NSW Govt. Solar Battery Rebate

Claim Peak Demand Reduction Scheme Now!

The Peak Demand Reduction Scheme (PDRS) helps reduce peak electricity demand in NSW by offering eligible homeowners up to $2,800 in solar battery rebates.
Take advantage of this limited-time opportunity to save on your energy costs while contributing to a sustainable future!

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What is Peak Demand Reduction Scheme (PDRS)?

The Peak Demand Reduction Scheme (PDRS) aims to reduce peak electricity demand in NSW.

To reduce demand, the scheme is providing financial incentives to households and businesses to reduce energy consumption during hours of high peak demand for:

residential batteries
air conditioners
pool pumps
large heat pump water heaters
commercial refrigerated cabinets.

By reducing electricity consumption of households and businesses when demand is high, we’ll help lower the cost of electricity and reduce the risk of power outages in NSW. This will help households and businesses in NSW save around $1.2 billion on their bills between 2022 and 2040.

By shifting the times when electricity is used and using more renewable energy generation in the system, we’ll help hit NSW targets of reducing emissions by 70% by 2035 and achieving net zero by 2050.

The latest Peak Demand Reduction Scheme Rule

The PDRS Rule was published on 6 September 2024.

We’ve made changes to existing activities, including:

limiting the commercial water heater activity to larger units that cannot receive Small Scale Renewable Energy Scheme incentives
remove the removal of old fridges and freezers activity
remove the installation of high-efficiency motors activity
revising the baselines and calculations for installing high-efficiency pool pumps.

These changes will commence on 1 August 2024.

We’ve also introduced new incentives for households and small businesses to install and operate residential batteries. These incentives will support:

installation of a new behind-the-meter battery energy storage system (BESS)
participation in a Virtual Power Plant (VPP) to allow partial dispatch of your battery when it’s needed to support the grid.

These changes will commence on 1 November 2024.

On 6 September 2024, an updated PDRS Rule was published that amends the equipment requirements for the battery incentives that commence on 1 November 2024.

What is eligible for NSW Battery Incentives?

Under the PDRS, you can claim Peak Reduction Certificates for the following types of battery activities:

New battery installation
Connecting a battery to a VPP

Customers may be eligible to claim both rebates.

Eligibility for New Battery Installation Rebates

To qualify for a rebate on new battery installations, the following conditions must be met:

Property Type: The installation must take place at a residential or small business location.
Solar PV System: The site must already have a solar PV system or be installing one alongside the battery.
Existing Battery: The property must not have any existing battery installed, as identified by the National Meter Identifier (NMI).
Battery Capacity: The total capacity of the battery system must be under 28kWh, even if multiple batteries are installed.
Battery Specifications:
- The battery model must appear on the Clean Energy Council’s approved list.
- Each battery should have a capacity between 2kWh and 28kWh.
- It must be compatible with Virtual Power Plant (VPP) connectivity.
- The battery must adhere to specific warranty requirements.

Rebate Table

Rebate Information

Rebate 1 - New Battery Installation

Battery Type	Battery Capacity (kWh)	PRCs Created	Rebate
Tesla Powerwall 2	13.5	1077	$1,723
AlphaESS SMILE	5.04	401	$641
LG RESU 10	9.8	782	$1,251

Rebate 2 - Connection of a New or Existing Battery to a Virtual Power Plant (VPP)

Battery Type	Battery Capacity (kWh)	PRCs Created	Rebate
Tesla Powerwall 2	13.5	163	$195
AlphaESS SMILE	5.04	60	$72
LG RESU 10	9.8	119	$141

FAQ

What Is The Australian Government Solar Battery Rebate?

The Australian Government offers various incentives to encourage the adoption of solar energy and battery storage systems, aiming to reduce greenhouse gas emissions and promote renewable energy use. These incentives are available at both federal and state levels, each with specific eligibility criteria and benefits. Contact us for more details.

How Much Is The Solar Battery Rebate?

The New South Wales (NSW) Government offers a solar battery rebate to encourage the adoption of energy storage systems among residents and small businesses. This initiative, part of the Peak Demand Reduction Scheme (PDRS), provides financial incentives to reduce the upfront costs of installing solar batteries.

Rebate Amount:

Upfront Installation Discount: Eligible participants can receive a discount ranging from $1,600 to $2,400 on the installation of a new solar battery. The exact amount depends on the battery’s usable capacity, with larger batteries qualifying for higher discounts.

Virtual Power Plant (VPP) Incentive: An additional incentive of $250 to $400 is available for connecting the installed battery to a VPP. This incentive can be claimed twice, with a minimum interval of three years between claims.

Does NSW Have A Solar Battery Rebate?

Yes, the New South Wales (NSW) Government offers a solar battery rebate to encourage the adoption of energy storage systems among residents and small businesses. This initiative, part of the Peak Demand Reduction Scheme (PDRS), provides financial incentives to reduce the upfront costs of installing solar batteries.

Which Solar Battery Is Best For Home?

The best solar battery for home use depends on factors like budget, energy needs, backup requirements, and system compatibility. Here are some of the top-rated solar batteries available in Australia and globally:

1. Tesla Powerwall 2

Capacity: 13.5 kWh
Price: ~$16,200 (installed)
Chemistry: Lithium Nickel Manganese Cobalt (NMC)
Warranty: 10 years
Key Features:
- High capacity, suitable for whole-home backup.
- Can stack multiple units for greater storage.
- Seamless integration with Tesla solar systems.
- Advanced software and monitoring through the Tesla app.
- VPP-ready (Virtual Power Plant compatible).
- 90%+ round-trip efficiency.

Why Choose It: Industry-leading brand, high capacity, and excellent software integration.

2. LG Chem RESU 10H Prime

Capacity: 9.8 kWh
Price: ~$10,000 – $12,000 (installed)
Chemistry: Lithium Nickel Manganese Cobalt (NMC)
Warranty: 10 years (60% capacity retention)
Key Features:
- Compact and space-efficient design.
- Compatible with most major solar inverters.
- High discharge rate, making it ideal for home backup.

Why Choose It: Reliable and compact with a strong warranty, suitable for most homes.

3. Sungrow SBR Series

Capacity: 9.6 kWh (expandable up to 25.6 kWh)
Price: ~$9,000 – $12,000 (installed)
Chemistry: Lithium Iron Phosphate (LFP)
Warranty: 10 years
Key Features:
- Modular design for scalability.
- Lower cost per kWh compared to Tesla.
- Safe and long-lasting LFP chemistry.
- High round-trip efficiency (up to 98%).

Why Choose It: Affordable, scalable, and great for expanding energy needs over time.

4. BYD Battery-Box Premium LVS

Capacity: 4 kWh per module (stackable up to 256 kWh)
Price: Starting from ~$6,000 (for small systems)
Chemistry: Lithium Iron Phosphate (LFP)
Warranty: 10 years
Key Features:
- Extremely flexible and scalable.
- High safety rating with LFP chemistry.
- Compatible with a wide range of inverters.

Why Choose It: Modular design allows for customized capacity based on your needs.

5. AlphaESS Smile 5

Capacity: 10.1 kWh
Price: ~$10,000 – $14,000 (installed)
Chemistry: Lithium Iron Phosphate (LFP)
Warranty: 10 years
Key Features:
- Integrated inverter and battery system.
- Compact and all-in-one design.
- VPP-ready and easy monitoring through app integration.