Starting July 1, 2025, residents of New South Wales (NSW) can benefit from both federal and state incentives aimed at making home battery systems more affordable. Here’s a breakdown of the available programs:
Federal Incentive: Cheaper Home Batteries Program
The Australian Government’s Cheaper Home Batteries Program offers substantial rebates for households and small businesses installing battery systems paired with new or existing rooftop solar and Superb solar can make the install effortless.
• Start Date: July 1, 2025
• Rebate Amount: Approximately $330–$370 per usable kilowatt-hour (kWh) of battery capacity, translating to about a 30% discount on installation costs .
• Eligibility Criteria:
• Battery must be Virtual Power Plant (VPP)-capable
• System must be installed by a Clean Energy Council (CEC) accredited installer
• Installation must be certified on or after July 1, 2025
• Applies to homes, small businesses, and community facilities
• Program Duration: Gradually phasing out by 2030, with annual reductions in rebate value
• Stacking Incentives: Can be combined with eligible state-based rebates for additional savings
NSW State Incentive: Peak Demand Reduction Scheme (PDRS)
Under the Peak Demand Reduction Scheme, NSW offers incentives to encourage the adoption of battery storage systems:
• Start Date: November 1, 2024
• Rebate Amount: Between $1,600 and $2,400 off the upfront cost of a household battery for homes with existing solar panels
• Additional Incentive: An extra $250 to $400 for connecting the battery to a Virtual Power Plant (VPP), with the possibility to reapply after three years
• Eligibility Criteria:
• Available to households and businesses with existing solar panels
• Battery systems must be installed through approved suppliers
Combining Federal and State Incentives
Residents in NSW can potentially maximize their savings by combining both the federal and state incentives:
• Stacking Benefits: The federal rebate can be applied at the point of installation, reducing upfront costs, while the state rebate may be claimed separately, depending on the specific program guidelines .
• Installation Timing: To qualify for the federal rebate, installations must be certified on or after July 1, 2025. However, installations can occur before this date as long as they are not commissioned until the program’s start date .
Next Steps
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To take advantage of these incentives:
1. Assess Your Eligibility: Determine if your property qualifies for both federal and state rebates based on existing solar installations and other criteria.
2. Consult Accredited Installers: Engage with Clean Energy Council (CEC) accredited installers who are familiar with both programs to ensure compliance and maximize benefits.
3. Plan Installation Timing: Schedule your battery installation to align with the rebate program timelines, ensuring certification occurs on or after July 1, 2025, for the federal rebate.
4. Stay Informed: Monitor official channels for any updates or changes to the programs to ensure you meet all requirements.
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