Solar Homes policy – NSW Solar grant

Solar Homes policy – the NSW Labor party have announced a huge solar rebate they will implement if they win the upcoming state election. Let’s learn more about how many households could be helped and what the particulars of the scheme are. 

Solar Homes policy

Michael Daley - Solar Homes Policy (source: michaeldaley.com.au)
Labor leader Michael Daley – announcing the Solar Homes Policy (source: michaeldaley.com.au)

The Solar Homes policy was announced by NSW Labor leader Michael Daley on his official website this week:

“This program will take NSW to over a million solar homes. Based on current take up rates for household solar, the program could help add solar to an additional 1 million homes over the next decade.” the website states. Further reading into the document shows that 500,000 households will benefit from the solar scheme. 

Under the Solar Homes policy, owner-occupied households in New South Wales are eligible for a rebate of up to $2,200, as long as their combined annual income is less than $180,000. 

Deputy Leader and Shadow Environment Minister Penny Sharpe said, “Under this plan, everyone wins. Families get help with their electricity bills and we are taking real action on climate change and giving NSW a cleaner, greener future.”

NSW Labor’s Leader in the Legislative Council and Shadow Minister for Energy and Climate Change, Adam Searle said, “Solar Homes is just one aspect of Labor’s plan for cheaper and cleaner energy across NSW. Our policies will cut both electricity bills and carbon emissions. We look forward to providing more in the lead up to the election.”

If Labor do win the state election (which will be held on March 23) and the Solar Homes policy goes ahead, it will commence in the 19-20 financial year (“to ensure an orderly rollout”), and follow other states with their own initiatives:

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Western Australia Solar Subsidies may be cut – Wyatt

Western Australia Solar Subsidies look like they’re in the firing line right now – with Energy Minister Ben Wyatt advising that he supports either completely scrapping or winding back rooftop solar panel subsidies.

Western Australia Solar Subsidies

Western Australia Solar Subsidies - Synergy
Western Australia Solar Subsidies – Synergy (source: synergy.net.au)

Earlier this year the Australian Competition and Consumer Commission called to axe rooftop solar subsidies Australia-wide by 2021. Ben Wyatt said he has asked the Public Utilities Office to have an in depth look about the buyback scheme which could probably do with a bit of an overhaul, or at least a step in the right direction, technology wise.

“While the cost of solar PV systems has reduced significantly since the introduction of the Renewable Energy Target and is now considered economically viable in the absence of government subsidy, the implications of such a change need to be fully thought through, including the impact on the local solar industry,” Mr Wyatt said.

In WA, Synergy currently pays a feed-in tariff of 7.1c/kW to 240,000 households with solar – and over 70,000 customers entitled to the premium solar feed-in tariff which is 40c/kW (there’s no indication that the gov’t is looking at winding back the premium FIT). This is known as the Renewable Energy Buyback Scheme (REBS). Mr Wyatt said that Synergy are paying ‘over the odds’ for this power during hte middle of the day, when demand is low and output high. If you’d like to learn more about WA’s unique energy situation please have a look at this article.

We’re all for furthering the cause of solar, but is it worth taking a look at maybe moving some of the subsidies and tariffs towards energy storage rather than energy generation?

Ray Challen, who was the top energy adviser as the head of the Public Utilities Office up until the end of last year, said he thinks it’s time to consider the best way to continue improving our renewable generation:

“The reason for subsidising any form of behaviour is to produce some sort of greater social good, and it would be difficult to say at the moment that there is a greater social good from subsidising small-scale solar because people could do it anyway,” Mr Challen said. “Not only that but if you wanted to subsidise anything in the power sector then you would be probably subsidising batteries.”

So will we have a solar battery subsidy? It’s hard to say at this point, but many people are talking about making a change to the way we currently reward solar generators. Would a carefully managed solar battery rebate help? Watch this space…

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Is There A Solar Battery Rebate In Australia?

We’ve heard whispers of a solar battery rebate doing the rounds. Is Australia about to see its own energy storage subsidy, and, if so, how would the potential rollout of that be implemented?

Solar Battery Rebate in 2018

Solar Battery Rebate in Australia - Tesla Powerwall
Solar Battery Rebate in Australia – Will it include the Tesla Powerwall 2?

We’ve written about solar battery growth before – the sector has seen a sharp rise in 2017 which has continued into 2018. Will the government consider incentivising households and businesses to install energy storage, helping add stability to the grid, lower skyrocketing electricity costs and assist Australia in reaching our Renewable Energy Target? Time will tell. States like Queensland already have the Affordable Energy Program where 5,000 Queenslanders will see an interest-free loan for solar systems/battery storage, so a scheme just for storage doesn’t seem out of the question.

Whilst nothing official has been announced yet, there are plenty of whispers about the government playing with solar power rebates – feed-in-tariffs are dropping sharply. Will we see discounted deals on solar batteries? As they’re not currently at the point where ROI (Return On Investment) is ubiquitously positive, energy storage uptake in Australia is still finding its feet. If the government gives it a boost how much will that cost and what kind of value do we put on the financial/social impact of embracing renewable energy?

In the United States, The federal solar tax credit, also known as the investment tax credit (ITC), allows you to deduct 30% of the cost of installing a solar energy system from your taxes. The ITC applies to residential and commercial systems, and there is no cap on how much you can spend. Should Australia try something like this, or is our current system more effective?

Solar Rebates/Subsidies In 2018 

Here are some of the various offers federal/state government are using to try and get people to embrace solar. Any questions about a specific scheme? Please leave a comment below and we’d be happy to look into your query.

In terms of batteries, we don’t have a specific incentive to install it, either as an add-on to existing solar system or as part of a new system.The Battery Energy Storage System incentive provides eligible South East Queensland households with a one-off $50 payment for registering eligible systems on the Queensland Government battery storage database.

Please note that information about rebates and subsidies can go out of date quite quickly so ensure you double check before purchasing – you can learn more about current available solar rebates in Australia by visiting the “Your Energy Savings” website, which has been set up by the federal government – simply click here to visit

Interested in learning more about solar batteries available in Australia? Click to learn more about Tesla Powerwall competitors and alternatives.

In the meantime, we’re still waiting to see what sort of battery rebate may be offered. Since Australia already has a very strong solar panel presence, it makes sense to work on maximising storage as well as generation.

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