Federal battery rebate for South-East Melbourne homeowners

The Cheaper Home Batteries Program explained

Launched in July 2025, the federal government’s Cheaper Home Batteries Program is a $7.2 billion scheme designed to make home battery storage affordable for Australian households and small businesses. It works through the Small-scale Renewable Energy Scheme (SRES), the same mechanism that has reduced the cost of solar panels for over a decade.

When you install an eligible home battery through a registered installer like Electrical Masters, a set number of Small-scale Technology Certificates (STCs) are created based on the size of your battery. Your installer redeems these on your behalf, and the value is passed on to you as a discount off your installation price. You do not need to do anything extra to claim it.

For a typical 10 kWh home battery, the rebate currently works out to around $3,000 to $3,500 off the installed price. The exact amount depends on the battery size, the current STC price and which tier your system falls into.

sigenergy battery installation with the sigenergy gateway

The rebate decreases every six months — act sooner rather than later

The STC factor that determines the rebate value reduces twice a year, in January and July, and will continue to do so until the program ends in 2030. The rebate available today is higher than the rebate available in six months’ time. Installing sooner means a larger discount on your battery system. Electrical Masters can tell you exactly what the current rebate is worth for your chosen system when you get a quote.

~30%

Typical discount off battery cost

$7.2bn

Total program budget

Every 6 months

How often the rebate decreases

2030

program end date
Find out what the battery rebate is worth for your home

Let’s have a chat. Our local team’s here to walk you through it, step by step.

fox ess battery

The benefits of a heat pump hot water system

  • Immediate upfront discount: The rebate is deducted from your installation price on the day. There is no waiting, no claiming, no paperwork to lodge. You simply pay the reduced price from the outset.
  • No income testing: The Cheaper Home Batteries program is available to all eligible homeowners regardless of income. You do not need to meet any means-testing requirement to qualify.
  • Works with existing solar: You do not need to install new solar panels to access the rebate. An eligible battery can be added to your existing solar system, provided it meets the program’s technical requirements.
  • Better returns on your solar: A battery lets you store the excess solar energy you are currently exporting to the grid at a low feed-in tariff and use it in the evening when grid power is most expensive. The rebate accelerates your payback period significantly.
  • Energy independence: With a battery, your home draws less from the grid during peak periods. In the event of a grid outage, a battery-backed system can keep your essential appliances running.
  • Future-proof technology: Battery storage is increasingly central to how Australian homes manage energy. Installing now, with a rebate, means you are ahead of the curve rather than catching up to it.

Tiered rebate structure by battery size

The rebate is tiered based on the usable capacity of the battery you install. Most standard home batteries fall within the first tier and receive the full rebate factor. Larger systems above 14 kWh receive a partial rebate on the additional capacity. Only the first 50 kWh of usable capacity is eligible for any rebate at all.

Battery capacity (usable) Rebate factor applied Typical household
0 to 14 kWh 100% of STC factor Average family home
14 to 28 kWh 60% of STC factor Larger homes or small business
28 to 50 kWh Reduced STC factor Commercial or large property
Above 50 kWh No rebate applies Large commercial only

Calculate your rebate

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Eligibility requirements

  • Eligible battery: The battery must be on the Clean Energy Council’s approved product list and have a usable capacity between 5 kWh and 100 kWh.
  • Eligible property: The property must be a residential home or eligible small business with an existing or new solar system connected to the grid.
  • VPP-capable system:The battery must be capable of connecting to a Virtual Power Plant (VPP). You do not have to join one, but the battery must support it technically.
  • Accredited installer: The installation must be carried out by an accredited installer. Electrical Masters is registered to create and assign STCs on your behalf.
  • Grid-connected: The battery must be installed as part of a grid-connected solar and battery system. Off-grid systems are not eligible for this program .

Watch out for dodgy installers

The battery rebate has attracted a number of operators who use high-pressure sales tactics, inflate pricing to absorb the rebate, or install systems that do not actually meet the programme’s eligibility requirements. Always ask your installer for a written quote showing the pre-rebate and post-rebate price separately, and check that the battery and installer are both registered with the Clean Energy Council. Electrical Masters is fully registered and provides transparent, itemised quotes on every job.

Why Choose Electrical Masters

In-house installation team

We don't use subcontractors. The same qualified electricians who quote your job are the ones who install it.

SAA Accredited Installer

Every installation meets the highest Australian safety and performance standards.

Local to Melbourne

Based in Clyde North since 2018. We know the area, we're nearby if you need us, and we're here for the long term.

10-year workmanship warranty

If something goes wrong with our installation work, we fix it. For ten years.

Frequently asked questions about the federal battery rebate

How does the federal battery rebate work in practice?

When Electrical Masters installs your eligible battery, we create the relevant Small-scale Technology Certificates (STCs) on your behalf and assign them to a registered agent. The value of those STCs is passed on to you as a direct discount off your installation price. You simply pay the reduced amount. There is no form to lodge, no rebate to chase after the fact.

How much is the rebate worth right now?

The rebate amount depends on your battery’s usable capacity, the current STC price and which tier your system falls into. For a typical 10 kWh home battery, the rebate currently equates to around $3,000 to $3,500 off the installed price, representing roughly 30 per cent of the total cost. Electrical Masters will show you the exact rebate amount as a line item on your written quote.

How often does the rebate decrease?

The STC factor that determines the rebate value reduces twice a year, every January and July, through to the programme’s end date of 2030. This means the rebate available when you install today is worth more than the rebate available in six months’ time. There is a genuine financial benefit to acting sooner rather than later.

Do I need solar panels to access the battery rebate?

You need an existing or new grid-connected solar system at the property to be eligible. If you do not currently have solar, Electrical Masters can design and install a combined solar and battery system that qualifies for both the battery rebate and the standard solar STC discount at the same time.

Does my battery need to be connected to a Virtual Power Plant?

Your battery needs to be technically capable of connecting to a VPP, but you are not required to actually join one. Some retailers have been incorrectly telling customers that VPP enrolment is mandatory. It is not. Electrical Masters will clarify this for you clearly at consultation.

Can I claim the rebate on a battery added to my existing solar system?

Yes. Retrofitting an eligible battery to an existing solar system is one of the most common scenarios we see across South-East Melbourne. As long as your solar system is grid-connected and the battery meets the programme’s technical requirements, you can access the rebate regardless of when your solar was installed.

How do I make sure I am getting the full rebate and not being overcharged?

Ask your installer for a written quote that clearly shows the full system price before the rebate and the discounted price after. If an installer is unwilling to show you this breakdown, walk away. Electrical Masters provides fully itemised quotes on every job and is registered with the Clean Energy Council.

Find out what the battery rebate is worth for your home

Let’s have a chat. Our local team’s here to walk you through it, step by step.