The South Australian Government’s subsidy under the $100 million Home Battery Scheme, which helps households cut power bills by installing battery systems, will have its first planned reduction in six weeks’ time.
A strong surge in the number of households accessing the subsidy has pushed the number of homes signed up to the scheme past 7000 and led to a reduction in the maximum subsidy from $6000 to $4000 as the costs of the batteries to households start to fall.
The $100 million Home Battery Scheme is a key plank of the Government’s energy policy to deliver more clean, affordable and reliable power for all South Australians.
“The success of the Home Battery Scheme in encouraging people to buy batteries seen more competitive offers and a surge in the number of Virtual Power Plants (VPPs) operating in South Australia,” said Minister for Energy and Mining Dan van Holst Pellekaan.
“Right from the introduction of the scheme we indicated that the level of subsidy would be reduced as the uptake of home batteries increased.
“South Australia’s Home Battery Scheme is part of the largest per capita roll-out of home battery storage globally with a target of 40,000 installations and streets ahead of other programs nationally.
“By getting on the front foot South Australia has been the big winner in this area, delivering massive cuts to participating households’ electricity bills, attracting seven VPP programs to our state and helping to stabilise the grid.
“The scheme is designed so that as the market matures, the subsidies reduce to transition the market to self-sufficiency and the government is confident we have begun to create a self-sustaining market for home storage.
“The State Government is confident we have begun to create a growing and sustainable market for the manufacturing and installation of battery storage in South Australia.
“Approximately 82MWh of additional storage capacity has already been delivered under the scheme, taking the collective storage capacity of home batteries to over 60 per cent of the current capacity of Hornsdale Power Reserve - the biggest battery in the world.
“Accessibility to the scheme recently improved with changes making it easier for those who are building a new home to secure a subsidy to build a battery into their new home.”
The Home Battery Scheme is available throughout South Australia, and calculated based upon the size of the battery purchased. Energy Concession Holders are eligible for a higher subsidy, ensuring low-income households are supported to access the Scheme.