Financial Benefits

WA Solar Battery Rebate

Financial Benefits Guide

The WA Residential Battery Scheme offers substantial financial incentives that can transform the economics of home battery storage. This comprehensive analysis from Perth Solar Direct examines the financial benefits of the rebate program set to launch on or before July 1, 2025, helping you understand the true value proposition of adding battery storage to your home.

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Cost Analysis With Rebate

The rebate amount scales with battery capacity, up to the maximum threshold:

Battery Size Pre-Rebate Cost Synergy Rebate Horizon Rebate Final Cost (Synergy) Final Cost (Horizon)
5kWh $7,500 $2,500 $3,750 $5,000 $3,750
7kWh $9,500 $3,500 $5,250 $6,000 $4,250
10kWh $12,000 $5,000 $7,500 $7,000 $4,500
13kWh $15,000 $5,000* $7,500* $10,000 $7,500

*Rebate capped at maximum for 10kWh

As Perth Solar Direct's analysis shows, the optimal battery size for maximizing rebate value is 10kWh, which qualifies for the full rebate amount while minimizing the per-kWh cost after incentives.


When applied to specific popular battery models, the rebate yields these approximate net costs:


Tesla Powerwall (13.5kWh):

  • Pre-rebate cost: $15,500
  • Synergy rebate: $5,000 (maximum)
  • Net cost: $10,500


LG RESU10H (9.8kWh):

  • Pre-rebate cost: $11,800
  • Synergy rebate: $4,900 (9.8kWh × $500)
  • Net cost: $6,900


BYD Battery-Box Premium HVS (7.7kWh):

  • Pre-rebate cost: $9,200
  • Synergy rebate: $3,850 (7.7kWh × $500)
  • Net cost: $5,350


Sonnen eco 5 (5kWh):

  • Pre-rebate cost: $8,000
  • Synergy rebate: $2,500 (5kWh × $500)
  • Net cost: $5,500


Perth Solar Direct can provide current pricing on these and other battery models, with exact costs varying based on installation requirements and current market pricing.

For eligible households, combining the rebate with the interest-free loan program can result in zero upfront cost:


Scenario 1: 10kWh Battery (Synergy Customer)

  • System cost: $12,000
  • Rebate: $5,000
  • Remaining cost: $7,000
  • Interest-free loan: $7,000
  • Upfront cost: $0
  • Monthly repayment (10 years): $58.33


Scenario 2: 10kWh Battery (Horizon Power Customer)

  • System cost: $12,000
  • Rebate: $7,500
  • Remaining cost: $4,500
  • Interest-free loan: $4,500
  • Upfront cost: $0
  • Monthly repayment (10 years): $37.50


Scenario 3: 5kWh Battery + 3kW Solar Upgrade (Synergy Customer)

  • Battery cost: $7,500
  • Solar upgrade: $3,000
  • Total cost: $10,500
  • Battery rebate: $2,500
  • Remaining cost: $8,000
  • Interest-free loan: $8,000
  • Upfront cost: $0
  • Monthly repayment (10 years): $66.67



Perth Solar Direct can help determine your eligibility for the interest-free loan program and calculate your specific repayment scenario based on your household needs.



Return on Investment Calculations

The WA government estimates that a battery system can save households up to $1,500 annually on electricity bills. Based on this projection, typical payback periods are:


5kWh System (Synergy Customer):

  • Net cost after rebate: $5,000
  • Annual savings: $750-$900
  • Estimated payback period: 5.5-6.7 years


10kWh System (Synergy Customer):

  • Net cost after rebate: $7,000
  • Annual savings: $1,200-$1,500
  • Estimated payback period: 4.7-5.8 years


10kWh System (Horizon Power Customer):

  • Net cost after rebate: $4,500
  • Annual savings: $1,200-$1,500
  • Estimated payback period: 3-3.8 years


These calculations demonstrate that the rebate significantly improves the financial viability of battery storage, bringing payback periods well within the warranty period of most battery systems.



Battery systems generate savings through several mechanisms:


Time-of-Use Arbitrage:

  • Store cheap solar energy during the day
  • Avoid expensive grid electricity during peak evening hours (typically 3pm-9pm)
  • Average monthly savings: $80-$100


Increased Self-Consumption:

  • Typical solar-only household self-consumption: 30-40%
  • Solar + battery self-consumption: 70-90%
  • Additional monthly savings: $30-$50


Reduced Demand Charges:

  • Applicable for customers on time-of-use tariffs
  • Potential monthly savings: $10-$30


Virtual Power Plant Participation:

  • Revenue from grid support services
  • Potential monthly earnings: $5-$20


Total monthly savings typically range from $100-$125 ($1,200-$1,500 annually), with Perth Solar Direct customers reporting higher savings during summer months when solar production is at its peak.

For households utilizing the interest-free loan program, the monthly cash flow analysis shows immediate positive returns:


10kWh System (Synergy Customer):

  • Monthly loan repayment: $58.33 (10-year term)
  • Monthly electricity savings: $100-$125
  • Net monthly benefit: $41.67-$66.67
  • Annual positive cash flow: $500-$800


5kWh System (Synergy Customer):

  • Monthly loan repayment: $41.67 (10-year term)
  • Monthly electricity savings: $60-$75
  • Net monthly benefit: $18.33-$33.33
  • Annual positive cash flow: $220-$400


This positive cash flow from day one represents one of the most compelling aspects of the combined rebate and loan program, making battery storage financially accessible to a broader range of households.

Modern battery systems typically have a 10-15 year warranty period, with many expected to continue functioning beyond this timeframe.


The long-term benefits include:


Total Savings Over 10 Years:

  • 5kWh system: $7,500-$9,000
  • 10kWh system: $12,000-$15,000
  • Net profit after system cost (10kWh Synergy): $5,000-$8,000
  • Net profit after system cost (10kWh Horizon): $7,500-$10,500


Protection Against Rising Electricity Prices:

  • WA electricity prices have risen approximately 3-5% annually
  • Battery systems provide a hedge against future price increases
  • Potential additional savings: $3,000-$5,000 over system lifetime


Property Value Enhancement:

  • Homes with battery storage typically command higher resale values
  • Estimated property value increase: 2-5% according to recent real estate analyses

Perth Solar Direct customers report that the peace of mind and energy independence provided by battery storage often outweigh even these substantial financial benefits.

Rebate Impact on System Affordability

The rebate program makes entry-level battery systems much more accessible:


5kWh Basic System:

  • Pre-rebate cost: $7,500
  • Synergy rebate: $2,500
  • Net cost: $5,000
  • With interest-free loan: $0 upfront, $41.67/month


6.6kW Solar + 5kWh Battery Package:

  • Pre-rebate cost: $14,000
  • Synergy rebate: $2,500 (battery only)
  • Net cost: $11,500
  • With interest-free loan: $1,500 upfront, $83.33/month


These entry-level systems provide a practical starting point for households new to battery storage, offering significant bill reduction while minimizing upfront investment.

For households seeking maximum energy independence, premium systems also become more attainable:


10kWh Premium Battery System:

  • Pre-rebate cost: $14,000
  • Synergy rebate: $5,000
  • Net cost: $9,000
  • With interest-free loan: $0 upfront, $75/month


10kW Solar + 13.5kWh Battery + Backup Gateway:

  • Pre-rebate cost: $25,000
  • Synergy rebate: $5,000 (maximum)
  • Net cost: $20,000
  • With interest-free loan: $10,000 upfront, $83.33/month


Perth Solar Direct offers premium systems with advanced features like blackout protection, smart home integration, and enhanced monitoring capabilities, all of which become more accessible with the rebate program.



The interest-free loan component provides flexible financing options:


Standard 10-Year Term:

  • Loan amounts: $2,000-$10,000
  • Interest rate: 0%
  • Monthly payment on $10,000: $83.33
  • Total interest savings vs. 6% loan: $3,300+


Partial Financing Options:

  • Cover portion of system with loan
  • Pay remainder upfront
  • Customize to match household budget


Early Repayment:

  • No penalties for early loan repayment
  • Option to make lump-sum payments
  • Potential to save on electricity bills while paying off loan faster


Perth Solar Direct can help customers navigate the loan application process and determine the optimal financing structure for their specific financial situation.

When evaluating the full lifecycle costs and benefits:


10kWh Battery System (10-Year Analysis):

  • Initial cost after rebate: $7,000 (Synergy customer)
  • Maintenance costs: Minimal to none
  • Replacement parts: Typically not required within warranty period
  • Electricity savings: $12,000-$15,000
  • Net financial benefit: $5,000-$8,000
  • Return on investment: 71-114%


5kWh Battery System (10-Year Analysis):

  • Initial cost after rebate: $5,000 (Synergy customer)
  • Maintenance costs: Minimal to none
  • Replacement parts: Typically not required within warranty period
  • Electricity savings: $7,500-$9,000
  • Net financial benefit: $2,500-$4,000
  • Return on investment: 50-80%


This total cost of ownership analysis demonstrates that battery systems represent not just an energy solution but a sound financial investment for Western Australian households.



Additional Financial Incentives

The WA Distributed Energy Buyback Scheme (DEBS) works synergistically with battery storage:


DEBS Rate Structure:

  • Peak export rate (3pm-9pm): 10 cents/kWh
  • Off-peak export rate (9pm-3pm): 2.5 cents/kWh


Battery Optimization Strategies:

  • Store excess solar during off-peak periods rather than exporting at 2.5 cents/kWh
  • Discharge battery to home during high-cost evening periods
  • Export during peak periods when household usage is low
  • Potential additional annual benefit: $100-$200


Perth Solar Direct can program your battery system to optimize for the DEBS rate structure, maximizing financial returns.

The battery rebate can be combined with existing federal solar incentives:


Small-scale Renewable Energy Scheme (SRES):

  • Applies to new solar panel installations
  • Creates Small-scale Technology Certificates (STCs)
  • Typical benefit: $2,500-$3,500 for a 6.6kW system
  • Can be combined with battery rebate when installing both systems


Combined Incentive Example:

  • 6.6kW solar system with 10kWh battery
  • Federal STC discount: $3,000 (approximate)
  • WA battery rebate: $5,000 (Synergy customer)
  • Total incentives: $8,000
  • System cost reduction: 40-50%


Perth Solar Direct handles all paperwork for both incentive programs, ensuring customers receive the maximum available benefits.



The WA battery rebate requires systems to be Virtual Power Plant (VPP) ready, creating additional revenue opportunities:


VPP Participation Benefits:

  • Grid support payments: $100-$250 annually
  • Reduced electricity costs during VPP events
  • Priority grid access during network constraints
  • Potential future incentives as VPP programs expand


Project Jupiter Integration:

  • Western Power's Project Jupiter aims to create WA's first integrated DER marketplace
  • Expected to increase VPP participation benefits
  • Targeted for full implementation by 2028
  • Potential to increase battery ROI by 10-15%


Perth Solar Direct's battery systems are VPP-ready and can be enrolled in available programs as they launch in Western Australia.



Understanding the tax treatment of battery incentives and savings:


Rebate Tax Treatment:

  • Government rebates for residential battery systems are generally not considered taxable income
  • No GST is typically payable on the rebate amount
  • No tax deduction is available for the battery system cost for residential installations


Electricity Savings Tax Treatment:

  • Reduced electricity bills result in after-tax savings
  • No tax is payable on self-generated and consumed electricity
  • Credits received through the DEBS program for residential properties are not considered taxable income


Property Value Implications:

  • Increased home value from battery installation may affect capital gains calculations upon property sale
  • Energy efficiency improvements may qualify for specific tax incentives in future programs


Perth Solar Direct recommends consulting with a tax professional regarding your specific situation, though residential battery installations typically have favorable tax treatment with benefits received tax-free.


By taking advantage of the WA Residential Battery Scheme, Perth homeowners can significantly improve the economics of battery storage while gaining energy independence and contributing to a more sustainable grid. Perth Solar Direct is ready to help you navigate these incentives and design a system that maximizes your financial benefits.

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Joondalup, WA, 6027

Perth Solar Direct serves the Joondalup area and it’s surrounding suburbs including Beldon, Burns Beach, Connolly, Craigie, Currambine, Duncraig, Edgewater, Greenwood, Heathridge, Hillarys, Iluka, Kallaroo, Kingsley, Kinross, Marmion, Mullaloo, Ocean Reef, Padbury, Sorrento, Warwick and Woodvale.


The City of Joondalup was first founded in 1998 and covers 98.9km2. There is a large demand for solar in this area with new business and homes constantly being built.

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Perth Solar Direct Joondalup

Address: 17/88 Lakeside Drive

Joondalup WA 6027

Phone: 1300 383 843

Hours: Mon-Fri: 9am - 5pm

Sat-Sun: Closed

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