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South Australia Home Battery Scheme

Since October 2018, 40,000 South Australian households have access to $100 million in State Government subsidies and $100 million in loans to pay for the installation of home battery systems.

The subsidy is available to all South Australians; however, Energy Concession Holders will be able to access a higher allowance, ensuring low-income households are supported to access the Scheme.

While the subsidy only applies to the purchase of a battery, households will be able to apply for finance made available through the Commonwealth Government’s Clean Energy Finance Corporation to purchase new or additional solar panels as well as the battery system.

The subsidy will be scaled in line with the size of the home battery system being installed and calculated on the kilowatt-hour capacity of the battery. While the subsidy will vary depending on the size of the battery, it will be capped at a maximum of $6,000 per battery installed.

Why Solahart is your best choice for advice on the South Australia Home Battery Scheme

For over 65 years, we have been setting the standard for solar systems in Australia. Our systems are designed for the harshest Australian conditions. Quality is ingrained in everything we do and our obsession with solar technologies is well documented.

Our home battery systems charge during the day using electricity generated from solar panels or from the grid when utility rates are low. It powers your home in the evening when the sun is not shining or when the utility rates are higher. 

Our solar power systems only use high-performance Solahart panels and the world’s best quality inverters. 

Meanwhile, our solar water heaters have established an unparalleled reputation for quality and efficiency. Our core range consists of roof-mounted systems and split systems, where the tanks are located on the ground. 

South Australia Home Battery Scheme

To find out more about the South Australia Home Battery Scheme, or get an accurate in-home solar assessment, just fill in your details or call 1300 721 984.

Please answer all questions to request an In-Home Appointment (Optional)

A home battery storage system typically includes a battery and an inverter, paired with existing or new rooftop solar panels.

The system works by harnessing the sun's energy during the day and storing excess energy when the sun goes down. By storing and using more of the energy generated by your solar system, your household will draw less energy from the grid, saving you money on your energy bill.

The subsidy will be scaled in line with the size of the home battery storage system installed, calculated on the kilowatt hour capacity of the battery system.

South Australian Energy Concession Holders will also be able to access a higher subsidy, helping low-income households access the Scheme.

Home Battery Scheme subsidy levels
Energy concession holder $600.00 per kilowatt hour (kWh)
All other households $500.00 per kilowatt hour (kWh)
While the subsidy will vary depending on the size of the battery purchased, it will be capped at a maximum of $6000.

The subsidy levels and the subsidy cap are expected to reduce over time as competition in the market increases and the cost of home battery systems goes down.

The subsidy from the State Government will only apply to the battery component of the system purchased.

Subject to credit approval, additional finance will be available to assist participating households pay for the balance of the home battery storage system, which may include new solar panels as well as the battery component.

Participating households will be able to borrow up to the total unsubsidised portion of the system, less a deposit (if required by the System Provider).

Further information about the finance options for households looking to access a loan and subsidy will be announced in October, when the program launches.

Home battery storage systems are not appropriate for all households.

The Home Battery Scheme website (to launch in October) will help customers consider whether a home battery storage system is suitable for them through a series of preliminary questions.

Households should seek detailed analysis from System Providers when obtaining quotes for their home battery storage system.

It is important for all households to consider whether the expected energy savings over the life of the battery will cover the cost of its purchase.

In the meantime, if you are concerned about your energy bills, you can find helpful advice and information about energy use in your home and how you may better manage it at www.sa.gov.au/energy

Alternatively, you can call the Energy Advisory Service on 8204 1888 or 1800 671 907 (free call), Monday to Friday during business hours, or you can email them at energyadvice@sa.gov.au

Yes. You don’t have to own the home you live in to access the Scheme, however you will need to obtain approval from the homeowner to have the system installed and be able to demonstrate their consent to the System Provider.

The program is being designed so that it does not exclude any household from purchasing a subsidised home battery storage system.

However, South Australian Energy Concession Holders will be able to access a higher subsidy, further assisting low-income households to access the Scheme.

How much a participating household will save on their energy bills will vary, depending on the number of number of occupants in the household, their average energy use, the size of the system being installed and their chosen finance options.

It is important for all households to consider whether the expected energy savings over the life of the battery will cover the cost of its purchase.

Households should seek detailed analysis from System Providers when obtaining quotes for their home battery storage system.

The purchase of a home battery storage system may include new solar panels as well as a battery storage component - however, the subsidy from the State Government will only apply to the storage component of the system.

Battery systems that are eligible under the scheme will be required to be virtual power plant (VPP) capable, and are likely to include a number of components:

  • battery module(s)
  • battery inverter
  • hybrid inverter
  • current sensor
  • smart controller / mete.

A ‘VPP capable’ system:

  • includes communications and control functions that extend beyond basic battery system functions, and may include additional components
  • need not be connected or registered in an existing VPP, but will be capable of registering to a VPP (now or in the future) with minimal or no additional hardware
  • once registered to a VPP, will be able to respond to remote commands, allowing the battery to be deployed as part of a coordinated fleet of residential storage systems that can earn money by providing energy and grid services.


Minimum technical specifications have been developed to ensure the batteries are safe, reliable and capable of being recruited into a virtual power plant.

Key eligibility requirements of battery systems under the scheme include:

  • the system must use CEC-approved inverters
  • the system must be designed and installed by a CEC-accredited designer/installer (including battery endorsement), making use of CEC battery install guidelines for accredited installers (industry best practice)
  • the system must have a minimum storage capacity of 2.5kWh, with no upper limit on capacity
  • the installed system must have a minimum 5-year warranty wrap including workmanship, with the battery component having a warranty for a minimum of 7 years (under daily cycling application)
  • the system will be VPP-capable, meeting defined requirements for communications and remote control and readily able to be deployed in a future VPP
  • the provider of the system must be a CEC Approved Solar Retailer
  • providers must seek approval under the scheme for the battery systems they wish to install.

No. The subsidy is only available for grid-connected solar households. A requirement of the subsidy is that home battery storage systems are capable of being part of a virtual power plant.

A virtual power plant is created by a network of home solar panels and battery storage systems all working together to generate, store and feed energy back into the grid.

Energy from the home solar panels and battery system installed as a part of this virtual power plant provides electricity for the house on which it’s installed. Any excess energy generated by the system is automatically dispatched to the grid. This dispatched energy is centrally controlled to meet the needs of the grid, providing additional energy to the rest of the state, when it is required.

Virtual power plant (VPP) capable means the home battery storage system can – either at the outset, or at a future point in time – be operated under an aggregation model, meaning the home battery storage system could be enrolled as part of a VPP program, or remain non-aggregated.

Some of the benefits of including VPP capable systems in the scheme include:

  • households will have choice of VPP products, some which may require low or no upfront costs
  • increasing storage/generation in the energy market – reducing the state’s energy demand peaks and therefore potentially providing benefits to all South Australian customers, not just those who receive the subsidy.

Not necessarily.

However, it is anticipated that retailers who offer eligible batteries as part of a virtual power plant program will be able to register as System Providers. If you choose such an option, in this instance, a condition of purchasing the home battery storage system may be that the System Provider becomes your energy retailer.

Eligible South Australians on low or fixed incomes can apply for help with the cost of energy bills. The concession amount is indexed each financial year. For 2018–19, you may be eligible to receive up to $223.01 to cover both electricity and gas payments (including LPG bottled gas). For more information, visit: www.sa.gov.au/topics/care-and-support/financial-support/concessions/energy-bill-concessions

It is also strongly recommended that households contact their retailer when facing difficulty paying electricity bills. Retailers will work with customers regarding repayment of their bills, and may be able to offer a discounted rate if requested.

More information about the eligibility criteria and how to apply can be found online at
www.sa.gov.au/topics/care-and-support/financial-support/concessions/energy-bill-concessions

Alternatively, you can call the Concessions SA hotline on 1800 307 758.

No. The subsidy will be determined by your eligibility at the time of purchase?

Yes.

The purchase of a home battery storage system may include new solar panels as well as a battery storage component however, the subsidy from the State Government will only apply to the storage component of the system.

Yes, the subsidy can be applied to more than one property owned by the same person.

The Home Battery Scheme is quite different to Tesla’s virtual power plant and other virtual power plant programs currently being trialled in South Australia.

A key difference between the government’s Home Battery Scheme and Telsa’s virtual power plant is that households accessing the Home Battery Scheme will be able to choose from a variety of home battery storage systems and they will own the system.

More about Tesla’s VPP…
Tesla with support from the South Australian government is developing a network of at least 50,000 home solar panels and Powerwall battery systems across South Australia - all working together to form the world’s largest virtual power plant. It is currently in its trial phases, but as a whole it will add up to a 250 megawatt power plant, providing a new source of energy for the state.

Subject to the success of the trials and private investment, the full program will be rolled out to 24,000 public housing properties and 25,000 private properties from mid-2019.
Tesla is responsible for the installation of the systems and participating households agree to have home energy systems comprising of a 5kW rooftop solar system, a 5kW/13.5kWh Tesla Powerwall battery and smart meter installed at their home.

Households interested in participating in the program can register their interest at www.virtualpowerplant.sa.gov.au