Solar Citizens has analysed the ALP Government’s proposed Cheaper Home Batteries program and found that it would deliver solar households savings of between $5,500 and over $14,000, depending on the state or territory, within ten years.
As announced by Prime Minister Anthony Albanese on 6 April, the Cheaper Home Batteries Program would offer households with rooftop solar around 30% up-front discount off the cost of a home battery, to be delivered through the same government scheme - Small-scale Renewable Energy Scheme (SRES) - that has helped millions of Australian households install rooftop solar. The federal scheme would be available on top of existing state and territory household battery incentives.
The goal of the program is to drive a million home batteries to be added into the National Energy Market by 2030, which will push down peak demand and reduce the cost of energy for everyone.
Solar Citizens CEO Heidi Lee Douglas said:
“The Cheaper Home Batteries program is a smart, practical move to slash energy bills for solar households and bring down the cost of electricity for everyone.”
“Commitments to provide upfront support for the cost of batteries have also been made by the Greens and a range of Independent candidates.
“This election, the Coalition has ignored the easiest and cheapest way to bring down energy bills - which is support for rooftop solar and batteries. It is up front rebates that have driven Australia’s high uptake of rooftop solar - through a rebate scheme initiated by the Howard government which has largely enjoyed bipartisan support for decades.”
The Calculating Household Savings Under the Cheaper Home Batteries Program analysis looks at costs and savings scenarios for solar 4-person households in Adelaide, Sydney, Brisbane and Melbourne with 6, 8 and 10kW batteries and finds that installing a 10kWh battery would result in substantial cost savings over the lifetime of the battery (which is calculated at ten years of warranty period):
|
For 10kWh Battery |
Adelaide |
Sydney |
Brisbane |
Melbourne |
|
Up front cost, less rebate |
$5,369 |
$5,369 |
$5,369 |
$5,369 |
|
Battery Pay-back time |
4.12 years |
4.27 years |
5.43 years |
7.39 years |
|
Net savings over battery life (10 years warranty) |
$14,180 |
$13,509 |
$9,466 |
$5,524 |
Additional financial support for home batteries through state and territory initiatives that can be added to the Federal program to boost savings further are listed in the report.
“Ten million Australians now live in homes with rooftop solar, and share that solar energy with their neighbours during the day, slashing everyone’s daytime power bills,” said Ms Douglas.
“Through a Federal Home Batteries rebate Aussie householders would be financially supported to add a home battery so they and their neighbours can benefit from cheap, clean solar energy day or night.
“We call on Peter Dutton and the Liberal Party to match or better the ALP’s Cheaper Home Batteries policy.
“Household batteries make much more sense to Australians than expensive and highly questionable nuclear energy plans. Gambling on reductions in gas prices is a mirage that won’t bring down home energy costs. Renewable energy backed by batteries is the clearest, surest pathway to cheaper home energy bills.”
“If the Cheaper Home Batteries program is implemented after the Federal Election, it presents a perfect opportunity for people currently without rooftop solar, including in low to mid-rise apartments, to add rooftop solar and a battery, to make use of both types of subsidy, and couple them with any state-based battery support.”
Full analysis - Calculating Household Savings Under the Cheaper Home Batteries Program