Advanced Battery Buying Guide
Table of Contents
Virtual Power Plants (VPPs)
Things to consider:
1. You may lose some control over when your battery discharges.
2. Not all batteries or inverters are VPP-compatible.
3. Check contract terms—some lock you in for 12–36 months.
For homeowners ready to get the most out of their solar and battery investment
What are VPPs?
A Virtual Power Plant (VPP) connects your home battery to a network of other batteries. These are controlled by an energy provider or third party to support the grid during high demand.
Benefits of Joining a VPP:
1. Earn income by selling stored power back to the grid.
2. Get better tariffs or credits depending on your provider.
3. Contribute to grid stability—especially in high-demand zones.
Battery Backup & Sizing for Outages
Why is sizing important?
Not all battery systems can power your whole home during a blackout. You must plan for your critical loads (fridge, Wi-Fi, lights, etc.) and how long you want to run them. If you want to use a generator please see our generators post or below.
How to Size for Backup:
- List essential appliances and their wattage.
- Multiply by the hours per day you want backup
- Factor in solar recharging during the day
Example:
If you want to run 1,500W of essential loads for 6 hours, you’ll need 9kWh of usable capacity.
1,500 x 6 = 9,000 watts per hour which is 9kWh
Demand Tariff Reduction with Batteries
Demand tariffs charge you based on your highest energy usage during peak hours, not just total kWh.
How batteries help:
- Discharge during peak periods to reduce your "demand spike".
- Store cheap energy at off-peak times for use later
- Avoid running high-energy appliances during peak pricing.
Bonus Tip: Pair your battery with a smart energy management system for automation.
Battery Optimisation Strategies
Get the most value from your system with these strategies:
- Time-of-Use Charging: Charge your battery when rates are lowest, and discharge when rates are high.
- Solar Self-Consumption: Use stored solar in the evening instead of grid power.
- Forecasting: Smart systems can optimise battery behaviour based on solar production forecasts and weather.
- Load Shifting: Run heavy appliances (e.g. EV chargers) during solar generation or off-peak times.
What is Energy Arbitrage?
Arbitrage means buying energy when it’s cheap and selling or using it when it’s expensive.
With the right battery system and plan:
- Charge your battery during off-peak or solar-rich periods
- Discharge to your home or grid when prices spike.
- Maximise savings or earn credits.
How Retailers Like Amber Energy Enable This
Amber Electric gives you wholesale access to real-time energy prices.
How this helps you:
- Buy power at low wholesale prices
- Sell excess solar or battery-stored power at peak market rates (often much higher than FiT)
- Use automation to discharge battery during peak pricing and boost return.
Requirements:
- A compatible battery (like Tesla Powerwall, Sungrow, or AlphaESS).
- Amber app + integration
- Comfort with dynamic pricing (prices can spike unexpectedly).
⚠️Pro Tip: Not all systems are created equal
To take advantage of these advanced strategies, you need:
- A battery system with smart capabilities.
- An inverter that supports VPPs, time-based control, or automation.
- An energy plan that aligns with your goals (savings, income, backup, etc.)
Ready to Get 3 Quotes?
Current Solar and Battery Rebates State by State New South Wales (NSW)
Battery Installation Discount:
- Program: NSW Battery Incentive
- Benefit: Discounts on battery installations, with larger batteries receiving larger discounts.
- Eligibility: Homeowners or small businesses with existing or new solar systems.
- Details: The discount is applied through accredited installers and is based on the usable capacity of the battery. Energy.gov.au
Virtual Power Plant (VPP) Incentive
- Program: NSW Peak Demand Reduction Scheme
- Benefit: Incentives ranging from $120 to $400 for connecting your battery to a VPP
- Eligibility: Homes with solar and battery systems
- Details: Incentives are based on battery capacity and are provided through accredited suppliers. NSW Climate and Energy
Smart Distributed Batteries Project
- Program: NSW Government-funded VPP
- Benefit: $4,950 discount on a Tesla Powerwall 2
- Eligibility: Residents in specific council areas participating in the VPP initiative
- Details: This project aims to develop a 6MW VPP and encourages battery installation by offering discounts for joining the VPP. Solar Victoria+21Energy.gov.au
🔋Victoria (VIC)
Solar Battery Loan
- Program: Solar Victoria – Solar Homes Program
- Benefit: Interest-free loans up to $8,800 for battery installation
- Eligibility: Owner-occupiers with a solar system of at least 5kW, among other criteria.
- Details: Loans are repaid over four years, reducing the upfront cost of battery systems. Solar Victoria
Solar Panel (PV) Rebate
- Program: Solar Victoria – Solar Homes Program
- Benefit: Rebates up to $1,400 for solar panel installations
- Eligibility: Victorian households meeting specific criteria.
- Details: The rebate is paid directly to the retailer and deducted from the invoice. Solar Victoria
Queensland (QLD)
As of now, Queensland does not have a specific state-wide solar battery rebate program. However, residents can benefit from the Federal Government’s incentives and the Small-scale Renewable Energy Scheme (SRES).
Federal Government
Small-scale Renewable Energy Scheme (SRES)
- Benefit: Reduces the cost of installing solar systems through Small-scale Technology Certificates (STCs)
- Eligibility: Households and small businesses installing eligible renewable energy systems.
- Details: STCs are typically applied as an upfront discount by your installer. NSW Climate and Energy Action
Upcoming Household Battery Subsidy
- Announcement: In April 2025, the Federal Government pledged $2.3 billion to reduce household battery costs by up to 30%.
- Benefit: Potential savings of around $4,000 on battery installations
- Details: The initiative aims to expand the existing SRES to include battery systems installed alongside rooftop solar until 2030. The Guardian
Ready to Get 3 Quotes?
Best Home Batteries in Australia
Looking for the best home battery system for your solar setup?
In 2025, Australian homeowners have more choices than ever, with options that suit every budget, lifestyle, and energy goal.
| Brand | Battery Type | Capacity Range | Warranty | VPP Compatible | Best For |
|---|---|---|---|---|---|
| Tesla Powerwall 3 | LFP | 13.5 kWh to | 10 years | ✅ Yes (AGL, Amber, Origin) | Premium, all-in-one smart systems stackable inverter included hybrid inverter |
| AlphaESS | LFP | 5–30+ kWh | 10 years | ✅ Yes (Discover, Amber) | Flexible, great value, strong VPP integrations, hybrid inverter |
| Sungrow | LFP | 9.6–25.6 kWh | 10 years | ✅ Yes (Discover, Evergen) | Hybrid integration, affordability, reliability |
| BYD Battery-Box | LFP | 10–20+ kWh | 10 years | ✅ Yes (Redback, SolShare) | Modular, commercial scalability, no inverter |
| Redback | LFP | 7.2–28.4 kWh | 10 years | ✅ Yes (Amber, Evergen) | Australian design, VPP support, with hybrid inverter |
| SolarEdge Energy Bank | LFP | 10 kWh | 10 years | ✅ Yes (AGL, EnergyAustralia) | SolarEdge hybrid setups, only for solar edge complete systems |
| Enphase IQ Battery | LFP | 3.5–14 kWh | 10 years | ✅ Yes (AGL, Origin pilot) | Modular microbattery systems only with enphase microinverter ac systems |
| GoodWe Lynx | LFP | 9.6–25.6 kWh | 10 years | ⚠️ Pilot stage | Cost-effective hybrid integration, still early |
| Huawei LUNA2000 | LFP | 5–30 kWh | 10 years | ⚠️ Pilot/VPP testing | Stylish modular system, not established |
| SigenEnergy | LFP | 5–30+ kWh | 10 years | ✅ Yes (AI + VPP features) | AI-driven energy optimisation + hybrid inverter, ev charging and much more |
| Chelion iHome | LFP | 5–40+ kWh | 10 years | ⚠️ VPP-ready architecture | All in One, VPP ready, stackable, hybrid inverter. |
| ESY Battery | LFP | 5–15+ kWh | 10 years | ⚠️ Integrator-dependent | New entrant with scalable modular design |
| Sofar Solar | LFP | 5–20+ kWh | 10 years | ⚠️ VPP readiness varies | Inverter pairing + emerging battery platform |
| SAJ | LFP | 5–10+ kWh | 10 years | ⚠️ In development | Budget-friendly hybrid inverter solutions |
🏆 Editor’s Picks:
Tesla Powerwall 3 – If price wasn’t an issue The Tesla Powerwall 3is the latest evolution of Tesla’s iconic home battery system—and it delivers. Now built with Lithium Iron Phosphate (LFP) chemistry for longer life and enhanced safety, the Powerwall 3 packs 13.5 kWh of usable energy and a powerful 11.5 kW continuous output, making it one of the strongest all-in-one residential units on the market. With its integrated hybrid inverter, sleek design, and seamless connection to Tesla’s Energy App, it offers one of the most refined user experiences available. The system supports VPP participation with leading retailers like AGL, Amber, and Origin, and provides whole-home backup with lightning-fast switching. If you’re after performance, brand trust, and a plug-and-play energy experience, the Powerwall 3 remains a top-tier choice for Australian homes in 2025.
Sigenergy SigenStor – If price is a consideration
If you’re looking for a next-generation all-in-one energy solution, the Sigenergy SigenStor stands out as one of the most advanced home battery systems in Australia. It combines a high-performance solar inverter, modular battery storage (5–30 kWh), EV charging, and UPS-level backup into a single sleek unit. What really sets it apart is its AI-powered energy management system, which intelligently balances solar, grid, and battery use for optimal savings. It’s VPP-ready, scalable for growing energy needs, and includes a smart app for full control. Add in seamless backup, future-proof EV integration, and installer-friendly commissioning tools, and SigenStor easily earns its place as an Editor’s Pick for smart solar households in 2025.
