The Federal Battery Rebate Incentive is Now Available
The Federal Battery Rebate Incentive is Now Available
Posted 10 Jun
The NSW Government have announced that they will be ending the NSW Battery Rebate (Peak Demand Reduction Scheme) which will no longer be available from June 30th, right before the Cheaper Home Batteries program begins.
NSW Battery Rebate Suspended
Since November of 2024, homes and businesses have been able to take advantage of a NSW battery subsidy, that was designed to reduce the initial cost of battery storage and help balance grid demand and supply throughout New South Wales.
The NSW Government has now officially determined that the NSW state and Federal battery rebates cannot be combined as the Peak Demand Reduction Scheme will no longer be available from June 30, just before the Federal battery subsidy starts.
As disappointing as the NSW battery rebate ending is for those looking into battery units, the Federal battery incentive will still enable home and businesses to get discounts on battery storage. The Government also mentioned that the Virtual Power Plant (VPP) rebate will almost double, which can also be combined with the Australian Federal battery subsidy.
When the NSW Battery Rebate or Peak Demand Reduction Scheme (PDRS) was initially announced, a first-term Labor Government promised NSW residents to get access to battery storage discounts on first-time battery investments from 2-28 kWh.
Since the release of the PDRS battery rebate scheme, properties in NSW have taken advantage of discounts as intended from the scheme. From the time the State battery incentive was announced to now, the Government's renewable energy strategy seems to have shifted, with the Australian Government releasing a nation-wide incentive, similar to the PDRS.
This shift has enabled all Australians to access battery storage installation discounts, just like the most well-known solar rebate. Whilst it is disappointing for NSW residents who were looking to double-dip, we see it as a win, as the Federal Government are now incentivising renewable energy systems just like this.
The Australian Government have announced that they will be suspending the Peak Demand Reduction Scheme, which means that you will not be able to combine and claim both the State and Federal battery subsidies.
If you've been quoted with the inclusion of both the State and Federal battery subsidies, please note that this cannot be done. If we have provided you with a quote, please contact us, and we will amend your quote to accommodate these changes.
Customers interested in battery storage will now need to choose between the Cheaper Home Batteries program (Federal subsidy), or the Peak Demand Reduction Scheme (PDRS) (State subsidy).
If you're interested in how much both the State and Federal battery subsidies are worth, let's compare Tesla Powerwall 3 and how much you
could save on a 13.5 kWh battery. (Prices are indicative and are subject to site inspection).
Estimated savings Tesla Powerwall 3 on the State's Peak Demand Reduction Scheme. (Prices are indicative).
Estimated savings Tesla Powerwall 3 on the Federal Cheaper Home Batteries Program. (Prices are
indicative).
Connecting your home battery to a Virtual Power Plant (VPP) allows you to gain rebates which will increase by almost double from July 1, 2025.
For a 27kWh battery, the VPP rebate value will increase from $700 to around $1500. For a 10kWh battery, you can claim around $550 for your rebate.
Whilst technically not a rebate, the Peak Demand Reduction Scheme, or better known as the NSW battery rebate was designed to enable NSW homes and businesses get installation discounts on battery storage.
The battery scheme included an installation discount, and a Virtual Power Plant rebate to incentivise more battery owners to help balance grid imbalances.
With the Cheaper Home Batteries Program becoming available on July 1st, 2025, the NSW PDRS incentive will no longer be available to claim from June 30th, 2025.
The Cheaper Home Batteries program is an Australian Government funded battery storage subsidy, to incentivise homes and businesses to invest in solar batteries.
The program starts 1st of July 2025, and is designed to be a part of the Small-Scale Renewable Energy Scheme (SRES), where schemes incentivise properties across Australia to invest in renewable energy systems like rooftop solar, water heaters, and battery storage.
Whilst battery customers can't combine the State and Federal battery incentives, the Australian Federal battery subsidy delivers increase discounts compared to the PDRS State incentive
Compare the difference between Sungrow's SBH and SBR battery storage vs. BYD Battery-Box and find what battery is better for homes or businesses in NSW.
The NSW Government have announced that the NSW Battery Rebate (PDRS) will be suspended on June 30th, 2025, and will no longer be available.
Explore Australia's Federal Government solar battery rebate subsidy like eligibility, approved batteries, requirements, and more about the upcoming incentive.
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