From 1 May 2026, subject to regulations being made, the Australian Government intend to change how battery rebates work under the Cheaper Home Batteries Program.

There are two key changes:

1. The STC Factor will drop faster over time (more on this below)
2. Larger batteries will get a lower discount per kWh than smaller ones

Remember: your rebate discount is locked in on the day your battery is installed, so timing matters.

First: What is the STC Factor?

Think of the STC Factor as the multiplier that turns battery size (kWh) into certificates. Those certificates become dollars off the cost of your system via the rebate.

Higher STC Factor = More certificates (STCs) = Larger battery rebate discount

Change 1 - The STC Factor will drop faster over time

If you install the same battery after 1 May 2026, you'll get fewer STCs. That means your rebate will be smaller. Here's a simple breakdown: 

Change 2 - Larger batteries will get a lower discount per kWh than smaller ones

Under the proposed changes, not every kWh of battery storage will get the same rebate. The highest rebated applies to the first 14 kWh of your battery. Any storage above 14 kWh gets a smaller discount.

How do I choose the right battery size for my home?

Zelora can recommend the right size and set up for your home, whether you need Battery Only or Battery & Solar.

Fill out our 2-minute form to see your system recommendation and estimated electricity bill savings.

Where can I learn more about changes to the Cheaper Home Batteries Program?

You can view the latest details about proposed changes to the Rebate scheme at cer.gov.au