Australia has reached a significant milestone, surpassing 400,000 home battery installations through the federal Cheaper Home Batteries Program. This initiative, which offers upfront discounts of approximately 30% for battery systems paired with solar PV, has successfully added 11.2 GWh of storage capacity in under a year. By enabling households and businesses to store solar energy for use during peak evening hours, the program is effectively reducing the national reliance on coal and gas generation. This shift not only bolsters grid stability but also helps consumers lower their electricity bills, with the government targeting one million installations by 2030.
The program supports the installation of battery energy storage systems ranging from 5 kWh to 100 kWh, whether connected to new or existing rooftop solar PV arrays. Administered by the Clean Energy Regulator and funded via the Small-scale Renewable Energy Scheme, the incentive is designed to evolve alongside the market. As battery technology costs continue to decline, the government plans to review and gradually decrease the discount level annually through 2030 to ensure the program remains aligned with economic trends.
Financial benefits for participants are substantial, with the government estimating that households and small businesses could save up to AUD 2,300 annually by adopting a combined solar and battery system for the first time. For those retrofitting batteries to existing solar setups, annual savings are estimated at AUD 1,100. Following the Australian Labor Party’s re-election, the program’s budget was significantly expanded in December 2025, rising from an initial AUD 2.3 billion to an estimated AUD 7.2 billion over four years.
This expanded funding is expected to support more than 2 million Australians in adopting battery storage by 2030, ultimately delivering roughly 40 GWh of additional capacity. According to the Australian Battery Market Report 2026, 4.6% of homes currently feature battery storage, marking a rapid acceleration in adoption. By facilitating this widespread transition to decentralized storage, the government aims to lower peak demand, stabilize the grid, and drive down electricity prices across the broader market.