On 1 May 2026 the Clean Energy Regulator stepped down the federal Cheaper Home Batteries Program rate. The per-kWh STC factor dropped from 8.4 to 6.8, which translates to approximately $258 per usable kWh on the first tier of capacity (down from about $317). The program also introduced explicit capacity tapering.
New rate structure
From 1 May 2026, the rebate is calculated in three tiers:
- kWh 0–14: 100% of the per-kWh rate (~$258/kWh)
- kWh 14–28: 60% of the rate (~$155/kWh)
- kWh 28–50: 15% of the rate (~$39/kWh)
- Above 50 kWh: no rebate
Real numbers by battery size
- 10 kWh battery (e.g. BYD Premium HVS): ~$2,580
- 13.5 kWh battery (Tesla Powerwall 3): ~$3,483
- 16 kWh battery (LG RESU16H Prime): ~$3,922
- 25.6 kWh battery (paired Sungrow HV): ~$5,415
Stacks unchanged
The federal program still stacks with NSW's PDRS battery incentive and WA's Residential Battery Scheme — the only two active state battery rebates as of May 2026. QLD's Battery Booster (closed May 2024), VIC's battery loan (closed May 2025), TAS's Energy Saver Loan (funding exhausted Sept 2025), and the NT and SA Home Battery Schemes (both closed) no longer apply.