Solar Battery Costs – Is the Investment Worth It?

With the rising cost of electricity, solar systems are becoming more and more prevalent in Australian homes. With this embracing of renewable energy, the question now is how much are solar batteries and is it worth investing in solar storage systems. While offering the advantage of energy independence and reduced energy bills, the initial cost can be a deterring factor, making it important to weigh up the benefits versus the investment and determine whether it’s a good fit for your home.

How do solar batteries work?

Installing a solar battery in your home allows you to capture any excess energy produced by your solar system that you don’t use. This surplus energy then ensures you have a consistent supply of power, even when the sun isn’t shining or if you experience an extended power outage. Some suppliers will even offer a buy-back system for your excess energy, called a feed-in tariff, that gives you credit for your stored power that you can use on future bills.

There are currently two types of solar batteries available in Australia. 

• AC-coupled systems – these batteries are typically more affordable and are easier to install, especially if you have an existing solar system. They simply connect to the existing AC wiring in your home.
• DC-coupled systems – these batteries are typically the more efficient option but have a higher price tag. These connect to the DC outputs on your solar panels.

The benefits of solar batteries

While we briefly touched on it above, choosing to install batteries as part of your home solar system can offer a range of great benefits.

Reduce your energy bill

One of the main reasons people choose to install solar systems in their homes is to reduce their energy bills. As the cost of living, especially energy, continues to rise, choosing solar can greatly reduce the amount of power you have to buy from the grid.

For a typical residential solar system without a battery, you can cover 30% – 50% of your energy needs. By adding batteries to your system, you can increase this to 80%, 90% or even 100%. 

While you will need to use some power to charge the batteries, if you have enough excess stored energy, this may not affect your electricity bill. Even if you do need to buy power for charging, the cost of this versus powering your entire home will be significantly lower. 

No more blackouts

Losing power to your home can be extremely frustrating or even dangerous for those who rely on a consistent supply of electricity for medical equipment. Having solar batteries can help you keep the lights on when the power goes out. While some batteries will require the installation of additional hardware to enable this feature, you can have peace of mind knowing you no longer have to worry about ever going without power.

Reduce your carbon footprint 

As we all become more aware of our impact on the environment and while Australia has made great progress in regards to renewable energy, the majority of our power still comes from fossil fuel sources. While installing a solar system is a great step in helping to reduce your carbon footprint, the addition of batteries makes that reduction even greater, often doubling the impact you can make with a solar system alone.

Make money on your excess energy

There has recently been an emergence of several Virtual Power Plants (VPPs). These schemes offer homeowners the opportunity to sell back their extra stored electricity to the grid, especially during peak demand periods. Being a part of one of these networks can be a great way to make some extra income and some may even offer you a discount for the installation of your batteries.

Increase the value of your home

With solar systems becoming more and more popular if you’re considering selling your property in the future, adding solar to your home can be a great way to boost the value of your property and is an attractive feature to potential buyers.

How much are solar batteries for the home?

It’s time to answer the big question – what is installing solar batteries going to cost you?

The cost of solar batteries has certainly decreased in recent years as the technology has become more advanced and the production of batteries has increased. The price of a battery will depend on factors such as the size and capability, brand, warranty, installation costs and proximity of the installation site to your main switchboard. The average cost of a residential solar battery will generally be between $1000 and $1,300 per kWh of storage.

While the initial upfront cost can be large, solar batteries will save you long-term on your electricity bills. 

Solar battery rebates and assistance

If you’re considering installing a solar battery in your home but the upfront price is a little daunting, there are a range of government rebates available to help lower the initial cost.

For example, in NSW the government is implementing a new rebate from 1 November 2024, that will significantly reduce the cost of adding batteries to your existing rooftop solar system. 

Be sure to research to see what cost incentives your state or local governments offer for solar battery installation.

Interested in installing a solar battery?

At NewAge Air, we’re here to help your family save on rising energy costs. If you’re interested in finding out more about installing solar batteries with your new or existing solar system, contact our team today to discover the best option for your home and receive a free quote.