The News South Wales (NSW) government began delivering the battery incentive program in 2024. The program, part of the Peak Demand Reduction Scheme (PDRS), reduces the cost of a new battery installation for NSW residents and small businesses. The significant incentive aims to reduce the demand on the electricity network at peak demand times and during blackout events.
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What is the Peak Demand Reduction Scheme (PDRS)?
The Peak Demand Reduction Scheme (PDRS) in NSW aims to reduce peak electricity demand by providing financial incentives to households and businesses for reducing energy consumption during high-demand periods. These incentives are available for installing eligible energy-efficient appliances, such as battery energy storage systems, air conditioners, and pool pumps. By lowering electricity consumption during peak times, the scheme helps lower costs, reduce the risk of power outages, and supports NSW’s emissions reduction target
Is the NSW battery incentive a rebate?
While commonly referred to as a rebate, the program is not ‘paid out’ by the NSW government. Your installer will work with an accredited supplier who will provide you with a point-of-sale discount.
How much can I save with the NSW battery incentive?
The discount you receive will depend on the size of the battery you have installed and the discount offered by the supplier. When you request FREE quotes, you may be quoted differing prices.
Am I eligible for the battery incentive?
The eligibility criteria for the NSW battery incentive are as follows:
- Existing solar system: You must have an existing solar photovoltaic (PV) system installed, or install a solar PV system concurrently with the battery.
- Battery: Must not have an existing battery installed on the premises. You will not be eligible if you are adding a new battery to an existing one.
- Grid connection: Your home or business must be connected to the grid.
- Approved supplier: The battery must be installed by a supplier approved under the Accredited Certificate Provider (ACP) program.
- Location: The installation must be in a residential or small business setting within NSW.
- VPP connection (optional): Incentives are available for connecting new or existing batteries to a Virtual Power Plant (VPP)
What batteries are eligible for the incentive?
The battery must have a nominal capacity between 2 kWh and 28 kWh. The battery must be listed on the Clean Energy Council (CEC) registered products list and must come with a minimum 10-year warranty that guarantees retention of at least 70% of usable capacity.
Brands with batteries approved for the scheme include:
Who can install the battery?
ACP installers or installers partnered with an ACP are eligible to install the battery under the PDRS scheme.
Will my battery be eligible for any other rebates?
Battery storage systems do not receive Small-scale Technology Certificates (STCs) under the Small-scale Renewable Energy Scheme (SRES). Your system may be eligible for local council rebates or incentives. Contact your local council for more information.
