How to Tell If a Solar Battery Will Save Your Household Money This Year

How to Tell If a Solar Battery Will Save Your Household Money This Year

Interest in renewable energy solutions is on the rise globally and Australia is no exception. Australia has long had one of the highest penetrations of rooftop solar panels globally and, fuelled by factors such as rising energy costs and the availability of government incentives, we’re seeing a significant surge in home battery ownership nationwide. While it can safely be said we’re experiencing a ‘solar boom’ here in Australia, is turning to renewable energy solutions just a trend or will a solar battery really save your household money this year?

A home solar battery system is a great way to optimise your energy consumption and reduce grid reliance. If you’d like to find out how solar batteries work, including how they charge and store excess energy from rooftop solar panels, check out this article. 

We’ve seen a massive spike in home solar battery uptake across Australia over the past few years, with around 50,000 home batteries installed in 2023 alone – that brings the total of Australia’s 3.7M solar-powered homes which are now equipped with batteries to around 180,000.1 While that’s an impressive figure which shows a strong desire on the part of Australian solar households to use solar batteries as a means of storing the excess power generated by their rooftop solar panels, what’s driving the surge in battery ownership? And, more importantly, do these reasons highlight areas in which households can save money? 

What’s driving the surge in home battery ownership?

There are many reasons why Australians are investing in home solar batteries, but as you may have guessed, the primary reason is to reduce electricity expenses. It’s little wonder that the spike in home battery ownership coincided with increasing electricity prices and declining Feed-in Tariffs (FiT), but those aren’t the only factors driving the surge. Yes, rising energy prices result in households looking for ways to reduce energy costs and the decline in FiTs has seen many look for alternatives to selling their excess energy back to the grid. However, an extra motivation driving the surge is that with the reduced financial outlays involved in buying and installing a battery, ownership is more viable than ever before. 

While the price of solar batteries in Australia can vary considerably, with costs largely influenced by battery capacity and build quality (along with the relevant installation considerations), solar batteries have consistently decreased in price and become more affordable for Australian consumers. This trend is largely driven by factors such as increased market competition between manufacturers and suppliers that drives down prices and the numerous advances in battery technology that deliver higher energy density, improved efficiency and longer lifespans which result in more cost-effective products. 

Another prominent reason behind the surge in Australian home battery ownership is the availability of home battery schemes and rebates that provide subsidies or interest-free loans to households who install solar batteries. Most Australian states and territories currently offer a scheme or rebate that provides subsidies or interest-free loans to reduce the financial outlay involved. However, as there are eligibility requirements and some schemes are limited, be sure to investigate the schemes and rebates in your state or territory that can be used to reduce the costs of buying and installing a solar home battery.

So, do those factors behind the surge in home battery ownership highlight areas where Australian households can save money by connecting their rooftop PV system to a home battery system? There are three key takeaways from the above – firstly, traditional models of earning an income from solar or recouping your investment, like selling excess energy back to the grid, are over. As such, households should look at emerging alternatives like Virtual Power Plants (VPPs). Secondly, home batteries are increasingly affordable due to market competition and advances in technology – putting them within the financial reach of more Australians. And thirdly, more households are eligible for home battery schemes and rebates that can reduce the cost of buying and installing a battery even further. 

The total price of a sonnenBatterie Evo or sonnenBatterie hybrid depends on the installation costs which will be provided as a quote from your solar installer. Get in touch with the sonnen team to start your solar battery journey with a quote today. 

Those are the most prominent reasons behind the surge in home battery ownership, but as they’re largely financial in nature, they fail to highlight a growing motivation on the part of so many households. And that’s to take their energy future into their own hands, starting with embarking on a journey to energy independence. Not only are many households fed up with increasing energy prices, but they’re also concerned with how the energy they consume is produced and the uncertainties of a grid-reliant future. This is especially worrying with the increased frequency of blackouts we’ve seen recently which can be effectively managed – or avoided altogether – with a home battery with the right blackout protection solution. 

Energy independence has emerged as a strong driving factor to invest in a home battery system among Australian households, as by minimising dependence on the grid empowers households to increase control over their home energy supply – and their finances – and reduce the uncertainties associated with rising energy prices and decreasing grid reliability.

So, will a home battery save your household money?

As you can see from those trends, home batteries have the potential to save households money in various ways, but ultimately, whether installing a battery will save your household money this year largely depends on your individual energy usage habits at home and the size and quality of your rooftop PV system and the battery you install. Home batteries work best when used to combat energy challenges, like avoiding expensive prices during peak times and providing blackout protection during bushfire and storm season, so be sure to install a battery - and potentially increase the size of your rooftop PV system - to ensure your energy usage habits are accommodated and your investment delivers top returns.

Why install a home battery now?

As battery technology and prices have never been better than they are right now, these are great reasons to install a home battery system sooner rather than later. The moment your new battery is installed and connected to your rooftop solar system, there’s the potential to start saving on electricity at home immediately. And with the current availability of battery schemes and rebates that may be less generous or accessible in the future, there’s also the opportunity to reduce the expenditure involved in buying and installing a home battery. 

Installing a solar battery opens the door to a more cost-effective and energy-independent future. To get started on your journey, explore the sonnen range or use our free online energy savings calculator to see your estimated savings over a 10-year period. 

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¹Why Australians are increasingly buying bigger solar power systems (and adding battery storage)

Energising Homes: Residential Solar Batteries Surging in Australia