As announced in December 2025, important changes are coming to the Cheaper Home Batteries Program, when incentives will be tiered based on the size of the battery.
The Clean Energy Regulator (CER) is keeping a close eye on battery retailers and installers as rebates are adjusted from 1 May 2026.
The CER is reminding retailers that the installation discount under the new rebates could result in a price difference of thousands of dollars.
CER Executive General Manager, Carl Binning, says retailers are responsible for providing accurate quotes that reflect the upcoming changes and for fulfilling the contracts they sign.
‘Retailers should not be promising installations before 1 May unless they are certain the installations can be completed on time,’ Mr Binning said.
‘They need to be upfront with customers, schedule work responsibly, and explain the small-scale technology (STC) changes clearly, which could mean a significant price difference for customers.’
Rebates are determined by the installation date, not when a contract is signed, and retailers are urged not to rush installations to try and beat the changes.
‘Safety is our number one priority – we inspect battery installations, and we will investigate and remove bad players from the program,’ Mr Binning said.
‘Installers are being urged to do it once and do it well.’
From 1 May the STC factor will taper according to the amount of capacity installed:
- From 0 kWh up to 14 kWh (inclusive): STC factor applied at 100%
- Every kWh greater than 14 and up to 28 kWh (inclusive): STC factor applied at 60%
- Every kWh greater than 28 and up to 50 kWh (inclusive): STC factor applied at 15%.
Mr Binning says the CER is writing to solar retailers reminding them of their obligations to customers.
‘Check your quotes, ensure that they are not out of date, and communicate the price changes to customers.
‘The advice to customers is to confirm that the installation will be possible and the price quoted will be honoured.
‘We will be watching the industry carefully during these changes.’
Deceptive or misleading behaviour will not be tolerated and retailers who fail to comply with their obligations will be reported to fair trading bodies.
We have an online calculator on our website to help people estimate the number of STCs a solar battery installation may be eligible for based on the current STC factor and future adjustments.
Contact: media@cer.gov.au or 02 6159 3448