Battery rebate
Solar battery rebate 2026 and calculator for Melbourne homes
The federal battery rebate takes about $3,300 off a 12.8 kWh battery and about $3,900 off a 16 kWh battery installed in a Melbourne home in May–December 2026, at $38 per STC, the top of the $33–$38 the Clean Energy Regulator says agents usually pay. It is the same in every suburb, comes from the Cheaper Home Batteries Program as small-scale technology certificates (STCs) taken off your quote, and is one of the solar and battery rebates Victorian homes can claim.
There is no separate Victorian battery rebate at the moment. The rebate drops on 1 January 2027, when the same 12.8 kWh battery gets about $2,700, and it keeps stepping down every six months until it ends after 2030. Work out your rebate for your own battery size.
Updated
Solar battery rebate calculator
Enter your battery’s usable capacity to see the federal rebate if it is installed in your home today and after the next drop. The calculator uses the same STC factors and size taper as the table below.
Example: a 16 kWh battery in most of Melbourne
- Battery STCs 103 certificates at $38
- $3,910
- Estimated total rebateDepending on the STC price your installer credits
- $3,400–$3,910
Installed from 1 January 2027, the same system gets $650 less.
Batteries smaller than 5 kWh can’t claim the battery rebate.
Get a quote with every rebate appliedHow it works: Battery STCs = usable kWh × the battery factor (6.8 per kWh for installs in May–December 2026), at 100% for the first 14 kWh, 60% from 14 to 28 kWh and 15% from 28 to 50 kWh. Each certificate is valued at $33 to $38, the range the Clean Energy Regulator says agents usually pay; single figures use $38, the top of that range. Estimate only: the final figure is on your quote and depends on the certificate price, the install date and the products.
Why the calculator and your quote can differ
- The price per STC. The calculator values each STC at $33 to $38, the range the Clean Energy Regulator says agents usually pay. The installer sets its own figure, so check the dollars per STC on your quote.
- The install date, not the contract date. The factor on the day the battery is installed applies, so a battery quoted now but installed from 1 January 2027 is worked out at that period’s factor of 5.7, not today’s 6.8.
- Usable, not nominal, kWh. A battery qualifies on its nominal capacity (5 to 100 kWh), but STCs are paid on usable capacity. Enter the usable figure from the datasheet.
- One claim per NMI. Only one battery system per property (per grid connection, or NMI) can claim. If a battery there has already claimed, a new battery or extra modules get nothing.
How the Cheaper Home Batteries Program works
The Cheaper Home Batteries Program is the federal battery rebate: a discount of around 30% on the installed cost of a home battery. It is paid through the same scheme as the STC rebate on solar panels. Your battery earns small-scale technology certificates (STCs), the installer sells them, and their value comes off your price on the day, so you don’t claim anything yourself.
The number of STCs is the battery’s usable capacity in kWh × the STC factor for the date it is installed (6.8 for May–December 2026). Since 1 May 2026 the factor tapers with size:
- Up to 14 kWh: the full factor on every kWh.
- 14 to 28 kWh: 60% of the factor on each extra kWh.
- 28 to 50 kWh: 15% of the factor on each extra kWh.
- Above 50 kWh: nothing more. STCs are paid on the first 50 kWh of usable capacity only.
The home battery rebate doesn’t depend on your postcode: unlike solar panels, a battery earns the same STCs anywhere in Victoria. What changes it is the size and the installation date.
How much is the solar battery rebate in Victoria?
The table shows the battery rebate for every size where the rules change, for each six-month period left in the program. Each cell is the dollar amount at $38/STC, with the number of STCs underneath. Find your battery’s usable capacity on its datasheet or your quote.
| Usable capacity | May–Dec 2026factor 6.8 (now) | Jan–Jun 2027factor 5.7 | Jul–Dec 2027factor 5.2 | Jan–Jun 2028factor 4.6 | Jul–Dec 2028factor 4.1 | Jan–Jun 2029factor 3.6 | Jul–Dec 2029factor 3.1 | Jan–Jun 2030factor 2.6 | Jul–Dec 2030factor 2.1 |
|---|---|---|---|---|---|---|---|---|---|
| 5 kWh (the minimum) | $1,30034 STCs | $1,10028 STCs | $1,00026 STCs | $90023 STCs | $80020 STCs | $70018 STCs | $60015 STCs | $50013 STCs | $40010 STCs |
| 10 kWh | $2,60068 STCs | $2,20057 STCs | $2,00052 STCs | $1,70046 STCs | $1,60041 STCs | $1,40036 STCs | $1,20031 STCs | $1,00026 STCs | $80021 STCs |
| 12.8 kWh | $3,30087 STCs | $2,70072 STCs | $2,50066 STCs | $2,20058 STCs | $2,00052 STCs | $1,70046 STCs | $1,50039 STCs | $1,30033 STCs | $1,00026 STCs |
| 14 kWh (end of the full rate) | $3,60095 STCs | $3,00079 STCs | $2,70072 STCs | $2,40064 STCs | $2,20057 STCs | $1,90050 STCs | $1,60043 STCs | $1,40036 STCs | $1,10029 STCs |
| 16 kWh | $3,900103 STCs | $3,30086 STCs | $3,00079 STCs | $2,60069 STCs | $2,40062 STCs | $2,10054 STCs | $1,80047 STCs | $1,50039 STCs | $1,20031 STCs |
| 20 kWh | $4,500119 STCs | $3,800100 STCs | $3,50091 STCs | $3,00080 STCs | $2,70072 STCs | $2,40063 STCs | $2,10054 STCs | $1,70045 STCs | $1,40036 STCs |
| 25 kWh | $5,300140 STCs | $4,400117 STCs | $4,100107 STCs | $3,60094 STCs | $3,20084 STCs | $2,80074 STCs | $2,40063 STCs | $2,00053 STCs | $1,60043 STCs |
| 28 kWh (end of the 60% band) | $5,800152 STCs | $4,800127 STCs | $4,400116 STCs | $3,900103 STCs | $3,50091 STCs | $3,00080 STCs | $2,60069 STCs | $2,20058 STCs | $1,80047 STCs |
| 40 kWh | $6,200164 STCs | $5,200137 STCs | $4,800125 STCs | $4,200111 STCs | $3,80099 STCs | $3,30087 STCs | $2,90075 STCs | $2,40062 STCs | $1,90050 STCs |
| 50 kWh (the cap) | $6,600174 STCs | $5,500146 STCs | $5,100133 STCs | $4,500118 STCs | $4,000105 STCs | $3,50092 STCs | $3,00079 STCs | $2,50066 STCs | $2,00053 STCs |
Scroll the table sideways for later years. STC factors set to July–December 2030 by DCCEEW. Batteries from 5 kWh nominal capacity qualify, and STCs stop at 50 kWh usable. Dollar figures use $38 per STC, the top of the $33–$38 the Clean Energy Regulator says agents usually pay, so treat them as a ceiling. Your quote shows the final figure. Work out your own size in the calculator above.
Read across a row to see how much waiting costs: every 1 January and 1 July the same battery earns fewer STCs. Read down a column to see the taper: a 28 kWh battery doesn’t get twice the rebate of a 14 kWh one.
Who qualifies for the battery rebate
The Clean Energy Regulator says the rebate is for households and businesses, on new or existing solar. These are its conditions, and a battery has to meet every one to earn STCs. Use them as a checklist on your quote.
| Check | The rule | How to check it |
|---|---|---|
| Solar panels | Installed with a new or existing solar system of up to 1 MW. | Your quote names the solar system the battery connects to, new or existing. |
| Approved battery | The exact model is on the Clean Energy Council approved batteries list. | Search the approved list for the model on your quote, and note when its listing ends. |
| VPP-capable | On the grid, the battery and its inverter can join a virtual power plant when installed. Joining is optional. | Ask for both model numbers in writing. The VPP rule is below. |
| New | Made within 12 months of the installation date, never installed or claimed before. | A second-hand battery can’t claim. |
| Size | 5 to 100 kWh of nominal capacity, installed in one job. STCs are paid on the first 50 kWh of usable capacity. | Your quote should give the usable kWh: that figure sets the rebate. |
| Accredited installer | A Solar Accreditation Australia (SAA) accredited installer with a battery endorsement, working to AS/NZS 5139 and Victoria’s electrical safety rules. | Ask for the installer’s SAA number. How to check an installer. |
| One per property | One battery system per premises (one per grid connection, or NMI). It should stay there for the warranty period or until the end of 2030, whichever is later. | If a battery at the address has already claimed STCs, a new battery or extra modules can’t claim. |
Sungrow and Alpha ESS on the approved list
Our previous website listed Sungrow and Alpha ESS batteries, and your quote names the exact model. Here is each one’s listing and the rebate on its smallest and largest listed size installed in May–December 2026:
| Battery | Usable capacity | Approved list | Rebate now |
|---|---|---|---|
| Sungrow SBR064 | 6.4 kWh | BAT-474, listed until 30 December 2026 | $1,600 (43 STCs) |
| Sungrow SBR256 | 25.6 kWh | BAT-474, listed until 30 December 2026 | $5,400 (142 STCs) |
| Alpha ESS SMILE-G3, one module | 9.3 kWh | BAT-724, listed until 31 December 2027 | $2,400 (63 STCs) |
| Alpha ESS SMILE-G3, four modules | 37.2 kWh | BAT-724, listed until 31 December 2027 | $6,100 (161 STCs) |
| Alpha ESS SMILE-G3, six modules (three phase) | 55.8 kWh | BAT-724, listed until 31 December 2027 | $6,600 (174 STCs) |
Your installer checks all of this and creates the STCs for you.
Do you have to join a VPP to get the rebate?
No. The rule is about what the battery can do, not what you sign up for. A virtual power plant (VPP) links home batteries so they can be run together, and the Cheaper Home Batteries Program wants every new battery ready for one:
- Capable on the day it goes in: an on-grid battery and its inverter must be able to join a VPP when they are installed, or the battery earns no STCs.
- Joining is your choice: when the battery goes in, later, or never. The rebate is the same either way, because it depends only on the battery’s size and install date.
- Joining later: the Clean Energy Regulator notes it may need upgrades, and a VPP needs an ongoing internet connection.
- VPP credits are separate: anything a VPP pays you comes from that VPP’s own offer and contract, not from the government rebate.
So when you see “virtual power plant battery rebates” advertised, check which one is meant: the federal rebate needs only a VPP-capable battery, while a VPP sign-up credit is a company’s offer with its own terms. The rule in full is on the Clean Energy Regulator’s VPP page.
When does the solar battery rebate end?
The battery rebate runs until the end of 2030, but it gets smaller every six months, on 1 January and 1 July. The next drop is 1 January 2027, from a factor of 6.8 to 5.7 STCs per kWh. By July–December 2030 the factor is 2.1, and after 2030 batteries earn no STCs.
Every change to the battery rebate, 2025 to 2030
| From | What changes | STC factor | 12.8 kWh battery | 20 kWh battery |
|---|---|---|---|---|
| 1 July 2025past | The Cheaper Home Batteries Program opens: home batteries start earning STCs | 9.3 | 119 STCs | 186 STCs |
| 1 January 2026past | The factor steps down | 8.4 | 107 STCs | 168 STCs |
| 1 May 2026now | The factor falls and the size tiers start: the full factor up to 14 kWh, 60% of it to 28 kWh, 15% to 50 kWh | 6.8 | 87 STCs | 119 STCs |
| 1 January 2027next step | The factor steps down | 5.7 | 72 STCs | 100 STCs |
| 1 July 2027 | The factor steps down | 5.2 | 66 STCs | 91 STCs |
| 1 January 2028 | The factor steps down | 4.6 | 58 STCs | 80 STCs |
| 1 July 2028 | The factor steps down | 4.1 | 52 STCs | 72 STCs |
| 1 January 2029 | The factor steps down | 3.6 | 46 STCs | 63 STCs |
| 1 July 2029 | The factor steps down | 3.1 | 39 STCs | 54 STCs |
| 1 January 2030 | The factor steps down | 2.6 | 33 STCs | 45 STCs |
| 1 July 2030 | The factor steps down | 2.1 | 26 STCs | 36 STCs |
| 1 January 2031 | No STCs for batteries installed after 2030: the scheme ends | none | 0 STCs | 0 STCs |
The size tiers were announced on 13 December 2025 and started on 1 May 2026. Before then every kWh earned the full factor, so bigger batteries lost more that day: a 12.8 kWh battery went from 107 to 87 STCs, a 20 kWh battery from 168 to 119. Every step since then is a lower factor on the same tiers.
Dollar figures use $38 per STC, the top of the range the CER says agents usually pay, for every period. The number of STCs is set by the program; their dollar value in later years depends on the STC price then.
Is there a Victorian battery rebate as well?
Not at the moment. The solar battery rebate Vic homes can claim today is the federal one above. Solar Victoria no longer takes applications for its interest-free battery loans, and its battery page now covers repayments on earlier loans only. This is how battery support in Victoria has changed:
| When | What was offered | Status today |
|---|---|---|
| 2019 to 2023 | Solar Victoria’s solar battery rebates | Ended in 2023 |
| From July 2023 | Interest-free battery loans, launched with a commitment of 4,500 loans | Closed to new applications in May 2025 once its targets were met, with 20,000 battery applications approved across the rebates and loans; existing loans are still being repaid |
| From 1 July 2025 | The federal Cheaper Home Batteries Program followed | Open: the rebate on this page |
Victoria’s own rebate is for solar panels: Solar Victoria’s Solar Homes panel rebate of up to $1,400 for eligible households, through its authorised retailers, under the current rules until 30 June 2027. It needs an address that hasn’t had a Solar Homes panel or battery rebate before. Other Victorian programs for power bills and energy upgrades are on our Victorian energy rebates page.
Battery rebate ads and scams to watch for
The rebate is real, and so are ads that stretch it. The Clean Energy Regulator (CER) says battery retailers and installers must follow the Australian Consumer Law when they advertise, sell and install batteries, and that the Australian Competition and Consumer Commission (ACCC) and state and territory fair trading bodies are watching the program’s roll-out. Before you sign, look out for:
- “Rebate ends soon” deadlines. The rebate steps down every six months and runs to the end of 2030; it doesn’t stop at the next step. It follows the installation date, not the date you sign, so the CER’s advice is to confirm that the installation will be possible and the price quoted will be honoured.
- “Free battery” offers. The federal rebate aims at a discount of around 30%, and Victoria’s battery rebates and loans have closed. Ask what a “free” battery costs in total, including any finance or energy plan that comes with it, and which model it is.
- Rebate figures you can’t check. Your quote should show the number of STCs and the dollars per STC. Compare them with the table above or the calculator.
- Claims on capacity that can’t claim. Modules added to a battery that already claimed get no STCs. The CER warns: “Claiming the whole capacity of the expanded battery system may be considered fraud or making false and misleading statements to the Commonwealth.”
- Door-knocks and cold calls. Unsolicited sales have their own rules and a cooling-off period, set out in our guide to choosing an installer.
If something on a quote or an installation worries you, raise it with the seller first. The CER’s March 2026 warning to battery retailers says deceptive or misleading behaviour will not be tolerated, and that retailers who fail their obligations will be reported to fair trading bodies.
Battery rebate: your questions
Do I have to join a virtual power plant to get the battery rebate?
No. The battery and the inverter it connects to must be technically capable of joining a virtual power plant (VPP), but taking part is your choice. You can join one when the battery is installed or later, though joining later may need upgrades, and a VPP needs an ongoing internet connection. How VPPs work in Victoria
Can I claim the rebate on a battery for existing solar?
Yes. The battery can go on a new or an existing solar system of up to 1 MW, and the rebate is worked out the same way, from the battery’s usable capacity and install date. The battery and the inverter it connects to must be VPP-capable, but the Clean Energy Regulator says other inverters on site, such as your existing solar inverter, don’t have to be. Adding a battery to existing solar
Can I add more battery modules later and claim the rebate again?
Only if your existing battery has never claimed STCs. Each property can claim for one battery system, so a battery that already got the rebate can’t claim again for extra modules. If it never claimed, the added capacity can claim if it is at least 5 kWh and the total stays within 100 kWh.
Is the battery rebate the same everywhere in Victoria?
Yes, it is the same in Melbourne and regional Victoria. The battery rebate depends only on the battery’s usable capacity and the date it is installed, not on your postcode. Solar panels are different: their STCs depend on the postcode zone, so the federal discount on panels is bigger in some northern and western suburbs and most of regional Victoria. Solar rebate calculator by postcode
What if my battery is bigger than 50 kWh?
Batteries of 5 to 100 kWh (nominal) can claim, but STCs are paid only on the first 50 kWh of usable capacity, so a bigger battery gets the same rebate as a 50 kWh one. Above 28 kWh each extra kWh earns only 15% of the full rate.
Does the battery rebate go by the contract date or the install date?
The install date. The STC factor on the day the battery is installed sets the rebate, and the Clean Energy Regulator reminded retailers before the 1 May 2026 change that the rebate follows the installation date, not the day a contract is signed. If a step-down falls between the two, you get the lower rebate, so check the install date on your quote and whether the price still holds. The next step-down is 1 January 2027. Every step-down to 2030
Can I get a free solar battery in Victoria?
Not from a government program. The federal rebate aims at a discount of around 30% on an installed battery, about $3,300 on a 12.8 kWh battery installed in May–December 2026. Solar Victoria’s battery rebates ended in 2023 and its battery loans closed to new applications in May 2025. If an offer calls a battery free, ask what you pay in total, including any finance or energy plan tied to it, and which model it is. Rebate ads to be wary of
What the battery rebate means for a Melbourne home
The rebate is the same in every Melbourne suburb, so the two things you choose are size and timing. The full rate stops at 14 kWh, and Melbourne’s winter sets a limit of its own: a north-facing 6.6 kW system in Mount Waverley makes about 14.4 kWh on an average June day, against 34.9 kWh in January (PVGIS), and the house uses some of it as it goes. Past 14 kWh each extra kWh earns 60% of the rate, and from a system that size a battery that big may not fill on many winter days. On timing, the factor falls from 6.8 to 5.7 on 1 January 2027, and the install date is what counts.
Get a battery quote with the rebate applied
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Talk to us about the battery rebate
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Mount Waverley, VIC 3149