Time for Solar Batteries?

One of the most common enquiries that I’ve received on a daily basis over the past few months or so has been about Battery rebates and the best Battery systems that could be integrated to the existing Solar systems.

This blog is for every common individual who have a very limited understanding of what this means for them and how they could make a decision of integrating a Battery storage solution for their home/ investment property.

This is not a technical blog, and the pure intention of this is to ensure that any one and everyone understand what’s happening in this space.

What is the Rebate program?

The Australian Labor Party has launched a comprehensive solar battery campaign aimed at accelerating the nation’s transition to renewable energy, reducing household energy costs, and enhancing grid stability. This initiative encompasses both federal and state- level programs designed to make solar battery storage more accessible and affordable for Australians.

Federal Initiative: Cheaper Home Batteries Program

At the national level, the Cheaper Home Batteries Program is set to commence on July 1, 2025. This $2.3 billion initiative offers households, small businesses, and community facilities an upfront discount of up to 30% on the purchase and installation of home battery systems. The program is an expansion of the existing Small-scale Renewable Energy Scheme and aims to support over one million new battery installations across Australia by 2030.

Key Features:

  • Rebate Value: Approximately $370 per kilowatt-hour, translating to savings between $1,850 and $18,500 depending on battery
  • Eligibility: Available to homeowners, small and medium businesses, and community
  • Compatibility: Can be combined with existing state incentives, further reducing upfront
  • Virtual Power Plant (VPP) Ready: Encourages participation in VPPs, enhancing grid

State-Level Support: Western Australia’s Residential Battery Scheme

In Western Australia, the state Labor government has announced the Residential Battery Scheme, launching by July 2025. This $387 million program offers:

  • Rebates: Up to $5,000 for Synergy customers and up to $7,500 for Horizon Power
  • Interest-Free Loans: Means-tested loans up to $10,000 with repayment periods up to 10 years.
  • Eligibility: Available to residential properties across WA, with batteries required to meet Australian and local grid
    • Batteries and inverters must be on the list of approved
    • Battery retailers and installers must be registered with the
    • Installations will need to meet technical criteria including being configured to be able to participate in a virtual power plant.
    • Batteries with a capacity of 10kwh or above, that are on the approved equipment list, are eligible for the maximum rebate of $5000 or $7500. The national average battery size is between 12-13

How do I know if this is for me?

This is, to me, the most important question. With a lot of hype about batteries floating around, it is important to not get carried away into making decisions, where there is a significant amount leaving your bank.

Coming back to the question, one of the first things to reflect on would be the Electricity bill that you pay.

If your bills are over $250 every month, it is worth considering batteries. If they are less than $250, it is only worth considering batteries if:

  1. You require power during grid outage
  2. You want to get through the peak rate time-period, if on a custom tariff

Next decisive factor would be for how long you plan to stay at the property. Batteries are a great option, if you don’t see yourself moving out for the next 5 years. Saying that, you will be able to decommission and re-install the batteries to your new property at a cost.

The final factor would be to understand that having batteries does not mean you would pay ‘zero’ electricity bills. Installing a battery does not guarantee you infinite power, and at the same time, it may not be wise to size up the batteries to cover the entire evening usage. Further, the battery charge power and discharge power also matters, and more often than not relies on the capacity of the inverter.

In simple terms, the higher the capacity of the hybrid inverter, the higher power the batteries can discharge.

The sweet spot for a Residential scenario is a 10kWh storage solution, and going beyond that would only be practical for customized requirements that include EV Charging.

How can I make this work?

Scenario 1: I have an existing Solar system!

If you have an existing Solar system (applicable for any brand) , you have three choices:

  1. Keep the existing inverter, Install a Battery Inverter and add Batteries
  2. Keep the existing inverter, and add AC coupled batteries
  3. Replace the existing inverter with a hybrid inverter and add DC coupled batteries

Scenario 2: I want to install a new system

If you want to install a brand new system, you have two recommended choices:

  1. Install a Hybrid inverter and add DC coupled batteries
  2. Install a Standard inverter and add AC coupled batteries

Scenario 3: I have an existing Solar and battery system

If you want to install additional battery storage, you have two recommended choices:

  1. Expand storage with the same brand
  2. Add separate AC coupled batteries

How do I choose what batteries to use?

It is important to factor in how you could expand your battery storage in the future. All batteries can be scaled. However, the way this can be done is different for various brands.

For instance, Tesla Powerwall batteries come as single unit storing 13.5kWh. Adding one more unit would require an additional unit, which would bring the total storage to 27kWh.

On the other hand, BYD HVM batteries come in module of 2.7kWh. They can be scaled in units of 2.76kWh and hence may be more feasible for individuals wanting a tailored solution.

Other batteries come in modules of 5kWh and can be expanded in units of 5. I recommend being able to expand modularly, as it offers a more flexible design, for an individual requiring only 10kWh or 15kWh.

There are umpteen brands of batteries, and we can recommend the best option for you based on your property specifications and the budget.

How much would I pay?

With the rebates in play from July 1st, your out-of-pocket expenses for up to 10kWh Battery solutions would range anywhere between $2,000 – $7,500, based on the size, brand and type of solution, considering both State and Federal rebates can be claimed.

The following factors will play a key role in the pricing-

  1. Supply Phase – Single or Three
  2. Retrofit or New installation
  3. Requirement of Back-up power
  4. Requirements of switchboard modifications

Who do I contact for installing my batteries!

Installing a battery for a Solar system is not everybody’s cup of tea. It requires an in- depth knowledge of Australian standards and wiring rules, to ensure that they are installed in a ‘safe area’, wired to specifications, and fulfilling all safety aspects. I highly recommend with choosing a company that is local, have inhouse Engineers and installers, as there will be situations where you require support with the battery operation.

The team at Perdaman Advanced Energy is well capable of delivering extremely high standards of installation, considering our expertise within the industry.

Get in touch with us:

W: www.perdamanadvancedenergy.com.au
E: info-pae@perdaman.com
T: (08) 9429 51111

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