Cheaper Home Batteries Program

The Federal Government’s Cheaper Home Batteries Program (CHBP) officially kicked off last week on July 1st! The Clean Energy Council (CEC) has even declared July 1st “Energy Independence Day,” noting record-high searches for batteries and visits to their approved battery lists. Battery sales have, for the first time, surpassed solar PV system sales in May 2025, with over 750 CEC-approved battery products now available.

 

Evolving Standards for Battery Safety

Last week, Standards Australia released the Preliminary Technical Specification TS 5398, a new draft document focusing on Safety Requirements for Electrical Energy Storage Equipment. This specification is set to update the existing Best Practice Guide that the CEC uses to evaluate battery applications for its approved product list. While this signifies a move towards refining safety standards, there are no immediate changes to the CEC’s approved battery list or the application process at this stage.

 

Clarity on Expanding Existing Battery Systems

The Clean Energy Regulator (CER) has provided more detailed eligibility requirements for adding new battery modules to existing stackable battery systems. To be eligible for the discount, the entire final configuration of the expanded battery system must be on the CEC’s approved product list on the date of certification. If any component, such as the battery management module, no longer matches the currently approved product, the system will be ineligible.

 

The installation must be completed by an SAA-accredited installer who then re-certifies the entire system for safety, compliance, and adherence to all requirements, upgrading existing parts if necessary. The additional modules and the existing system must be fully compatible and within the manufacturer’s specifications for such an expansion. Any non-compliance identified in the final system (both added and existing components) will be considered the responsibility of the accredited installer or designer.

 

Keep in mind that the discount can be claimed for the additional battery modules added, not the total capacity of the expanded battery system. The additional capacity must be at least 5kWh, and the total final configuration of the expanded battery system must not exceed 100kWh.

 

Battery Installation with Existing Solar PV Systems

The CER has also updated its guidance on eligibility requirements when installing a battery with an existing solar PV system and inverter. While it has been clarified now that the existing solar PV panels do not need to be on the CEC’s approved product list, remember that the existing inverter must either be currently listed on the CEC’s approved inverter list, or if not listed, it must not have been removed due to safety reasons. It’s now also clear that the existing inverter must also be capable of participating in a Virtual Power Plant (VPP). If the existing inverter does not meet these criteria, it will need to be replaced with a new inverter that is both CEC-approved and VPP-capable.

 

Relocating an Existing Battery

To move an existing solar battery system to a different location, a qualified electrician must perform both the removal and the re-installation, and you must follow your power supplier’s requirements for disconnecting and reconnecting to the electricity supply. However, keep in mind that STCs are assigned to the original property address, not the property owner, and second-hand systems are not eligible. Therefore, if the battery is re-installed at a new property, it will not be eligible to claim the CHBP discount.

 

At Next Green Group, we’re excited about this significant milestone for Australian energy! To continue empowering businesses with the resources for their battery investment decisions, and based on recent conversations with our customers, we’ve released two essential new guides:

• Battery Sizing Guide for Business
• Stackable State Schemes (as of July 2025)

Download these guides for essential insights and to confidently select the battery solution that meets your business needs. Alternatively, for personalised advice tailored to your specific business needs, book a free consultation with one of our battery experts and receive a free, no-obligation business battery quote – schedule a time here.

 

The launch of the Cheaper Home Batteries Program is just days away! Significant progress has been made towards its finalisation, with Energy Minister Chris Bowen having signed off on the program’s regulations. We anticipate the formalisation of these rules by the end of this week, accompanied by further announcements and media appearances leading up to the July 1st program launch.

 

Approved Products & Clarity on Solar PV Eligibility Rules

The Clean Energy Council (CEC) has published its approved product lists for both batteries and inverters. Eligibility for the federal rebate requires that both the battery and the inverter installed must be included on these lists.

 

As outlined in the initial eligibility criteria, the federal rebate will only apply to battery installations paired with either existing or newly installed PV systems. While there’s no minimum size for the existing or new solar PV system for eligibility, the solar PV system must have less than 100 kW capacity to be eligible under the Small-scale Renewable Energy Scheme (SRES).

 

Adding Battery to Existing Solar PV Systems

Battery systems added to existing solar PV systems must not impact the safe function of the PV system. At the time of battery installation, the inverter model must:

• comply with state and territory electrical safety regulations,
• be eligible under the Renewable Energy (Electricity) Regulations 2001,
• and be listed on the CEC-approved inverter list.

If an existing inverter is not on the CEC-approved list, it will still be eligible for the federal rebate as long as it was not removed from the CEC-approved product list due to safety reasons. You can check the CEC’s list of suspended or de-listed products here.

 

Retailer & Installer Obligations for Consumer Protection

The Clean Energy Regulator (CER) has published essential documents detailing the responsibilities of solar retailers, designers, installers, and registered agents, emphasising the importance of battery installation safety. All systems and installations must adhere to federal and state legislation, including electrical safety regulations and Australian Standards. Retailers and installers must provide customers with written statements that include (but are not limited to):

• Installer name and whether or not the installer is an employee or a subcontractor of the battery retailer
• Compliance with accreditation scheme requirements.
• Assurance that the battery will perform as per contract and remain installed until 2030 or the warranty end (whichever is later).
• Details on feed-in tariffs, export limits, expected payback, energy benefits, and cost savings for the solar PV system.
• Appropriate battery and inverter sizing relative to the premises’ current and expected electricity needs.
• Information on VPP participation requirements (additional equipment, software, or specific VPP compatibility).

It is crucial for consumers to ensure they receive all these detailed statements with their battery installation. These statements aim to provide consumers with a level of assurance regarding installation safety, quality standards, and consistency with consumer expectations.

 

Market Dynamics & Annual Discount Review

A significant increase in battery installations and commissioning is anticipated post-July 1st. While SAA limits on daily installations per accredited installer may lead to initial backlogs, market stabilisation is projected around September. This pattern of installation surges is also expected annually, as the rebate value, designed to represent approximately 30% of installed battery costs, will be reviewed and gradually decline each year (e.g., July 2026, 2027) as battery costs are expected to fall.

 

Ready to explore your business battery options? Next Green Group offers a free consultation and quote, expertly tailored to help you navigate new rebate opportunities and maximise benefits with our comprehensive retail & VPP solutions. Book your free consultation today!

Stackable State Schemes

As covered in our webinar, here’s a detailed state-by-state overview focusing on business battery rebate status and stackability with the federal Cheaper Home Batteries Program (CHBP). While the federal program has been initially designed to be stackable with state and territory incentives, several states have implemented changes that alter how these benefits can be combined.

See summary table and detailed breakdown below.

 

VIC

• Status: The Solar Victoria Home Battery Loans Scheme closed as of May 28, 2025. This was an interest-free loan program, not a direct rebate.
• Stackability with Federal Rebate: As of June 2025, there is no state rebate to stack with the federal CHBP in Victoria.

 

NSW

• Status: The previous NSW Battery Rebate (Peak Demand Reduction Scheme – PDRS) ended on June 30, 2025, and is no longer available. However, from July 1, 2025, the NSW Virtual Power Plant (VPP) incentive has been significantly boosted. This incentive offers eligible small businesses up to $1,500.
• Stackability with Federal Rebate: The boosted NSW VPP incentive is stackable with the federal CHBP.

QLD

• Status: The Queensland Battery Booster Program closed in May 2024 and is no longer accepting new applications.
• Stackability with Federal Rebate: As of June 2025, there is no state rebate to stack with the federal CHBP in Queensland.

 

SA

• Status: The Home Battery Scheme (HBS) has closed, and new applications are no longer being accepted.
• Stackability with Federal Rebate: As of June 2025, there is no state rebate to stack with the federal CHBP in South Australia.

 

WA

• Status: A new Solar Battery Rebate and interest-free loan scheme is planned to commence from July 1, 2025. VPP participation is expected to be a requirement for eligibility.
• Stackability with Federal Rebate: We expect this WA scheme is designed to complement and be stackable with the federal CHBP.

TAS

• Status: The Energy Saver Loan Scheme provides interest-free loans of up to $10,000 for eligible energy upgrades, which can include battery systems.
• Stackability with Federal Rebate: The Energy Saver Loan Scheme can provide additional financial support that could indirectly complement the federal CHBP rebate by reducing the overall financing required for the system.

 

NT

• Status: The Home and Business Battery Scheme grant has reached its funding cap and is no longer accepting new applications.
• Stackability with Federal Rebate: As of June 2025, there is no other battery scheme to stack with the federal CHBP in Northern Territory.

 

ACT

• Status: The ACT Government’s Sustainable Business Program offers rebates up to $10,000 for energy and water efficiency upgrades, including battery storage installations, for businesses operating from commercial premises.
• Stackability with Federal Rebate: While the Sustainable Business Program supports battery installations, explicit confirmation of its direct stackability for businesses with the federal CHBP rebate is not clearly defined in public resources. Businesses should verify this directly with the ACT Government.

 

The landscape of battery rebates is continuously evolving. While the federal CHBP provides a nationwide opportunity, businesses must carefully review the specific rules and stackability conditions in their state or territory to maximise their benefits. As part of our comprehensive battery solution, Next Green Group not only helps you navigate and access these state rebates but also offers flexible financing options. Book your free consultation with our battery expert today to discuss your options!

Rebate Shake-Up

With the Federal Battery Rebate (also known as the Cheaper Home Batteries Program (CHBP)) is now officially rolling out from July 1, 2025, the States are now catching up and have released their response to how their rebates will be ‘stackable’ with the Federal Rebate, and by no surprise, there’s been dramatic changes.

Also, refer to the bottom of this update to register for our Battery Rebate Webinar next week!

 

State-by-State Battery Rebate Scheme Status:

1. Victoria:

• Status: The Solar Victoria Home Battery Loans Scheme has ended. Applications for the interest-free loans of up to $8,800 closed as of May 28, 2025, and funding for the program ends on June 30, 2025. Solar Victoria’s incentives have stimulated demand for batteries, and the Commonwealth Government will now continue this.
• Stackability with the Federal Rebate: While the state loan program has closed, the federal CHBP rebate is available from July 1, 2025. It is no longer possible to stack the Victorian loan with the federal rebate.

2. New South Wales (NSW):

• Status: The NSW Battery Rebate (Peak Demand Reduction Scheme – PDRS) is suspended as of June 30, 2025. This rebate offered between $1,600 and $2,400 off the cost of battery installation.
• Virtual Power Plant (VPP) Incentive: From July 1, 2025, the NSW VPP incentive will be boosted, offering around $550 for a 10 kWh battery and approximately $1,500 for a 27 kWh battery. This VPP incentive can be combined with the federal Cheaper Home Batteries Program.
• Stackability with the Federal Rebate: The NSW Government has confirmed that the ending Peak Demand Reduction Scheme rebate cannot be combined with the upcoming federal CHBP rebate. However, the boosted NSW VPP incentive can be stacked with the federal rebate.

3. Queensland:

• Status: The Queensland Battery Booster Program closed in May 2024 and is no longer accepting new applications. There are currently no plans for new state-based subsidies in Queensland.
• Stackability with the Federal Rebate: As the state program has closed, there is no state rebate to stack with the federal CHBP. However, the federal rebate is available to Queensland residents.

4. South Australia:

• Status: The Home Battery Scheme (HBS) has closed, and new applications are no longer being accepted.
• Stackability with the Federal Rebate: Similar to Queensland, as the state scheme has closed, there is no state rebate to stack with the federal CHBP.

5. Western Australia:

• Status: The Cook Labor Government plans to introduce a home solar battery rebate and interest-free loan scheme, expected to commence from July 1, 2025. Synergy customers may claim up to $5,000 and Horizon customers up to $7,500, combining state and federal rebates. No-interest loans of up to $10,000 are also expected to be available for qualifying households with a combined annual income of less than $210,000. All battery systems will need to demonstrate Virtual Power Plant (VPP) readiness.
• Stackability with the Federal Rebate: The proposed WA scheme is designed to complement and be stackable with the Federal Government’s Cheaper Home Batteries Program.

6. Tasmania:

• Status: There is no standalone solar power or battery rebate directly from the Tasmanian government. However, residents can still access the federal Small-Scale Technology Certificates (STCs), which provide an upfront discount. The Energy Saver Loan Scheme provides interest-free loans of up to $10,000 for eligible energy upgrades, which can include solar installations and battery systems.
• Stackability with the Federal Rebate: The Energy Saver Loan Scheme may provide additional financial support that could indirectly complement the federal CHBP rebate.

7. Northern Territory:

• Status: The Home and Business Battery Scheme provides a grant of $400 per kilowatt-hour (kWh) of usable battery capacity, up to a maximum of $12,000. This program is open until November 2025 or until funding is fully subscribed. Batteries must be VPP capable. From July 1, 2025, the NT Government will also introduce a feed-in tariff of 18.66 cents per kWh for electricity exported between 3 pm and 9 pm.
• Stackability with the Federal Rebate: Yes, the NT battery rebate is stackable with the federal Cheaper Home Batteries Program.

8. Australian Capital Territory (ACT):

• Status: The Sustainable Household Scheme provides interest-free loans of up to $15,000 for eligible energy efficiency upgrades, including home battery storage systems. The Home Energy Support Program provides rebates of up to $5,000 for eligible homeowners, which can include rooftop solar.
• Stackability with the Federal Rebate: The federal CHBP rebate can stack with existing state incentives, which would include the ACT’s Sustainable Household Scheme interest-free loans.

 

With federal and state rebates now working in tandem, there’s still a lot of movement happening across the states and how to access their rebates on top of the Federal Battery Rebate.

To help navigate through this space, we’re hosting an online webinar with a live Q&A session on Tuesday, 17th June 3pm AEST to go over the latest details around rebate eligibility, sizing battery systems and how to get the most out of your battery. Register here to reserve your spot, or get the full recording if you can’t make it to the live session!

Safety & Compliance First

The Clean Energy Regulator (CER) has made battery installation safety a key priority. All systems and installations must comply with federal and state laws (including electrical safety regulations) and Australian Standards. Installers must provide written statements covering technical details, safety, and accreditation. Installations require SAA-Accredited Installers who have completed additional mandatory battery training. The CER will also collaborate with other relevant authorities, including the ACCC and State & Territory Consumer Affairs, to manage risks and ensure consumer protection.

 

Appropriate Battery Sizing & Communication

CER and consumer bodies like the ACCC are actively monitoring consumer matters, ensuring batteries are appropriately sized and perform as expected. While there’s no prescribed method for determining the ‘right size’ battery, each premise’s unique energy needs, context, and profile must be considered. This sizing information should always be clearly communicated to the consumer. Installers and retailers must also ensure the customer fully understands how to use their system, including providing clear information on the battery’s Virtual Power Plant (VPP) capability. For on-grid systems, batteries must be VPP-capable (able to connect to the grid and respond to signals from third-party VPP operators via an internet connection), although participation in a VPP is not mandatory. It’s important to note that some batteries are only compatible with specific VPPs due to technical requirements or VPP-specific policies, which should be clearly communicated.

 

Commissioning Delays & Evidence Rules

For systems installed before July 1st but intended to claim the rebate, clear guidance has been provided around delaying commissioning. Installers must ensure systems are not connected, commissioned, or operational before July 1st. This may include leaving all cables disconnected safely where possible to avoid any doubt regarding the commissioning date. Detailed photo evidence is required at every stage of installation, following SAA guidelines. When returning to connect and commission the battery on or after July 1st, photo evidence is again needed at every stage of this final connection and commissioning process. The battery system is considered ‘installed’ when a certificate of electrical compliance or equivalent is signed on or after July 1st

 

Eligible Premises

The definition of ‘a premises’ under the Renewable Energy (Electricity) Act 2000 has been clarified, confirming broad eligibility. A ‘premises’ is defined as:

• a structure, building, or vehicle
• a place (whether enclosed or built on or not)
• a part of a thing referred to in (i) or (ii).

Under this definition, apartment buildings are eligible, as well as premises within an embedded network (e.g., retirement villages, where each house is considered a separate eligible premise). The rebate claim can be made by an individual, a business, or a body corporate, provided the site address meets this definition of a ‘premise.’ It’s important to note that only a single battery installation at a premises is eligible for support under the program, once per premises.

As the Cheaper Home Batteries Program continues to evolve, we at Next Green Group are excited to see increasing clarity around its details. We remain dedicated to staying on top of every development, ensuring you receive verified information and practical guidance to navigate this exciting new initiative.

Watch out for exciting news coming up in the next couple of weeks! This will include details about our upcoming live webinar, where we’ll cover key insights and host a dedicated Q&A session to answer your questions directly. Stay tuned!

Official Statements from Government Bodies

The Department of Climate Change, Energy, the Environment and Water (DCCEEW) and the Clean Energy Regulator (CER) have released official webpages outlining the program’s current status. You can access them here:

• DCCEEW: https://www.dcceew.gov.au/energy/programs/cheaper-home-batteries
• CER: https://cer.gov.au/batteries

This marks a positive step towards greater clarity on the program, though substantial work is still required to finalise the program for its July 1st implementation. Next Green Group will continue to monitor these developments closely, providing you with verified information and practical guidance.

 

Key Installation Rule: New Batteries Only with Solar

A fundamental detail emerging from the program’s proposed regulations is that the federal rebate will only apply to new battery installations paired with either existing or newly installed solar PV systems. Standalone battery installations are not currently eligible under this scheme. To qualify for this rebate, ensure you already have an operational solar system or are incorporating one into your plans.

 

Expanding Existing Battery Systems

You can potentially expand your existing battery system and claim the federal rebate for the added capacity. This is possible if your existing battery system hasn’t previously received this rebate, you’re adding at least 5kWh, and the total upgraded capacity of the battery stays within 100kWh. Once your battery has already received this federal rebate, any further expansion of that system won’t be eligible for more rebates under this program.

 

Uncertainty Around State Rebate Stacking

The potential for stacking the new federal battery rebate with existing state programs, specifically the NSW Peak Demand Reduction Scheme (PDRS) and the WA Residential Battery Scheme, is still being assessed. We anticipate the NSW PDRS may undergo a lengthy adjustment process to ensure it’s ‘stackable.’ The WA Government, however, has not yet commented on its scheme’s compatibility. If your decision to invest in a battery relies on stacking these rebates, be aware that the total rebate amount could change.

 

Beware of Unverified Rebate Claims

While excitement for the rebate is high, a significant risk for customers lies in how information is communicated. Much of the detail circulating often comes from marketers and salespeople, whose interpretations of evolving requirements may differ from the official guidelines. This can result in misunderstandings about your eligibility or the rebate claiming process, and impact your expected savings. Always cross-reference any information with official government sources or consult with trusted experts to ensure accuracy.

Key Appointments and Program Launch Date

Following last week’s update, Chris Bowen has been reappointed as the Minister for Climate Change and Energy, which is positive news, given his pivotal role in the program’s development. Another positive news is that the Government has reaffirmed its commitment to launching the program on July 1st. This fixed timeline maintains pressure on both the government and the industry to ensure all necessary preparations are completed within the next six weeks.

 

Focus on Eligibility, Compliance, and Evidence Collection

The immediate focus is now on getting more details regarding the program’s eligibility and compliance requirements. This clarity is crucial to ensure both industry stakeholders and customers can navigate the rebates process smoothly and avoid any actions that might compromise their rebate eligibility.

As anticipated, meticulous evidence collection documentation during the installation will be crucial for claiming the STC rebates. While the standard STC process requires a geotagged selfie before and after installation, we hear that there is a potential requirement for a mid-installation geotagged photo as well. We’re currently seeking clarification on the rationale and specifics of this potential additional requirement.

 

Important Considerations Regarding Installer Terms and Conditions

We’ve noted a concerning practice where some installers have been including clauses in their battery proposals’ Terms and Conditions that customers will have to cover any rebate shortfall resulting from rules or regulations changes between the proposal date and the program’s formalisation. This practice poses a significant risk to consumers, and we strongly advise against rushing into installations without thoroughly reviewing the terms and ensuring you are protected against potential rebate shortfalls due to unforeseen regulatory changes.

 

Potential Impact of State Rebate Adjustments

Another area of concern involves the potential for state governments to revise their existing battery rebate schemes. This could directly impact programs like the PDRS rebates in NSW, potentially diminishing the overall financial benefits and extending the payback period for customers. Unfortunately, the federal government has no direct control over state-level rebate programs. Any decisions by state governments to alter their rebate amounts could negatively affect the widespread adoption of batteries.

 

Interim Measures and Mitigating Risks

Given the evolving nature of these rules, some customers are considering purchasing and installing batteries now but delaying their activation. While this might seem like a safe approach, it’s crucial to be aware of the potential risks. Installers might inadvertently overlook critical documentation, such as the pre-installation geotagged photo, which could later affect your ability to claim the federal rebate.

If you are considering purchasing a battery and proceeding with installation before the full rebate details are finalised, it is important to have a clear agreement with your installer regarding liability for any rebate-related issues. The best practice is to ensure you, the customer, are not held responsible for covering any financial discrepancies arising from changes in the rebate program.

At Next Green Group, we are committed to helping you navigate this new rebate. For a comprehensive overview of the anticipated rebate coverage and initial eligibility requirements, please refer to our update from last week. We’ll keep you informed and continue to update this hub with the latest information as it becomes available.

Understanding the Proposed Federal Home Battery Rebate

The recent definitive election win by the Labour Government has generated considerable excitement regarding the proposed Cheaper Home Batteries Program. This program has the potential to reduce upfront battery costs by an estimated 30% and is expected to significantly increase demand for batteries. However, it’s important to understand that this program is currently an election commitment and not yet formally established. With approximately seven weeks until the anticipated launch date of July 1st, the Labour Party faces a substantial task in developing and formalising the program’s rules and regulations. Several key steps must occur before the rebate can be implemented. Firstly, there is a significant number of individual electorates that still need to be confirmed. Next, they also need to appoint a Minister for Climate Change and Energy, who will oversee the program’s administration. Finally, the finalised rules and regulations will require approval from the Governor General before the rebate’s operational framework is set. What we know so far:

• The program target start date is July 1, 2025
• The rebate will be $372 per usable kWh of battery storage, but after administration fees, this is estimated to be $330 per usable kWh.
• The financial limit to the rebate is capped at 50kWh capacity, meaning that the maximum claim is $372 x 50kWh = $18,600 before administration fees.
• The maximum battery size eligible for the rebate is a 100kWh battery, but the rebate value is capped at the 50kWh limit.
• The rebate will be facilitated under the Small-scale Renewable Energy Scheme (SRES), via the Small Technology Certificates (STC).
• Homes, small businesses, and community facilities are eligible.
• Can potentially be combined with state battery rebates, although some of the state rebates are reportedly considering changes to their offers.
• The rebate is not means-tested and is available to all eligible property owners, a one-time rebate per property.
• Batteries have to be in the CEC-accredited battery product list and be installed by an SAA-accredited installer.
• Batteries must be VPP-ready and capable of connecting to a Virtual Power Plant (VPP). However, no details on the VPP have been provided.
• Installing batteries now to claim the rebate later may be possible, provided the system is commissioned and energised after July 1st. The specific documentation needed to prove post-July 1st commissioning is yet to be confirmed, but a Certificate of Electrical Safety issued by the installer is anticipated.

Given the current stage of development, it is advisable to exercise caution when selecting and installing a battery. Without finalised rules and regulations, proceeding with installation carries an inherent risk of not meeting the full rebate requirements, and you could end up missing out on the full rebate value.