Renewable Energy
Are Solar Batteries Worth It In 2025 For Australia
In 2010, Australia experienced a surge in solar battery installations nationwide. Since then, approximately 3 million homes have benefited from the advantages of rooftop solar, including lower electricity bills compared to those with only a grid connection.
To paint a clearer picture, it is estimated that in NSW, generating 1 kilowatt of energy with solar panels saves approximately $400 per year.
However, batteries for solar systems are by no means a small investment, so the question remains: are solar batteries worth it in 2025 as an Australian homeowner? We will find out soon enough. But first, let’s get to know some basics about solar batteries.
Types of Solar Batteries
Solar batteries, also known as solar energy storage systems, play a crucial role in solar power setups by storing surplus energy generated during sunny periods for later use, such as at night or on overcast days.
These batteries come in various types, each with distinct characteristics and advantages.
Lead-acid batteries
Lead-acid batteries, including Flooded Lead-Acid (FLA) and Valve-Regulated Lead-Acid (VRLA) options, offer durability and cost-effectiveness, with VRLA batteries like Absorbent Glass Mat (AGM) and Gel batteries being maintenance-free.
Lithium-ion batteries
Lithium-ion batteries, such as Lithium Iron Phosphate (LiFePO4), Lithium Nickel Cobalt Manganese Oxide (NMC), and Lithium Nickel Cobalt Aluminium Oxide (NCA), provide high energy density, extended lifespan, and enhanced safety.
Flow Batteries
Flow Batteries, represented by Vanadium Flow Batteries, offer a liquid electrolyte and are known for their extended cycle life and scalable capacity.
Saltwater Batteries
Saltwater Batteries, specifically Sodium-Ion Batteries, are environmentally friendly and potentially cost-effective. Nickel-iron or Edison batteries are durable but have lower energy density. Hybrid Batteries combine different technologies for optimised performance.
Choosing the correct solar battery involves considering factors such as cost, space, maintenance, and intended application, while ongoing advancements in battery technology may introduce newer options.
Reasons Why You Should Get Solar Batteries
Solar battery prices are not low, but the payback period decreases with the daily price hike of energy in Australia. Given the current economic environment, energy prices are expected to continue rising.
According to the Australian Energy Market Operator (AEMO), the wholesale cost of power in the National Electricity Market (NEM) jumped by 141 per cent in the first three months of 2022 compared to the same quarter last year.
That said, storing the surplus of energy generated by your solar panels sounds like a sound investment, doesn’t it?
Here are some more reasons-
End of Net Metering in Australia
Net metering is a system that allows you to send the excess power generated by your solar panels to the grid and get a portion of the exact amount back on demand.
People were utilising the grid practically as a storage facility when the net metering system was still in place, but that luxury is no longer available.
Net metering was available in the Northern Territory until April 2020; however, the benefit is no longer available for solar systems constructed after that date.
Essentially, with the end of net metering, you no longer have the freedom to obtain a one-to-one net metering service (i.e., a kW received per kW given).
That doesn’t mean you don’t have other means to store energy in the grid; you do. However, that is not as beneficial as net metering and certainly not as profitable as having your solar battery.
Solar panels can generate a varying amount of energy throughout the day, as the sun’s brightness changes from sunrise to sunset.
The maximum amount of electricity generated by the solar panels is between 12:00 p.m. and 3:00 p.m. An average Australian household consumes relatively little electricity during that time, as most are at work.
Studies have shown that, with the surge in electric prices off the grid, it makes more financial sense to store excess energy in the grid; instead, having a solar battery and using it on demand will be much more profitable in 2025.
Electricity Prices are Higher at Night
As a storage unit does require a significant investment, you decided to export the surplus of electricity to the grid.
But, keeping in mind that an average household requires more energy at night than in the day, you will be paying more to buy back that amount of electricity you exported at night.
So, it’s evident that storing the surplus in a solar battery makes more sense than repurchasing it at a higher electricity cost.
Grid Outages
There are times when people experience power outages. It can occur during a scheduled grid check-up, a devastating storm, or for any other reason. It’s more common than you would think. In those cases, a solar battery can be your solution.
We are positive you would prefer to avoid coming home to a fridge full of rotten food. To have an uninterrupted supply of energy that you have all the control over, having a battery storage unit makes perfect sense.
Yes, of course, you could opt for a backup generator, but they are noisy, and it defeats the purpose of having solar installed on your rooftop in the first place. It runs on diesel, a non-renewable energy source contributing to carbon emissions.
Are Solar Batteries Worth It?
It makes sense for a large energy user to opt for solar batteries. They are worth the price, and here is why-
The cost of solar batteries is coming down significantly as we speak. For instance, back in 2020, a 6 kW solar battery cost about $10,000, which now is about $7,700
It is the only way to go for those who live off the grid
Without the benefit of Fit, having one’s storage system saves on power bills and provides even more complete control over your energy consumption
Power backup for days in the event of a power outage, and with the addition of solar panels, you can eliminate reliance on the grid.
Solar and Battery Package Price in Australia: How Much Do Solar Batteries Cost?
Determining the actual price of solar batteries can be challenging due to the numerous variables involved. For example, it will depend on your power needs, including whether you have any power-hungry appliances, household size, and geographic location.
Depending on these variables, you can determine the size of the storage unit you require. Thus, that’s how the cost of solar batteries is estimated.
But to give you a rough idea, the price of a kWh of residential solar battery storage can hover over the $1000 mark.
These include the cost of installation and GST. Remember that the battery brand and all the other factors mentioned ultimately matter, and prices vary depending on these factors.
10kw Solar Battery Price
As of 2025, in Sydney, NSW, the current cost of a 10 kW solar battery paired with a 6.6 kW solar panel system ranges from $13,000 to $13,500.
This price includes two 5.1 kWh modules integrated with a 6.6 kW solar system. The potential payback time for this system can be as short as 4 years.
The Tesla Powerwall, which has a storage capacity of 13.5 kWh, costs approximately $1,150 per kilowatt-hour.
When considering the broader market, solar batteries without the solar component typically fall from $900 to $1,200 per kilowatt-hour. The specific pricing varies based on the brand and model.
6 kW Solar Battery Cost
The solar battery storage cost refers to the amount you pay for each unit of electricity it can store, typically measured in dollars per kilowatt-hour ($/kWh).
Typically, these batteries cost between $900 and $2,000 per kilowatt-hour. If you opt for a solar setup with a 10.2-kilowatt-hour battery and a 6.64-kilowatt solar system, the cost is approximately $13000.
If you only want the battery, without the solar system, a standalone solar battery can cost $990 per kilowatt-hour. It includes a particular device called a hybrid inverter that connects the battery to the solar system.
For a specific type of battery called the Tesla Powerwall, which has a 13.5 kilowatt-hour capacity and comes with its own inverter, the price is $1200 per kilowatt-hour.
Another type of battery, the Sungrow 9.6 kilowatt-hour solar battery, is priced at $1227 per kilowatt-hour. This cost includes a 5-kilowatt hybrid inverter.
Suppose you’re considering a solar panel system with a 6-kilowatt capacity and a battery with a 16.6-kilowatt-hour capacity. In that case, the total cost for installing this combined system can range from approximately $19,935 to an average of $25,235.
The exact price depends on the type and quality of the system you choose. For more details, check out the cost of a 6kW solar battery in Australia.
Solar battery ROI
The return on investment (ROI) for solar batteries in Australia is influenced by several factors, including the system’s initial cost, local electricity rates, solar generation capacity, and available government incentives or rebates.
Key considerations include the upfront expenses, which encompass the battery, inverters, installation, and related components.
The cost of grid electricity in your area is pivotal, with higher rates potentially leading to faster returns, as stored solar energy use during peak periods saves on electricity bills.
Solar panel efficiency, battery performance, and lifespan also impact long-term returns. Government incentives, rebates, and electricity consumption patterns, particularly during peak demand periods, significantly contribute to the overall return on investment (ROI).
Monitoring technological advancements is crucial for evaluating the long-term economic viability of solar battery systems.
Seeking professional analysis and staying informed about industry trends and policy changes are advisable for making well-informed investment decisions in Australia.
How To Choose Solar Batteries?
State Rebates for Solar Batteries
State rebates for solar batteries vary across Australia. States like South Australia, Victoria, and Queensland offer specific incentives and rebates for solar batteries.
However, rebate programs and amounts are subject to change, so it’s essential to check the latest information from your state government or relevant authorities for the most up-to-date details on solar battery rebates.
Solar Battery FAQs
When choosing solar batteries in Australia, consider your energy needs, capacity, performance, compatibility with your solar system, warranty, and cost. Assess the battery’s kilowatt-hours (kWh) storage capacity to match your daily usage.
Look for reliable brands and models with proven performance and longer lifespans. Ensure compatibility with your existing solar system, and check for government incentives or rebates. Compare the cost per kilowatt-hour and warranty terms to determine the best option.
Consider factors like installation requirements and whether the battery supports backup power. Seek professional advice to tailor your choice to specific needs and conditions.
What Size Solar Battery Do I Need to Power a House?
The size of the solar battery needed to power a house in Australia depends on various factors, including your energy consumption, the size of your solar panel system, and your specific energy needs.
On average, a medium-sized household might require a solar battery with a capacity ranging from 5 kWh to 20 kWh.
To determine the appropriate size, consider your daily electricity usage, the sunlight your location receives, and whether you want the battery to provide backup power during outages.
It’s advisable to consult with a solar energy professional to assess your specific requirements and design a system that meets your energy goals.
Is a Solar Battery Worth it?
Deciding whether to invest in home battery storage depends on various factors. Your energy consumption, goals, and dependence on the grid play crucial roles.
A battery could be valuable if you experience frequent power outages or seek backup power. Explore the government incentives, rebates, and electricity rates in your area to assess the financial benefits available to you.
A well-designed solar panel system can enhance the potential benefits of integrating a battery. Consider the environmental impact, battery lifespan, and technological trends. To make an informed decision, consult with solar professionals like Cyanergy.
We can tailor advice to your specific needs and circumstances, keeping in mind that the evolving landscape of technology and market conditions may influence the long-term value of a solar battery investment.
Talk to our solar expert for further instructions and get a free solar quote!
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