Is It Worth Getting a Solar Battery With Your Solar System?

Deciding whether solar batteries are worth it comes down to a few personal and financial factors. After all, the benefits of solar batteries heavily depend on your household circumstances. Let’s have a look at them:

2. Lowering Your Energy Bills

If you don’t have a battery, any excess solar you don’t use is sent back to the grid, usually at a low feed-in tariff of just 5c–8c per kilowatt-hour (kWh). But when you store that energy and use it yourself, you offset grid electricity that costs 25c–35c/kWh or more. That’s up to 5x more value per kWh. Over a year, this difference can translate to hundreds or even thousands of dollars in additional savings, depending on your system size and usage patterns.

3. Joining a Virtual Power Plant (VPP)

Many battery owners are now joining Virtual Power Plants, networks that connect your battery to others in your community. In a VPP, your energy retailer can draw small amounts of power from your battery during high-demand events, and in return, you receive credits or payments. This can further reduce your energy costs or even earn you passive income, helping to pay off your battery faster.

4. Protection Against Rising Energy Prices

Electricity prices continue to rise, and the return you get from exporting solar is falling. A battery gives you control over your energy usage, allowing you to hedge against future price increases by using more of your own energy. It’s a long-term investment that continues to yield returns year after year.

5. Backup Power During Outages

While not strictly tied to ROI, having backup power during blackouts adds peace of mind—and in some regions, this reliability can even increase your property value. For businesses or households reliant on continuous power, this resilience can translate to avoided losses, adding even more indirect financial value to your battery system.

Solar batteries aren’t cheap. And if you’ve done even a little bit of research, you’ve probably seen prices all over the place.

So, how much do they cost?

Solar battery prices vary depending on the brand, features (such as blackout protection or modular design), and the chosen installer. Battery costs typically start at around $1,500 per kilowatt-hour (kWh), which includes both the battery and standard installation. Here's a rough idea of what that might look like based on different battery sizes:

One of the best ways to decrease the cost of a home battery is through rebates. Launching on July 1, 2025, the Federal Government’s Cheaper Home Batteries Program is a national battery subsidy that intends to make solar batteries more affordable for Australian homeowners. It offers a rebate of up to 30% off the battery price, or a maximum of $350 per usable kilowatt-hour (kWh).

To estimate your rebate and net savings with this program, multiply the maximum subsidy amount by the usable capacity of the battery of your choice. 

Estimated Battery Rebate = Usable Capacity of the Battery * Maximum Subsidy Amount

For example, if you want to install a Sungrow battery with a 9.6 kWh usable capacity in 2025, you’ll get:

Estimated Rebate = 9.6 kWh × $350 = $3,325

Aside from this national battery subsidy, rebates and loan programs are available at the state and council levels. Some of these incentives can be stacked with the federal battery rebate. You can consult our solar experts to identify which programs can be combined with the national battery rebate:

Now that we know how much we invest in a solar battery, let’s examine whether it’s financially worth it. To do that, we will assess its return by looking at your savings.

Solar battery savings depend heavily on how much you would have earned by exporting excess solar versus how much you save by using that energy instead. The difference between your electricity usage rate and feed-in tariff determines how valuable your stored solar is. Let’s roughly estimate how much your battery can save in different pricing plans.

At the same time, feed-in tariffs have been steadily dropping across Australia. In some cases, they’ve dropped to as low as 5c per kilowatt-hour, while electricity prices are five to ten times higher. If your solar savings rely heavily on sending excess power to the grid, you’re at the mercy of changing rates and policies of electricity retailers.

Solar batteries give you control, stability, and energy independence. Instead of exporting your excess solar power for a few cents and buying it back at a much higher rate, you can store and use your energy when it’s most valuable. Solar batteries may take time to pay off, but their value grows as electricity prices rise and feed-in tariffs fall. The key is to evaluate how a battery fits into your household’s energy use, goals, and long-term savings strategy.

The payback period of a solar battery might not look extraordinary on paper, especially when compared to solar panels alone. But the real value often lies in how you use your battery and its adaptability. With the right setup, a battery can do much more than store excess solar energy. It can help you respond to shifting energy prices, participate in emerging energy markets, and scale with your needs over time.

Electricity prices are volatile, grid rules are evolving, and new technologies are unlocking more ways for households to benefit. The key is choosing a battery system that can keep up with those changes and even take advantage of them. Some advanced battery systems are already offering this kind of adaptability. For example, 1KOMMA5°’s solar battery is engineered not just for storage, but maximises your earnings. Here’s what sets it apart:

One way to boost the value of your solar battery is by joining a Virtual Power Plant (VPP). A VPP is a network of homes with solar and battery systems that work together to support the electricity grid. When the grid is under pressure, your battery can send excess energy back to the grid, and you get paid for helping out.

When you join a VPP, a retailer or energy provider manages your battery during specific times. They’ll draw power from your battery when the grid needs it during peak demand and sell it at high market rates. In return, you get rewarded through:

• Bill credits

• Cash payments

• Higher feed-in tariffs during peak times

If you’re considering a solar battery, it’s worth checking if there’s a VPP program in your area and what kind of control or income you’d receive. Some programs let you stay in full control, while others automate everything for maximum earnings.

While adding a battery to your solar system can offer energy independence, blackout protection, and long-term savings, it's not the right choice for everyone, at least not right away. Here are some scenarios where getting a battery may not be worth it (yet):

If you’re planning a solar system and considering a battery, the key question is whether the long-term savings, incentives, and energy independence justify the upfront cost. For many Australian homeowners, especially those with high evening usage or time-of-use tariffs, the answer is yes.

Pairing a battery with your solar setup can future-proof your home against rising power prices, improve your solar ROI, and contribute to a more stable, sustainable grid.

Still unsure? Speak to our team of solar experts for a personalised assessment based on your usage and local incentives.