Solar Rebates for NSW Homes & Businesses

Government incentives for solar energy in NSW are evolving, especially when it comes to batteries. Solar panel rebates are still one of the most attractive incentives for residents and small business owners, but when it comes to rebates for batteries, things are no longer quite as simple as they once were.

If you are considering installing solar power in the Illawarra or are researching solar energy costs to save money in the long run, understanding these rebate levels can help save you a significant amount on your solar power installation.

Discover how NSW homeowners and businesses can take advantage of government rebates and incentives to make solar more affordable. 

At Solar X Energy, we assist our clients with the NSW solar electricity rebate process, as well as the practicalities of solar panel installation. That includes what still qualifies, what’s changing, and where solar panel financing or a loan on solar panel systems may be worth considering.

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Our Process

Understanding the Tiered Battery Rebate in NSW

The rebate for solar panels in NSW is still favorable for solar power generation, while battery rebate has been tiered, with different sizes eligible for different amounts of rebate.

From May 1, 2026, the Federal battery discount (STCs) is structured as follows to ensure that value is provided to systems of all sizes. The rebate is paid according to the following brackets:

0–14 kWh: 100% of the rebate factor is available (ideal for residential homes).

14–28 kWh: The rebate is tapered for this range; 60% of the rebate factor is paid.

28–50 kWh: For large systems, 15% of the rebate factor is paid for this range.  

Note: NSW residents have additional state incentives (PDRS), which have a maximum capacity of 28 kWh. Clearly, bigger is not better for this rebate, as systems above 14 kWh will be eligible for reduced rebate support.

What This Means for Solar Power in NSW

For households considering solar power in the Illawarra Region and Southern Highlands, the shift in battery rebates encourages more balanced system sizing rather than simply installing the largest system possible.

A well-designed solar power system is all about actual use. How much is being used, stored, and sent back to the energy grid? It is more important than ever.

In terms of small businesses, especially when considering small business rebates, the framework can have a significant effect on return on investment beyond what is initially understood. Installing a solar power system that is sized to a rebate program can provide more value for money than installing a solar power system as large as possible without considering when rebates taper off.

What our customers say about us

"Holly has been wonderful. Easy to deal with, is very honest and easy to get in contact with. We message her whenever we have any questions about our solar and she has been able to sort them all out ASAP."

Kimberley

"It has been such a pleasure to work with Holly and Dan. They are passionate about what they do, and took great care in educating us, keeping us up-to-date, and throughout the installation. Highly recommended 100%"

Chris

"Holly is extremely knowledgeable and able to explain everything in easy terms, she is very professional and helpful."

Helen

"We couldn't be more pleased with our experience with Solar X Energy. From the moment Holly introduced herself and the product to us, it was clear that she was both honest and easy to understand."

Pamela

"I had a very good experience with Solar X Energy. Holly took the time to discuss the best solution for my needs, and long after the job was completed, helped me with getting the best deal with electricity retailers."

Iain

"We're so thrilled with the experience of working with Holly & the team at Solar X Energy. Holly went over and above to explain all of our options and build the best plan that would suit our needs. The team used the best quality components and we've been generating an epic amount of power ever since ⚡️"

Jonnie

To see more customer reviews click here

FAQs

Are solar panel rebates still available in NSW?

Yes. The rebate on solar panels is still available through STCs, which assist in reducing the costs. That’s why many homeowners are opting for solar energy in Wollongong, even without the battery.

Is a solar battery worth the investment at the moment?

At times, yes. However, the system size becomes more relevant at the moment due to the rebate. Some have opted for solar panels, then the battery, after they have understood the usage.

Can I finance solar panels rather than paying upfront costs?

Yes. The financing of solar panels includes payment plans, finance from the lender, or a loan for solar panels. It all depends on your budget.

Do small businesses also have access to solar panel rebates?

Yes. The rebate for small businesses has a similar process, but the system size and usage during the day play a bigger role.

How should I plan the system, taking into account the current rebates?

It all depends on your usage, the size of your property, as well as your budget.

Talk to our friendly team about solar today!

We're more than happy to answer all your questions and provide detailed quotes to help you make the best decision for your home. Don’t hesitate to reach out - we look forward to talking soon and making your solar journey as smooth as possible!

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