BatteryCheaper Home Batteries rebate 2026 explained (including the January 2027 step-down)
Updated 17 October 2026 · General information only, not personal financial or electrical advice.
How the rebate works
The federal "rebate" isn't a cheque. An eligible battery creates small-scale technology certificates (STCs), and your installer or retailer usually sells those certificates and takes the value off your price up front (Clean Energy Regulator).
- Eligible batteries: 5–100 kWh nominal capacity.
- Capacity that earns STCs: only the first 50 kWh of usable capacity (DCCEEW).
The formula
STCs = usable kWh × STC factor, applied in tiers from 1 May 2026: - 100% on the first 14 kWh - 60% on 14–28 kWh - 15% on 28–50 kWh
Results are rounded down.
STC factor timetable (Clean Energy Regulator)
| Install period | Factor per usable kWh |
|---|---|
| Jan–Apr 2026 | 8.4 |
| May–Dec 2026 | 6.8 |
| Jan–Jun 2027 | 5.7 |
| Jul–Dec 2027 | 5.2 |
| Jan–Jun 2028 | 4.6 |
| Jul–Dec 2028 | 4.1 |
| Jan–Jun 2029 | 3.6 |
| Jul–Dec 2029 | 3.1 |
| Jan–Jun 2030 | 2.6 |
| Jul–Dec 2030 | 2.1 |
Worked examples
These assume an STC price of A$38. The price moves with the market, so treat the dollar figures as estimates.
| Usable kWh | STCs, 2026 (×6.8) | ≈ A$ | STCs, Jan 2027 (×5.7) | ≈ A$ |
|---|---|---|---|---|
| 10 | 68 | 2,584 | 57 | 2,166 |
| 13.5 | 91 | 3,458 | 76 | 2,888 |
| 20 | 119 | 4,522 | 100 | 3,800 |
| 28 | 152 | 5,776 | 127 | 4,826 |
The 2026 STC counts match the worked examples published by Energy Merchants. The 2027 figures apply the same formula with the 5.7 factor.
What the January 2027 step-down means for you
- The drop: a 20 kWh battery installed in 2027 earns about 19 fewer STCs, roughly A$700 at A$38 (estimate).
- What counts is the install date. Eligibility depends on when the battery is installed and certified, not when you sign the contract (DCCEEW).
- Don't rush. A rushed, oversized or overpriced system can easily cost more than the rebate you'd lose by waiting. Rebates are designed to keep the discount at around 30% as battery prices fall (CER).
Quick sanity check on any quote
- Does the quote show the STC count and the price per STC?
- Is the STC count based on usable kWh?
- Does it use the factor for your install date?
Run it on your own quote. The BatterySorted calculator works out STCs for your battery and install period, shows what you'd get if you waited, and flags rebate figures that don't add up. See the tools →
General information only. This is not personal financial or electrical advice. Rules can change, so check current figures at cer.gov.au.