cut their power bills with smart solar and battery systems since 2011. In this article, we’ll walk you through exactly how the new solar battery rebate works, what you could save.
What Is the 2025 Solar Battery Rebate?
The new solar battery rebate offers homeowners and small businesses between approximately $350 per kilowatt-hour (kWh) of installed battery capacity. Eligible systems must be between 5kWh and 50kWh (with a maximum of 100kWhs installed).
Unlike previous incentives, this rebate is not means-tested—it’s available to anyone installing an eligible system. You can also claim it on multiple properties if you own more than one home or business.
Key points about the rebate:
- Fixed dollar amount per kWh, not a percentage
- One claim per property (so choose your battery size carefully)
- Rebate value reduces at the end of each year through 2030
- Batteries must be Virtual Power Plant (VPP) ready
How Much Could You Save With the Solar Battery Rebate?
Here’s what the solar battery rebate could mean for your wallet:
And remember—the rebate amount will decrease every year, so the biggest benefit comes from acting in 2025.
Solar Battery Rebate FAQs
When can the batteries be installed?
You can install your battery right now. The rebate officially started on July 1st 2025.
What if I already have a battery installed?
You can expand your existing battery system and still claim the rebate. However, each household can only claim the rebate once, so it’s crucial to size your full battery needs at the time of expansion.
How much is the rebate per kWh?
The rebate is linked to Small-scale Technology Certificates (STCs) and is currently valued at around 9.3 STCs per kWh, which translates to a rebate between $350 per kWh. For example, installing a 50kWh battery could deliver a rebate of around $17,500. The rebate value will decrease slightly each year from 2026 onwards.
How does the solar battery rebate scheme work?
The Federal Government funds the scheme by purchasing battery-eligible STCs, helping to stabilise battery prices nationwide. To qualify:
- Your battery must be connected to a solar system.
- If grid-connected, it must be Virtual Power Plant (VPP) compatible.
How do I know if I’m eligible?
Good news—all Australian households with solar are eligible.
- No income testing
- No cap on the number of systems nationally
- Rebates apply to batteries sized between 5kWh and 50kWh (with a maximum of 100kWhs installed)
- Each household or business can claim once per property
Is the rebate income-tested?
No. There is no income means testing. The solar battery rebate is available to all eligible Australians, regardless of earnings.
Can businesses benefit from the rebate too?
Yes! Businesses can install battery systems and claim the solar battery rebate.
Are there specific battery requirements?
Yes.
- Batteries must be paired with a solar PV system.
- Grid-connected batteries must be VPP-enabled.
- Off-grid systems do not require VPP compliance.
- The rebate is based on usable capacity (not nominal capacity).
If I’m in NSW, can I claim both the NSW and Federal rebates?
Yes! You can claim both the NSW battery rebate and the new Federal solar battery rebate, provided you meet the eligibility criteria for each. GI Energy can guide you through claiming both.
Can I claim the rebate with an Off-Grid Solar Dispatch system?
Absolutely. Our certified Off-Grid Solar Dispatch systems are fully eligible for the solar battery rebate. If you’re installing off-grid, we’ll ensure your system meets all solar and battery qualification standards.
Is the industry regulated?
Yes, strictly. Installations are governed by:
- The Clean Energy Regulator (CER)
- The Australian Competition and Consumer Commission (ACCC)
- Your state energy regulators
- Electrical Safety Office
- This ensures every installation meets high safety, quality, and ethical standards.
Is the rebate available for off-grid installations?
Yes! Off-grid solar and battery systems are eligible for the rebate. Importantly, off-grid batteries do not need to be VPP-enabled, making it easier for remote properties to participate.
Why You Need to Act Fast
History tells us that when government rebates launch, the market gets flooded:
- Installers get booked out for months
- Battery manufacturers struggle with stock shortages
- Installation prices rise due to increased demand
We’re already seeing early signs of this happening. If you wait, you could face frustrating delays and higher prices.
By installing your solar and battery system now, you’ll:
- Lock in today’s battery prices before demand drives costs up
- Start saving on your electricity bills immediately
- Ensure you secure your spot before installer waitlists blow out
At GI Energy, we recommend booking your consultation now to design and install a system that’s ready to claim the solar battery rebate while stocks last.
What About Virtual Power Plants (VPPs)?
To qualify for the solar battery rebate, your battery must be VPP-ready if it is connected to the electricity grid. But what exactly is a Virtual Power Plant (VPP)?
A Virtual Power Plant is a smart network of connected solar batteries from homes and businesses across the country. Instead of relying solely on traditional power stations to supply electricity during peak demand periods, a VPP allows thousands of individual batteries to work together to support the grid.
Here’s how it works:
- Your battery stores excess solar energy generated during the day.
- When the grid needs extra electricity—typically during hot afternoons or unexpected outages—your battery can export some of its stored energy to help meet demand.
- In return, you are rewarded with bill credits, payments, or other incentives, depending on the VPP program you join.
Key benefits of joining a VPP include:
- Earn extra income: Get paid or credited for allowing the network to use a small portion of your battery’s energy during peak events.
- Support a cleaner, more reliable grid: Reducing stress on the grid means fewer blackouts and less need for fossil fuel generation.
- Maximise the value of your battery: Instead of just saving money by using your stored energy at home, you can also generate extra financial returns.
Important:
- Joining a VPP doesn’t mean losing control of your battery.
- Most programs only use a small percentage of your battery’s charge and always ensure there’s enough stored energy left for your personal use.
Participation in a VPP is not mandatory, your battery just must be VPP compatible. If you’re installing an off-grid system, you do not need VPP compliance.
At GI Energy, we work closely with multiple leading VPP providers. We can help you:
- Understand your options
- Choose the right VPP based on your household’s usage patterns and goals
- Set up your system to maximise both your savings and your eligibility for the solar battery rebate
Choosing the right VPP can significantly boost your long-term return on investment—adding even more value to your new solar battery system.
Why Choose GI Energy?
We’re proud to have been serving Australians since 2011—longer than 90% of solar companies operating today.
- Trusted by councils, developers, and everyday homeowners
- Only premium battery brands with strong warranties
- Full-service project management and aftercare
- Honest, reliable advice—because we treat our customers like family
With the solar battery rebate now active, plenty of short-term operators will flood the market. Choose a partner you know will still be around tomorrow.
Final Thoughts on the Solar Battery Rebate
The solar battery rebate is one of the best clean energy incentives Australia has ever seen—but it won’t last forever.
Install your system now, claim your rebate, and start enjoying lower power bills and greater energy independence.
No pressure. Just smart planning.
