With Queensland’s abundant sunshine and a high uptake of rooftop solar, many households and businesses are now considering battery storage to maximise their solar investment. The Cheaper Home Batteries Program, launched on 1 July 2025, presents a timely opportunity to make this transition more affordable and beneficial.

Understanding the Cheaper Home Batteries Program

The Cheaper Home Batteries Program is a $2.3 billion initiative by the Australian Government aimed at reducing the upfront cost of installing small-scale battery systems. Key features include:

• Approximately 30% discount on the cost of eligible battery installations.
  
• Applicable to households, small businesses, and community facilities.
  
• Not means-tested, making it accessible to a broad range of Australians.
  
• Delivered through an expansion of the Small-scale Renewable Energy Scheme (SRES), with the discount provided via Small-scale Technology Certificates (STCs).
  
• Eligible battery systems must have a nominal capacity between 5kWh and 100kWh, with the discount applicable to up to 50kWh of usable capacity.
  
• Batteries must be installed on or after 1 July 2025 and be connected to new or existing rooftop solar systems.
  

Financial Implications: Pre- and Post-Subsidy Costs

Battery storage systems have traditionally been a significant investment. However, with the upcoming subsidy:

• A typical 11.5kWh battery system, previously costing around $13,000, could see a discount of approximately $4,000, bringing the cost down to $9,000.
• Households with existing solar could save up to $1,100 annually on electricity bills, while those installing both solar and batteries might save up to $2,300 annually, potentially covering up to 90% of a typical electricity bill.

Break-even Analysis and Return on Investment

Let’s consider a residential scenario:

• System Cost (Post-Subsidy) – $9,000
• Annual Savings – $1,100
• Payback Period –Approximately 8.2 years

For commercial installations, the payback period may be shorter due to higher energy consumption and potential participation in Virtual Power Plants (VPPs), which can provide additional revenue streams.

Environmental Impact and Grid Stability

Beyond financial benefits, increased adoption of battery storage contributes to:

• Reduced reliance on coal-fired power, especially during peak evening hours.
• Stabilisation of the electricity grid by smoothing out supply and demand fluctuations.
• Lower greenhouse gas emissions, aligning with Australia’s goal of sourcing 82% of electricity from renewables by 2030.
  

Preparing for the Cheaper Home Batteries Program

To take advantage of the program:

• Ensure your existing solar system is battery-ready, or plan for an integrated solar and battery installation.
• Choose a Clean Energy Council (CEC) accredited installer familiar with the SRES and the upcoming subsidy.
• Consider battery systems that are VPP-capable, allowing for future participation in energy sharing programs.
  

Why Trust REA Solar?

At REA Solar, we are committed to helping Queenslanders harness the full potential of solar energy. Here’s why you can trust us:

• CEC-accredited installers with extensive experience in solar and battery installations.
• Tailored solutions to meet the unique energy needs of your home or business.
• Transparent pricing and assistance in navigating available subsidies and incentives.
• Ongoing support to ensure your system operates efficiently and effectively.
  

Call us at 1300 360 047 to discuss your energy needs and prepare for the Cheaper Home Batteries Program. Don’t miss out on the opportunity to enhance your energy independence and savings. Contact REA Solar today to ensure your home or business is ready for the Cheaper Home Batteries Program starting 1 July 2025.