Community and Climate Win: Government Announces Battery Subsidy Following Sydney Alliance Assembly Campaign

Thanks to the dedication and collective action of communities across Sydney, the Federal Government has today announced a 30% upfront discount on home battery systems—a direct response to the coordinated advocacy and clear asks presented at the recent Federal Pre-Election Assembly hosted by the Sydney Alliance and our partners. This announcement is a powerful example of what community-led action can achieve when voices are united across suburbs, faith groups, unions, and local organisations.

The commitment, delivered by Climate Change and Energy Minister Chris Bowen, represents a significant step forward in Australia's transition to a renewable energy future. By making battery storage more affordable and accessible, the government is addressing both the climate crisis and the cost-of-living pressures faced by everyday Australians. Home batteries allow households to store excess solar energy produced during the day and use it in the evening when electricity prices are typically highest. This reduces demand on the national energy grid—particularly as aging coal-fired power stations are phased out—and helps avoid the need for expensive, polluting gas during peak times.

The newly announced Cheaper Home Batteries Program, to be rolled out by a re-elected Albanese Labor Government from 1 July 2025, will be delivered through the existing and proven Small-scale Renewable Energy Scheme (SRES). Under the program, eligible households and small businesses will receive a 30% discount on the upfront cost of virtual power plant-ready batteries. This translates to upfront savings of up to $4,000 and potential annual bill reductions of up to $2,300, or around 90% of a typical household’s energy bill—especially for those combining batteries with new solar installations. Crucially, the benefits extend to all energy users, not just those with batteries. By increasing the number of batteries in the system, the program reduces pressure on the electricity grid during peak demand, ultimately lowering wholesale electricity prices and improving energy stability for everyone.

The Sydney Alliance, working through Renew Australia for All—a national coalition of more than 70 diverse organisations across the country—has been calling for a $5 billion investment to help those most in need access rooftop solar, batteries, electrification, and energy efficiency upgrades. This announcement is not just a policy win—it’s a community win, and a sign of what’s possible when people come together to demand practical, inclusive climate solutions.

Reactions

“I’ve worked hard to build a future for my family. I wanted a battery to pair with my solar panels, but the upfront cost was too high,” said Anthony Matthews, a Western Sydney homeowner and teacher. “Now, with this subsidy, I can finally afford it—bringing much-needed relief during the cost-of-living crisis.”

While celebrating this victory, the Alliance stressed the need for equity in access, especially for renters, social housing residents, and culturally and linguistically diverse (CALD) communities.

“It’s a great step forward, but we need to go further,” said Patricia Gioannotto, a Sydney renter. “Renters like me need urgent energy upgrades to get us prepared for the energy transition and accessing long-term energy bill relief through access to solar and batteries.”

“Our communities came together on March 13 to call for climate justice,” added Diana Olmos, Community Organiser at Sydney Alliance. “This is an excellent step - now let's keep going- to truly deliver on that, governments must ensure no one is left behind—especially renters, those living in social housing and apartment dwellers, and those from CALD backgrounds.”

This win shows the power of community action, and the Sydney Alliance remains committed to ensuring every Sydneysider can access clean, affordable, and resilient energy, no matter where they live.

Media Contact: 

Nicholas O’Connor - Sydney Alliance Head of Comms

nicholas@iafpacific.org

0408540721

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