1400 batteries in a day: Aussies soak up solar subsidy

Australian households are installing solar batteries at record rates, with more than 19,000 registered in a month.

Figures released on Friday by market analysis firm SunWiz indicated consumers could more than double the number of home batteries installed in a single year, with NSW households leading the pack.

The unprecedented adoption comes one month after the launch of the federal government’s $2.3 billion Cheaper Home Batteries Program, which offered discounts of 30 per cent on the technology.

But buyers might need greater protections to prevent providers from exploiting the popularity of the scheme, the Australian Competition and Consumer Commission has warned, and should compare several quotes before joining the trend.

Analysis of the first month of the scheme showed more than 19,000 households registered batteries, SunWiz managing director Warwick Johnston said, peaking at 1400 batteries added in a single day.

“In just one week, Australians installed more battery capacity than in the entire first two months of 2024,” he said.

If installations continued at the same pace, he said, households could install more than 220,000 batteries this year, up from 72,500 in 2024.

Home batteries installed during July were also larger than typical, with an average capacity of 17 kilowatt-hours compared to between 10 and 12kWh.

“Many households recognise this may be a one-time opportunity to access a significant subsidy and they’re using it to invest in larger batteries,” Mr Johnston said.

Households in NSW made up more than a third of those to register batteries under the scheme (38 per cent), followed by Queensland (23 per cent) and South Australia (15 per cent).

Most consumers installing batteries already used solar panels.

The figures were revealed as the Australian Competition and Consumer Commission released its Electricity Inquiry Report, which found households with solar panels and a battery installed saved an average of 40 per cent on energy bills.

Typical electricity users paid $1565 per year for electricity, the report found, while those with both a battery and solar power paid $936.

But greater safeguards should be introduced to protect consumers as demand for battery installations increased, commissioner Anna Brakey warned, and the commission would closely scrutinise businesses and offers.

“We believe additional consumer protections are needed as more Australians participate in markets for new and emerging energy services,” she said.

“Consumers looking to take advantage of the new subsidies for solar home batteries to lower their energy bills should take their time and not feel pressured to rush in straightaway.”

The government would hold consultations into retail price protections and cross-market manipulation following the report, Energy Minister Chris Bowen said.