Cheaper batteries nation-wide
The launch of the $2.3 billion Cheaper Home Batteries Program aims to make batteries more affordable for Australian households.
The Federal Government’s cheaper home batteries program launched on July 1 with the aim of slashing installation costs in Australian homes.
The $2.3 billion battery scheme, which has strong support from renewable energy advocates, aims to make batteries cheaper to install for households, community organisations and small businesses.
Battery uptake has lagged behind Australia’s soaring solar adoption with one in three homes estimated to have rooftop solar compared with only one in forty that currently have home batteries to store solar power.
The subsidy is expected to reduce battery installation prices by around 30 per cent, shaving roughly $4000 off the cost of a typical home battery.
The government says its modelling suggests the program will also ease pressure on the national grid, with home batteries helping to reduce peak demand, thereby helping to lower prices for all consumers.
"This is a happy day for all Australians, with the marriage of home solar and home batteries. Their union will bring us all cheaper home power bills and a safer environment."
Renew Australia for All - a broad coalition of organisations campaigning for a more secure energy future - welcomed the announcement, describing the package as “a huge win for millions of Australians who can now slash their power bills for good and save with batteries, as well as solar”.
Solar Citizens, a renewable energy advocacy group, celebrated the launch by hosting a ‘wedding ceremony’ for Ms Solar Panel and Mr Battery (pictured above).
“This is a happy day for all Australians, with the marriage of home solar and home batteries. Their union will bring us all cheaper home power bills and a safer environment,” Solar Citizens said.
According to the Climate Council, pairing solar panels with a battery could save households up to $2300 less per year on power bills for the average family, compared to $1500 in savings with solar only.
Tapping into clean energy
The government says the subsidy is available for batteries connected to new or existing solar PV systems and will be directly funded to ensure no extra costs are passed on to consumers.
More than one million new battery installations are forecast by 2030 under the initiative, it says, as part of a broader government strategy to help households tap into clean energy and ease reliance on the grid.
The program is intended to complement state and territory government battery incentives, according to the Department of Climate Change, Energy, the Environment and Water (DCCEEW).
The NSW government recently withdrew its own battery subsidy, replacing it with increased incentives for households and small businesses to connect to a Virtual Power Plant.
Under the scheme, households, small businesses and community organisations will be able to purchase an approved battery with a 30 per cent discount on installed costs for small-scale battery systems (5 kWh to 100 kWh). The addition of battery storage will enable households to reduce reliance on the grid and make better use of the energy generated from solar panels. The subsidy will be delivered through the existing Small-scale Renewable Energy Scheme – the same program that delivers solar subsidies. The Climate Council has compiled this list of resources for those interested in installing a battery.
