If you’re familiar with the federal battery discount (the Cheaper Home Batteries Program), there’s an important update coming. The Government has confirmed the program will be adjusted from 1 May 2026 (subject to regulations being made).
We’re here to keep it simple for you – we’ve outlined what’s changing, so you know exactly what to expect.
Quick refresher: what the program is doing now
The Cheaper Home Batteries Program provides an upfront discount on eligible battery installations, delivered through the Small-scale Renewable Energy Scheme (SRES) using Small-scale Technology Certificates (STCs). In most cases, this shows up as a discount built into your quote from a retailer/installer.
What’s changing from 1 May 2026
1) Battery STCs will move to a tiered approach
From 1 May 2026, the way STCs are applied to batteries will move to a tiered approach (subject to regulations). The aim is to better balance support across different battery sizes, so the incentive stays fair and effective as the market evolves.
2) Program settings will be adjusted to keep the incentive aligned over time
Alongside the tiering, battery STC settings will be adjusted from 1 May 2026 as part of the updated program design.
This is intended to keep the incentive sustainable and aligned with battery uptake and pricing over time.
3) The program’s funding has been expanded — and the May 2026 changes are part of that plan
The Clean Energy Regulator notes the program is being expanded from the original funding estimate (about $2.3b) to around $7.2b over the next four years, and that this additional funding includes the May 2026 STC adjustments.
What stays the same
Even with the May 2026 updates, the overall structure remains:
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It’s still a federal discount designed to make batteries more affordable.
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It’s still delivered through STCs under the SRES, typically applied by your installer/retailer as part of your quote.
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Eligibility rules and technical requirements will still be set through the program’s published criteria and regulations framework.
What this could mean for your battery plans
If you’re thinking about installing a battery:
If you want to learn more about the new battery updates – click here.
Talk to O’Brien Electrical & Plumbing Rowville
If you’re considering a battery and want help understanding how the federal incentive may apply to your home, our team at O’Brien Electrical & Plumbing Rowville can talk you through your options and what to look for in a quote!