Solar battery comparison Australia

A home battery stores your excess solar so you can use it at night. The catch is the upfront cost: $8,000 to $15,000 for a battery and inverter. Whether it pays off depends on your tariff, your usage, and the rebates you can claim.

Compare solar batteries side by side

The "after rebate" prices include the federal Cheaper Home Batteries Program, which works out to around 30% off a mid-priced battery. Prices are a rough guide to what you'd pay to install.

Finder survey: How many Australians have a home battery in addition to solar?

How much do solar batteries cost in Australia?

The cost of a solar battery system in Australia typically ranges from $8,000 to $15,000 (fully installed), with prices fluctuating based on several factors:

• Battery Capacity (kWh): Larger batteries naturally cost more.
• Brand and Model: Premium brands like Tesla or Sonnen will be at the higher end, while newer or budget-friendly brands may offer lower entry points.
• Installation Complexity: Factors like cable runs, necessary electrical upgrades, fire-rated backings, and accessibility can increase installation costs.
• Inverter Requirements: If you need a new hybrid inverter (for DC-coupled systems) or a separate battery inverter (for AC-coupled systems), this adds to the cost.
• Government Rebates: Federal and state incentives can significantly reduce the out-of-pocket expense (see next section).

Am I eligible for solar battery rebates in Australia?

Yes, you are likely eligible for some form of solar battery rebate or incentive in Australia. These schemes aim to make home energy storage more accessible and are crucial for improving the financial viability of a battery.

• Federal battery rebate: An Australia-wide rebate scheme helps lower the upfront cost of home batteries.
  • You can claim it once per household, provided you have solar installed.
  • Caps apply, with tiered rebate values that incentivise batteries sized for self-consumption. The first 14 kWh of storage receive the full rebate value, with reduced rates for additional capacity up to 50 kWh usable.
  • The rebate value often drops twice a year, so checking the latest figures is important.
• State and territory rebates & loans: Several states and territories offer additional incentives.
• Virtual Power Plant (VPP) Incentives: Some VPP providers offer upfront discounts or ongoing payments for connecting your battery to their network. This typically involves them having some control over your battery's charging/discharging.

How to compare solar batteries

• Capacity/power. Capacity is how much electricity a battery can store, while power is how much energy a battery can provide at a specific point in time. High capacity alone doesn't mean your battery will last a long time, since a higher power output could mean it lasts for a shorter duration but can power many devices at once.
• Depth of discharge (DoD). Dropping some batteries below a percentage of their maximum charge – their DoD – will damage their ability to function. A higher DoD means you can tap into more stored energy safely.
• Round trip efficiency. This is the percentage of useful energy you get out of a battery as a fraction of how much you put in to charge it. For example, if you get 9kWh out of a battery charged with 10kWh of power, it has a 90% round trip efficiency. A higher efficiency means you get more out of your battery with each charge.
• Battery life and warranty. Batteries become less and less efficient over time. Your battery will be rated for a certain number of cycles of charging and discharging. Warranty on your battery will often guarantee a certain capacity after a period of use, such as 80% of its max charge after 3,000 cycles.

What are the different types of solar battery?

While lithium-ion batteries dominate the home energy storage market, other technologies exist.

• Lithium-ion (Li-ion):
  • Description: The most common type, offering high energy density and efficiency. Includes Lithium Iron Phosphate (LFP) and Nickel Manganese Cobalt (NMC) chemistries.
  • Pros: High DoD, long lifespan (thousands of cycles), relatively compact.
  • Cons: Higher price point, some recycling challenges, can be sensitive to extreme temperatures (though modern systems have advanced thermal management).
• Lead-acid:
  • Description: Older, proven technology often found in cars and off-grid systems.
  • Pros: Much cheaper upfront.
  • Cons: Lower DoD (can be damaged if discharged too deeply), shorter lifespan, lower efficiency, slower to charge, larger and heavier.
• Saltwater:
  • Description: Non-toxic, environmentally friendly batteries using saltwater electrolytes. Currently only manufactured by a few companies (e.g., Aquion Energy).
  • Pros: Non-toxic, safe, good lifespan.
  • Cons: Very low power output, extremely bulky, lower efficiency than Li-ion, niche market presence.

What are the pros and cons?

For many Australian homeowners, a solar battery is a sound investment, but it's not for everyone. Consider these advantages and disadvantages:

Are solar batteries worth it?

Yes, solar batteries can significantly reduce your electricity bills and offer a path to greater energy independence. While the initial investment is substantial (typically $8,000 to $15,000 installed), the long-term savings often make them a worthwhile consideration for homeowners with solar panels.

How solar batteries save you money:

• Maximising self-consumption: Your solar panels often generate more electricity during the day than your home consumes. Without a battery, this excess energy is fed back into the grid for a low feed-in tariff (FiT). A battery stores this surplus, allowing you to use your own free solar power during the evening when grid electricity is most expensive.
• Time-of-use (tou) tariffs: Many electricity plans charge higher rates during peak evening hours. With a battery, you can use your stored solar energy during these expensive periods, avoiding peak charges and maximising your savings.
• Government rebates & incentives: State and federal government rebates (see section below) can significantly offset the upfront cost, improving the overall financial viability and shortening the payback period.

Where can I install my solar battery?

Most batteries are designed for either indoor or outdoor installation, with different IP (Ingress Protection) ratings indicating their resistance to dust and water.

• Inside the garage:
  • Pros: Often provides a cooler, sheltered environment away from direct sun, which can extend battery life.
  • Cons: May require bollards for vehicle protection, fire-rated backing if a habitable room is adjacent, and adherence to specific clearances.
• Outside the home:
  • Pros: Frees up indoor space, can be visually discreet.
  • Cons: Requires a weather-rated battery (high IP rating), needs protection from direct sunlight and extreme temperatures, and must comply with minimum clearance distances from doors, windows, and vents.

Safety things to know:

• CEC-Accredited installers: Always use Clean Energy Council (CEC) accredited installers with specific battery endorsement. This ensures installation meets Australian standards.
• Fire safety: While rare, lithium-ion batteries can pose a fire risk if faulty. Installers must adhere to strict fire separation and ventilation requirements. Ensure you understand emergency procedures and how to safely evacuate.
• Bypass switches: A manual bypass switch allows you to isolate the battery system if there's a fault, maintaining grid power to your home.

FAQs

• What is the difference between a solar battery and a home battery?

  A solar battery is a general term for any battery designed to store energy from solar panels, ranging from small off-grid setups to large utility-scale storage. A home battery is a specific type of solar battery designed for residential use. On Finder, when we refer to solar batteries, we are almost always talking about home batteries for residential applications.

• How long do solar batteries last in Australia?

  Most modern lithium-ion solar batteries are warranted for 10 years, with some extending to 12 or 15 years. Studies suggest they can last 12-16 years in moderate climates with daily use. Factors like ambient temperature, depth of discharge, and cycling frequency can influence actual lifespan.

• Can solar batteries catch fire?

  While extremely rare due to advanced safety features and strict installation standards (AS5139), lithium-ion batteries can, in rare circumstances, catch fire or experience thermal runaway. If a battery is smoking or burning, immediately evacuate the area, call emergency services (000 in Australia), and notify those downwind. Never attempt to extinguish a lithium-ion battery fire with water.

• Should I go off-grid with a solar battery?

  For most Australians, staying connected to the grid and adding a battery is the most economical and reliable solution. Fully off-grid systems are significantly more complex and expensive (often starting from $60,000+), requiring larger battery banks, extensive solar arrays, and often generator backup, along with ongoing maintenance.

• What size solar battery do I need?

  A 10 kWh battery can be sufficient to cover typical overnight electricity consumption for many smaller to medium-sized Australian households, especially if used efficiently. However, larger homes, those with high evening loads (e.g., electric heating/cooling, multiple EVs), or those wanting extensive blackout backup may require 15 kWh or more. The best way to determine your ideal size is to analyse your hourly electricity usage data from your smart meter.

• Do insurers cover home batteries?

  Yes, most home insurance policies can cover solar batteries. As they are hardwired into your home, they are typically covered under your home and property insurance, not contents. It is important to inform your insurer once you have installed a solar battery to ensure it is adequately covered.

• What is a 'battery-ready' solar system?

  A 'battery-ready' solar system is a grid-connected solar power system that has been designed with future battery integration in mind. This often means it has a compatible inverter (e.g., a hybrid inverter) or the necessary wiring infrastructure to easily add a battery system later without major overhauls.

• Does my electricity tariff affect how much a battery saves?

  A lot. On a flat-rate plan, a battery saves you the difference between the grid price and the feed-in tariff you give up. On time-of-use or super off-peak plans it saves more, because you can store cheap solar or off-peak power and use it when prices peak. Battery-specific plans and virtual power plants (VPPs) can boost savings further by letting you sell stored power back to the grid, though VPPs mean handing over some control of your battery.

• Can I monitor my solar battery with an app?

  Yes. Most modern systems come with a companion app that shows real-time solar production, battery charge and household usage, sends alerts for faults or grid outages, and lets you review your history or adjust settings like backup reserves. Your installer links the system to your home internet and the manufacturer's platform during setup, so flag any monitoring preferences with them at that stage.

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Written by

Alex Holderness

Head of publishing

As Finder's insurance group publisher, Alex Holderness aims to make confusing topics easy to understand. She's been published in Money Mag, Yahoo Finance, Hospital Health, and is a contributing author for Google's Startup Grind. She has a keen passion for running and is currently studying for her General Insurance certification. See full bio