Prices and savings

Is a home battery worth it in 2026? Savings and payback, honestly

Guides · Homerise team · Reviewed by Joern Haake · Published 25 September 2026 · Rebate figures verified 26 September 2026 · How we write guides

The short answer

On bill savings alone with electricity prices rising 3% a year, a battery added to existing solar pays back in anywhere from about 8 years (Adelaide) to 18 years (Hobart) for our example home in 2026, even with the federal rebate (about $252 per usable kWh on the first 14 kWh as of 26 September 2026). It pays back faster with high evening use, high electricity prices, a well-chosen virtual power plant or an electric car, and it can be worth it for blackout backup alone. It's rarely worth it on a premium feed-in tariff.

How much does a battery actually save?

A battery stores solar you would otherwise export, for a few cents per kWh, and you use it in the evening instead of buying power at 25 to 45c. The saving on each stored kWh is roughly your usage rate minus the feed-in tariff you give up, less about 10% lost in charging and discharging. So the higher your electricity price and the lower your feed-in tariff, the more a battery earns. See feed-in tariffs in every state.

Savings and payback by city

One example home, run through our calculator with each state's reference electricity plan and today's rebates. Your own figures will differ: try the savings calculator with your bill.

Adding a battery to 6.6 kW of existing solar, $450 a quarter bill (estimated, first year)
City	Battery	Price after rebate	Savings a year	Payback (yrs)
Sydney	15 kWh	$11,100–$15,600	$1,000	9.3–12.5
Melbourne	16 kWh	$11,900–$16,600	$1,000	10.4–13.7
Brisbane	16 kWh	$11,900–$16,600	$900	11.1–14.7
Adelaide	15 kWh	$11,100–$15,600	$1,200	8.4–11.3
Perth	16 kWh	$11,900–$16,600	$1,100	9.2–12.2
Hobart	16 kWh	$11,900–$16,600	$700–$800	13.1–18.1
Canberra	15 kWh	$11,100–$15,600	$1,200	8.4–11.3
Darwin	20 kWh	$15,100–$20,600	$1,100	11.7–15.5

Savings are first-year figures at today's prices, with no VPP payments and no allowance for battery wear. Payback is when those savings add up to the price after the rebate, with electricity prices rising 3% a year after the first year (a little below the last 10 years' average of 3.3%, ABS).

What makes a battery pay back faster?

A battery pays back faster when it fills and empties most days, and when each stored kWh replaces expensive grid power:

Evening use. Homes that use most of their power after dark, or charge an electric car at night, fill and empty a battery more often.
High electricity prices. South Australia and the ACT have the highest reference usage rates, so each stored kWh saves more there.
Enough spare solar. A battery only saves money on days it fills. Check your bill's exports; see what size battery you need.
Installing before a step-down. The federal rebate falls every six months; it's set by the installation date. Try the battery rebate calculator.
The right retailer or virtual power plant. Some plans pay credits or event payments for letting them use part of your battery (Amber and retailer VPPs are examples). They can shorten payback, but compare fees, how often they use your battery, and what that does to its warranty.

When isn't a battery worth it (yet)?

A battery isn't worth it yet, on savings alone, if:

You're on a premium 44c feed-in tariff: exporting already earns more than a battery would save, and in SA adding one ends the premium.
Your solar system is small, so there's little spare to store, especially in winter.
You use most of your power during the day, when solar already covers it.
You're buying purely for savings and plan to move in a few years.

Is a battery worth it for other reasons?

A battery can be worth it for reasons other than savings: many people buy one for blackout backup, independence from price rises, or to use more of their own solar, and accept a longer payback for it. That's a fair choice, as long as the quote is clear about whether backup is included and for which circuits. See how to choose a home battery.

Questions people ask

Is a home battery worth it in 2026?

On bill savings alone with electricity prices rising 3% a year, a battery added to existing solar pays back in about 8 to 18 years for a typical home, depending on the city. It pays back faster with high evening use, high electricity prices, a good VPP or an EV, and it can be worth it for backup.

How much does a home battery save a year?

Often several hundred dollars to over a thousand a year, depending on the battery's size, your spare solar, your evening use and your electricity and feed-in rates.

Does the battery rebate make batteries worth it?

It helps a lot: about $252 per usable kWh on the first 14 kWh as of 26 September 2026. It steps down every six months, based on the installation date.

Is a battery worth it with a 44c feed-in tariff?

Usually not until the premium tariff ends: exporting at 44c earns more than a battery saves, and in South Australia adding a battery ends the premium.

Sources

General information, not financial advice. Rebate rules change: figures on this page come from our rules table, last verified 26 September 2026. How we're paid: installers pay Homerise for introducing you. No brand or installer pays to be mentioned in a guide.