If you have been hearing more about home battery systems then it’s probably because of a new Labor government initiative that’s set to make solar power more affordable for Australian home owners. But if you’re wondering what a home battery actually is, how it works and whether The Cheaper Home Batteries Program will actually made solar more affordable, keep reading.
How does a home battery work?

A home battery, also known as a solar battery, is an energy storage system that stores excess energy from solar panels for later use.
Due to Australia’s sunny climate, our solar panels generate a lot of power in the middle of the day, leading to excess solar power being sent into the system. The problem with this is that most of us actually need power when the sun goes down—when we are getting home from work and running the dishwasher and washing machine. This leads to more pressure being placed on the greater system and not enough households making use of their solar energy.
A home solar battery system however, allows households to store excess solar power that is generated during the day for use at night or at other times they may need to use it—such as during a power outage.
What is the home battery subsidy?

Delivered through the existing Small-Scale Renewable Energy Scheme, the Labor government’s new Cheaper Home Batteries Program will see Labor reduce the price of home batteries by 30%. The subsidy will be available to those households who already have solar panels, as well as those who are yet to to install their solar and battery system.
“The Cheaper Home Battery Program will usher in one of the biggest changes in the energy sector since the introduction of solar,” says John Grimes, Chief Executive of Smart Energy Council.
“Solar is the cheapest form of power generation in Australia by a country mile, and it’s getting cheaper, now households can store that cheap solar and use it when they need it.”
According to Labor’s modelling, the new subsidy could see households with existing solar save $1,100 on their power bill and around $2,300 off the power bill of those installing it new.
“Until now many households have been priced out of buying a home battery, but we expect this rebate will mean 100,000 people will now get one. This will in turn bring down the cost of batteries for everyone,” explains Grimes.
“Batteries will help people regain control of their power bill, stabilise the grid, and allow the exit of coal and gas to continue.”
How much are solar batteries?
The price of a solar battery can vary but Grimes says that households can generally expect to pay between $5000 and $10,0000—before the rebate.
“There are around a dozen 5-7kWh batteries for sale in Australia now, ranging in price from between $5000 to $10,000. That’s before the 30 percent rebate from the federal government, or other state or territory subsidies,” Grimes explains.
It’s also good to know that solar batteries typically come with a ten year warranty.
What size home battery do I need?

While every household has different energy needs and demands, most households would find a 5-6kWh battery suitable.
“There are 77 home batteries on the market in Australia, that’s a large range for households to choose from,” explains Grimes.
“We surveyed almost 10,000 energy users and found that a 5-6kWh battery would meet 90 percent of their needs.”
Are home batteries safe?
If you are concerned about the safety of a home battery then you should be reassured that they are perfectly safe to have installed in your home.
“Before batteries can be sold in the Australian market they must be on an approved product list—a regime that includes testing and meeting of standards. On top of that, solar battery installers must complete specific training with Solar Accreditation Australia,” confirms Grimes.