Dr Gordon Reid and Ryan Howard inspect the Mangrove Mountain Community Hall Tesla battery.

9 April 2025

 

THE $2.3 billion Cheaper Home Batteries Program will roll out as from 1 July 2025, reducing the cost of a typical installed battery by 30 per cent – with over one million new batteries expected by 2030.

 

Analysis by the Department of Climate Change, Energy, the Environment and Water shows a household with existing rooftop solar could save up to $1,100 off their power bill every year, and a household installing a new solar and a battery system could save up to $2,300 a year – up to 90 per cent of a typical family electricity bill.

 

This will help households reduce reliance on the grid – and take back control of their power bill.

 

Federal Member for Robertson, Dr Gordon Reid said: “A re-elected Federal Labor Government will make buying a household battery cheaper and more accessible.

 

“I know that many people on the Central Coast have raised household battery costs as a concern for them, and a barrier."

 

There have been four million rooftop solar installations across Australia. One in three Australian households now have solar – but only one in forty households have a battery.

 

Through our scheme, households will be able to purchase a typical battery with a 30 per cent discount on installed costs – saving around $4000 on a typical battery.

 

The battery will be installed at home and store power from solar panels for the household to use when needed.

 

The discount will be delivered through the existing Small-scale Renewable Energy Scheme – the same program that has successfully and safely been delivering solar subsidies since 2011.

 

It will help push down peak demand with fewer homes needing to be on the grid at one time, pushing down prices for everyone.

 

Minister for Climate Change and Energy Chris Bowen said: “The sun doesn’t always shine – but households and businesses having batteries means we can keep solar energy on tap and keep energy bills down consistently.

 

“The contrast is clear – a re-elected Albanese Government will take pressure off household energy bills, while Peter Dutton’s Liberals will spend $600 billion on a nuclear plan that drives power bills up.

 

“We’ve already hit 46% renewable energy under Labor and we’re on track to hit 82% renewable energy by 2030. We can’t afford to risk this progress.”

 

Small businesses and community facilities will also be able to access the subsidy, with support for up to 50 kWh of batteries sized up to 100 kWh eligible.

 

This is part of Labor's plan for households and businesses to benefit from cheaper, cleaner power:

 

• More Direct Energy Bill Relief: an additional $150 direct energy bill relief for every household and around one million small businesses from July 1.

 

• $1 billion Household Energy Upgrades Fund: provides existing low-cost finance options to reduce up-front costs to assist people to upgrade their homes with modern energy efficient appliances and other energy efficient improvements.

 

• $800 million Social Housing Energy Performance Initiative: to reduce energy bills for people in social housing, keep homes more liveable all year round and lower emissions.

 

• $100 million Community Energy Upgrades Fund: supporting energy upgrades at community facilities, cutting emissions and driving down bills – such as upgrading energy-efficient lighting and battery storage at sporting fields, libraries and community centres.

 

Labor's plan is in stark contrast to Peter Dutton, who will cut critical services to pay for his $600 billion nuclear plan, driving up household energy bills by up to $1,200.

 

The Department of Climate Change, Energy, the Environment and Water provided analysis to the Government before the caretaker period commenced. This $2.3 billion investment is a decision of government reflected in the 2025-26 Budget.

 

Key facts on Labor's Cheaper Home Batteries program:

 

• Labor will reduce the cost of a typical installed battery by 30 per cent, cutting around $4,000 from the upfront cost of an 11.5 kWh battery – a typical size for a household.

 

• The discount will be applied on installing virtual power plant (VPP)-ready battery systems alongside new or existing rooftop solar until 2030. It will reduce over time in line with expected battery costs.

 

• This will be done using the same tried-and-tested system we have used safely and successfully for rooftop solar since 2011 – the Small-scale Renewable Energy Scheme.

 

• By helping the grid work better, people without batteries will see modest savings even without buying a battery.

 

• The discount can be combined with existing state schemes and other federal initiatives.

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