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Solar Rebates
Solar Rebates
Written by
Rachel Gregg
Edited by
Ellie Garran
Reviewed by
Julia PaszkaCompare Electricity & Gas Plans
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Can I get a rebate for installing solar at my property?
Long story short
Rebates make going solar easier
Government rebates and incentives can help reduce the up-front cost of installing solar panels or a home battery system.
STCs can put money back in your pocket
Under the Small-Scale Renewable Energy Scheme, you could earn certificates that you can then trade for savings.
Discounts are usually handled for you
Most rebates and discounts are handled by accredited agents and go right onto your up-front bill, no paperwork needed from you.
Can I get a rebate for installing solar at my property?
Thanks to the Federal Government’s Renewable Energy Target, Australia is chasing an extra 33,000 gigawatt-hours of renewable electricity each year until 2030. While some of this can be achieved by large-scale infrastructure projects, like offshore wind farms, there’s plenty of solar energy ripe for the picking in everyone’s backyard. And solar panel rebates are just the cherry on top.
At a national level, there are rebates under the Small-Scale Renewable Energy Scheme. It’s a handy incentive to get homes and businesses installing small-scale renewables, like rooftop solar and solar water heaters. Depending on your system and where you live, you could get a nice portion of the up-front costs back. There’s also a discount for homes that want to take their solar setup to the next level with a solar battery.
On top of this, your state or territory might have incentives to throw in, like rebates for a solar system or an interest-free loan, to help you go solar.
What solar rebates does the Australian Federal Government offer?
Small-Scale Renewable Energy Scheme
Installing solar already comes with perks, like lowering your energy bills and shrinking your carbon footprint. But the Small-Scale Renewable Energy Scheme (SRES) throws in a little financial bonus too. But it’s not just straight-up cash like other rebates. What you’ll get are small-scale technology certificates (STCs) based on how much electricity your system could generate or displace over a certain period. One STC is equal to one megawatt hour (MWh).
Since energy retailers need to buy a set amount of these certificates each year as part of the Renewable Energy Target, there’s a steady market for STCs. So, you can choose to sell your STCs yourself or let an agent do the legwork. Either way, you’ll earn some cash back for doing your part in making a greener future.
Eligibility
The SRES is open for homes and businesses, but you can’t just pick any old solar system to make some STCs. There are a few different criteria you need to meet. These include the size of the system, and using components approved by the Clean Energy Council, through to having it installed by an accredited installer. The easiest way to tick all those boxes is to have a registered agent or installer help with your quote and plans. They’ll help you with the paperwork and make sure you’re not left with panels you can’t claim for.
How to apply
Once you’ve picked out solar panels that match your needs and the eligibility requirements, it’s time to talk STCs. You have up to 12 months to claim your certificates, and most people opt to do so via a registered agent. They’ll figure out the details, help make the purchase, and apply the discount up-front, so you can see that nice debit on your bill.
However, you may want to shift your to-do list around and jump in on this scheme sooner rather than later. It’s set to end in 2030.
Cheaper Home Batteries Program
Around four million Aussie homes have solar panels, but only about one in 40 of these solar homes have a battery to go with them. That’s where the Cheaper Home Batteries Program comes in, offering a 30% discount on the up-front cost of a home battery, which is great news for your wallet. The program helps take the sting out of that first installation bill, so you can store and use up all that solar power even when the sun clocks off. When you consider the fact that average solar batteries can set you back several thousand dollars, that 30% off isn’t just helpful, it’s a game-changer.
Eligibility
The Cheaper Home Batteries Program is available for any batteries connected to a new or existing solar panel system. In the same way that STCs work, the size and output of your battery will determine whether you’re eligible or not.
How to apply
The best part about this rebate might be the nice discount, but what’s even better is that you don’t need to lift a finger to claim it! The rebate discount should be organised by your installer and popped into your up-front bill (unless you decide to take care of it yourself.)
What are the solar rebates in my state?
It’s not just about federal rebates – a lot of states are jumping on the solar train, too. Depending on where you live, you could see a few extra discounts and rebates for your solar panels or batteries. So, making the switch to solar won’t just feel like a good move for the environment, but a good decision for your wallet too.
How much could the government solar rebates help me save?
No good deed should go unrewarded, but your reward for installing a solar system can vary. It comes down to personal circumstances, including how much you spent on getting solar installed and the number and value of STCs you generate. Most Australian households can see these rebates knock around $1,800 to $3,000 off their up-front installation bill.
Not sure how many STCs you’ll get? You won’t be completely in the dark. The Clean Energy Regulator has a calculator you can use to figure out your STCS for your solar panels or batteries. Then it’s just a matter of checking the price of your STCs. When sold by agents, they tend to go for $33–$38, while the price for selling them yourself through an STC clearing house is set at $40 (excluding GST).
A little bit of number crunching and you could be looking at hundreds or possibly thousands back in your pocket.
Fictional example: Shannon’s solar system
Shannon installs a 7 kW solar system at her Melbourne home on 1 August 2025 for $8,000. Based on its energy generation up to the end of the scheme in 2030, she gets 41 STCs. She sells them through an agent who gets her $35.50 for each STC, so she gets $1,455 back.
Later, Shannon decides to install a 10 kW solar battery to help keep up with her three teenage sons (and their energy-hungry gaming setups). With the Cheaper Home Batteries Program 30% discount, her battery, originally priced $9,500, comes down to $6,650.
So, her entire solar system installation cost (panels and all) has gone from $17,500 down to $13,195.
Is it still worth getting solar?
It’s unlikely that your STCs will fully pay off your solar system. So, you may need to press pause on getting solar until you’ve considered it all a little more closely.
The general rule of thumb is to pick a system that pays for itself within about five to 10 years. Ideally, you reduce your need to purchase electricity from the main grid and sell excess electricity at a set feed-in tariff (FiT). How much this ends up being can depend on lots of factors and how you balance them.
To put it in perspective, after the rebate, a 2 kW system can set you back anywhere from $3,000 to $4,500, while a 10 kW one could be more in the range of $8,500 to $13,000. If you aren’t using that much electricity during the day, a smaller system might help maximise your self-consumption, rather than relying on FiTs.
On average, a typical Victorian household could save $1,000 a year by getting solar. Over 10 years, that’s $10,000, which could be half the cost of a top-of-the-range system. Things might look a little better if you sell some STCs after the install, but it still might not cover everything.
This is where you might need to start thinking about solar system lifespans. Each component of your system has a different average use life, a little like how you need to replace your car’s tyres more frequently than the engine. While the panels may last up to 30 years, the inverter or battery might call it quits after only 10. So, if your payback period stretches past that, you might find it’s a case of one step forward, two steps back.
If this has all left you scratching your head and throwing solar into the too-hard basket, don’t worry. Chatting with a few solar system retailers and installers can help you get quotes and a clearer idea of how long your system might take to pay itself off.
Helpful tip
Feed-in tariffs (FiTs) can be a nice bonus on top of your solar savings. But the real savings and payback come from using the maximum amount of solar energy you generate. Try putting washing machines and dishwashers on during the day to make the most of your solar setup. Even if electricity prices go up, using your own solar-generated electricity will help you cut down on electricity bills. If you’re dealing with a demand charge tariff, it’ll help reduce your peak demand too.
Julia Paszka
General Manager – Utilities & Credit Cards
How can I get the most from my solar system?
No, we’re not talking about moving to Mars or Jupiter (only one has a solid surface, by the way). But there are some simple steps you can take to make sure you get more bang for your solar buck.
Understand your electricity usage habits
Before you even start looking at systems, get to grips with how you use electricity. If you’re using most of your electricity at night when a solar panel system wouldn’t help, it may not be the right move for you.
Change your habits
An old dog can learn new tricks. Making the most of solar energy is all about learning the right habits. You might be able to set certain major appliances, like your washing machine, to run during the day, and become more of a daytime electricity user.
Keep things from getting too shady
Solar systems need to get plenty of sunlight to work, so pick a spot that isn’t blocked and keep it that way by trimming trees back.
Maintain and service your system regularly
Aim to have someone out annually to maintain your solar panels, like checking the wiring and cleaning the panels. Full servicing should happen every second year, with professional testing and inspection of your system.
Monitor your system’s output
Thanks to the weather, no two days are going to have the exact same energy output. If you start to see your generated electricity shrink over time, it could be an early warning sign that something isn’t working as it should.
Track your solar savings
Your solar system is an investment, so set aside some time to go through your bills and see if you’re saving as much as you’d predicted. If not, you might need to change some electricity consumption habits or schedule in some panel maintenance.
Compare electricity plans
If you can’t find any more corners to cut and still aren’t seeing the savings, it may be worthwhile looking at swapping electricity plans. You could find something that complements your new system, like higher feed-in tariffs (FiTs) or cheaper daytime rates when there just isn’t enough sunshine.
Where can I find and compare electricity plans?
If switching to solar is in your near future or it’s already installed, comparing electricity plans could help you find better value. With iSelect, you can see how a range of different electricity plans from various providers measure up. Whether you use our online comparison tool or call our energy comparison experts on 1800 664 532, you could be on your way to a new plan faster than you can say ‘kWh’.
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